Turkey eyes to cut trade gap with Asian giants

[Saithan]

Economy Minister Çağlayan is set to ignite a process of free trade deal with Japan at his visit starting today. Çağlayan will exert efforts to lure Japanese firms to cut trade deficit with the Asia’s second largest economy

Turkish Economy Minister Çağlayan left yesterday for a landmark visit to Japan, where he will sign a memorandum of understanding on economic cooperation, a first step to a free trade agreement with the Asian trade powerhouse.

The move comes as Turkey is set to finalize a free trade deal with South Korea next month, and is in a push to decrease its large trade deficit with East Asian countries, including China.

The memorandum will pave the way to the establishment of a ministerial-level platform, which will discuss economic and commercial issues between the two countries. The two countries will set up a “joint working group” to evaluate the consequences of a free trade agreement between Turkey and Japan.

“We will meet with [representatives of] various firms from various sectors. We see Japanese firms increasingly taking an interest in Turkey,” Çağlayan said, speaking at a press meeting regarding an investment in Turkey.

The Turkish trade deficit with Japan is significant, Çağlayan said. “In fact [Turkey records a large] trade deficit with [a number of] East Asian and Asia-Pacific countries, particularly China, Japan and South Korea. Turkey’s exports to Japan are about one eleventh or one twelfth of their imports from this country,” he said.

Çağlayan will meet with Japanese Foreign Minister Koichiro Gemba and Economy, Trade and Industry Minister Yukio Edano, as well as the chief executives of prominent Japanese companies including Daiichi, Mitsui, Mitsubishi and Aeon.

Exports to Japan

“Aeon purchases $50 billion in goods, from textiles to furniture to fruits and vegetables,” Çağlayan said. Turkey’s exports to Japan increased by 20 percent, reaching $136 million in the first five months of the year, especially thanks to Aeon’s procurements in Turkey, according to the Turkey’s Exports Assembly data.

Responding to a Daily News question regarding Turkey’s plans to build a second nuclear power plant, Çağlayan said “the game” goes on. “Studies regarding the nuclear power plant continue. Our door is open to everyone. We will meet with [Japanese] firms to discuss this issue.”

Turkey has signed a deal with the Russian state-run Rosatom to build its first nuclear power plant in the southern province of Mersin. The Turkish Energy Ministry has also been talking with South Korea, China and Canada about building the country’s second nuclear power plant.

July/18/2012

ECONOMICS - Turkey eyes to cut trade gap with Asian giants

 

[atulya]

now a days all countries wanted to have business relation ship with china, south Korea Japan ,nothing amazing here.

 

[rai_kamal]

talking of trade deficit with east asian is of no use..
They will not allow more import in there country..

 

[Killuminati]

Good. More relationship and trade with Asia means less bullcrap from West.

 

[Abdi-Karim Elmi]

Good. More relationship and trade with Asia means less bullcrap from West.

True. There would a higher chance of trade diversification. The EU is a sinking trade block. China, japan (yay for me), and korea aswell as india are better alternatives.

 

[Deno]

It would be hard to close the trade gap with Korea, Japan and China as they have are very advanced in many areas and our exports would be limited but reducing Import/export ratio would be welcome aproach.

 

[Killuminati]

Deno, i placed the same statement as Abdi but you did only thank him? Nice indepent moderatorship.

 

[TurAr]

... Edit ...

 

[Deno]

Deno, i placed the same statement as Abdi but you did only thank him? Nice indepent moderatorship.

He didn't used offensive words if ou noticed And really? I think my thanks has nothing to do with moderation.

 

[trajanus]

It would be hard to close the trade gap with Korea, Japan and China as they have are very advanced in many areas and our exports would be limited but reducing Import/export ratio would be welcome aproach.

i think　that is OK

30 years ago Korean could not march japan in any area and even its GDP was lower than Turkey

but nowaday Samsung has beat Sony or Panasonic

the most important thing of turkey is to create a world-class company and brand just like Toyota or Samsung

only 1 turkish company in top500 this year

 

[atatwolf]

Turkey needs to be independent from Europe for it to move freely.

Europe is bias towards muslims.

 

[trajanus]

Turkey can produce high-quality TV set,but still have not a brand just like SAMSUNG or SONY

Turkey can also produce high-quality armor car but still have not a successful company just like Honda and Toyota

The domestic brand such as VESTEL has to do much and much

that's difficult,and not impossible

in the past ,no one knew Samsung or haier

 

[Deno]

Turkey can produce high-quality TV set,but still have not a brand just like SAMSUNG or SONY

Turkey can also produce high-quality armor car but still have not a successful company just like Honda and Toyota

The domestic brand such as VESTEL has to do much and much

that's difficult,and not impossible

in the past ,no one knew Samsung or haier

We even have our domestic computer company called Casper but as you said they are only national level. Although Vestel become the largest TV producer of Europe they still have long way to go before becoming world wide company. World wide comapnies not only bring prestige to their country but also increases the value of national products.

 

[trajanus]

Yes,these 20 years will be very important for Turkey

just like 60~80s for Japan and 90~00s for S.Korea

Compare to them,The advantage of turkey is the potential power of agriculture(can free far more people than them),leadership and diplomacy power(because of WW2 and korean war),young population and The weakness may be the education,but we see it is improving

China is a too big country so not need to compare with her

 

[Killuminati]

And also dont forget Arcelik.