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Turkey, UK sign historic free trade agreement

- New deal, covering all industrial, agricultural goods, set to take effect on New Year, Jan. 1, says Turkish trade minister

home > Turkey, Europe 30.12.2020 09:57

Turkey, UK sign historic free trade agreement

Turkey and the UK on Tuesday signed a historic free trade agreement, set to go into effect New Year’s Day, this Friday, Jan. 1.

"This is a historic day for Turkish-UK relations," Trade Minister Ruhsar Pekcan said in a speech to the virtual signing ceremony based in the Turkish capital Ankara.

The landmark deal will ensure stronger trade between Turkey and the UK in the days to come, Pekcan underlined, adding that it leaves no uncertainty in the trade structure between the two countries.

"We are taking the first step towards further deepening our ties, while maintaining 25-year gains from the Customs Union," said Pekcan, referring to Turkey’s 1995 Customs Union with the EU, which Britain is making its final exit from this week.

"With the new deal, Turkey and the UK are pleased to meet businesspeople's expectations and to keep our promises," she added.

Absent a deal, about 75% of Turkish exports to UK would be subject to tariffs, causing losses of some $2.4 billion, but the deal eliminates this risk, said Pekcan.

"We reached a tariff-free agreement, as planned, which includes all industrial and agricultural goods," she said.

Stating that the trade volume between the two countries hit $15.1 billion in January-November, Pekcan said in 2019, Turkey's exports to the UK – its second-largest export market – stood at $11.3 billion, while imports totaled $5.6 billion.

The UK's investments in Turkey are around $11.6 billion, Pekcan said.

"I hope the deal will be reflected positively in bilateral investments," she underlined.

Pekcan also said Turkey is eager to expand the pact in areas such as investments and services.

"We will discuss how we can improve the conditions for entering the agricultural market as well," she added.


- More ambitious trade deal to come

For her part, British Trade Minister Liz Truss said the pact lays the groundwork for a more ambitious UK -Turkey trade relationship in the days to come.

"The agreement is part of our plan to put the UK at the center of a network of modern agreements with dynamic economies," she noted, saying there is greater trade potential in the areas of finance and biotechnology.

"In this sense, I believe that as two trading countries, from products, vehicles to other sectors, we can gain great momentum in the field of services and technology trade much faster."

She also said Britons will be able buy high-quality products, including white goods, manufactured in Turkey.

"Apart from this, it will also make a great contribution to the consumers to buy decent products at decent prices in agricultural products."

Truss said that in the last two years, in the countdown to Brexit, the UK reached agreements with 62 countries – and the European Union – to cover £885 billion ($1.20 trillion) of UK trade.

"We are not only accelerating trade, but also aiming to grow. Today we open a new page in the cooperation between Turkey and the UK."

In a statement following the signing, the UK government said the deal covers trade worth more than £18 billion ($24.3 billion).

"Both countries have also committed to working towards a more ambitious free trade agreement in the future, which will go further than the current deal," it said.

Vital UK-Turkey supply chains will also be protected for automotive manufacturers, such as Ford, which employs 7,500 people in the UK, it noted.

Also commenting on the deal, Stuart Rowley, the president of Ford of Europe, said:

"Ford welcomes the announcement today of a trade agreement between the two countries, and the speed with which it has been concluded underscores its importance to the economic prosperity of both countries.

"Given that Ford and [Ford-Turkish Koc Holding co-owned] Ford Otosan business constitutes more than 10% of the total trade volume between the UK and Turkey, this trade agreement is extremely significant for us and will help to secure jobs in both countries."

Andy Burwell, director for international trade and investment at the Confederation of British Industry (CBI), also underlined the historic pact will bolster key supply chains across many industries after a year of pandemic disruption.

By Tuba Sahin, Aysu Bicer and Yunus Girgin

Anadolu Agency

energy@aa.com.tr




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Turkey to spend $9.3B for power distribution up to 2025

- Energy minister says planned investment includes $1.5 million for scheduled maintenance between 2021 and 2025
25.02.2021 Electricity , Turkey

Spot market electricity prices for Thursday, Feb. 25

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 162.6 million Turkish liras
24.02.2021 Electricity , Turkey

Spot market natural gas prices for Tuesday, Feb. 23

- 1,000 cubic meters of natural gas on spot market costs 1,220 Turkish liras
24.02.2021 Natural Gas , Turkey

Turkey's licensed power generation up 4.3% in Dec. 2020

- Installed electricity capacity increases 4.8% in December 2020 compared to same month of 2019
25.02.2021 Electricity , Turkey

Turkey's daily power consumption up 0.89% on Feb. 23

- Electricity exports amount to 8,308 megawatt-hours, while imports total 2,326 megawatt-hours
24.02.2021 Electricity , Turkey

Turkey's gas imports up 15.6% in December 2020

- Total natural gas consumption in December shows 16.6% year-over-year growth
25.02.2021 Natural Gas , Turkey

'Ankara ready to do its part to bring Turkmen gas to Europe'

- Turkey welcomes agreement reached between Turkmenistan, Azerbaijan in Caspian Sea, says Turkish foreign minister
24.02.2021 Natural Gas , Energy Diplomacy , Turkey , Europe , Eurasia , Asia , General

Spot market electricity prices for Wednesday, Feb. 24

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 171.3 million Turkish liras
23.02.2021 Electricity , Turkey , General

Spot market natural gas prices for Monday, Feb. 22

- 1,000 cubic meters of natural gas on spot market costs 1,212 Turkish liras
23.02.2021 Natural Gas , Turkey , General

Turkey aims to complete 27.5% of Akkuyu NPP by year-end

- Progress of 56.25% is expected by 2023 when first reactor will be commissioned
24.02.2021 Nuclear , Turkey

Turkey's daily power consumption up 14.7% on Feb. 22

- Electricity exports amount to 7,958 megawatt-hours, while imports total 2,166 megawatt-hours
24.02.2021 Electricity , Turkey , General

Spot market electricity prices for Tuesday, Feb. 23

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 174.7 million Turkish liras
22.02.2021 Electricity , Turkey

Spot market natural gas prices for Sunday, Feb. 21

- 1,000 cubic meters of natural gas on spot market costs 1,204 Turkish liras
23.02.2021 Natural Gas , Turkey

Turkey's daily power consumption down 9.2% on Feb. 21

- Electricity exports amount to 6,354 megawatt-hours, while imports total 4,222 megawatt-hours
23.02.2021 Electricity , Turkey

Spot market natural gas prices for Saturday, Feb. 20

- 1,000 cubic meters of natural gas on spot market costs 1,214 Turkish liras
22.02.2021 Natural Gas , Finance , Turkey , General

Spot market electricity prices for Sunday, Feb. 21

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 141.93 million Turkish liras
20.02.2021 Electricity , Turkey

Spot market natural gas prices for Friday, Feb. 19

- 1,000 cubic meters of natural gas on spot market costs 1,218 Turkish liras
21.02.2021 Natural Gas , Turkey

Turkey's Gumbel, Germany's SMA ink 70 MW inverter deal

- SMA Group's products will be firstly used in Aegean and Central Anatolian regions, Turkey's Gumbel Group says
22.02.2021 Solar , Turkey , Europe

Fitch revises Turkey's outlook to stable, 'BB-' affirmed

- Turkey's current account deficit expected to fall to 2.9% in 2021 and 2.1% of GDP in 2022, rating agency says
20.02.2021 Finance , Turkey

Turkey's daily power consumption down 1.9% on Feb. 19

- Electricity exports amount to 9,067 megawatt-hours, while imports total 2,794 megawatt-hours
21.02.2021 Electricity , Turkey

Turkey to invest 780M TL in gas facility in Black Sea

- 155-kilometer-long pipeline will connect from new subsea gas production facility to onshore natural gas processing plant
20.02.2021 Natural Gas , Turkey

Spot market electricity prices for Friday, Feb. 19

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 181.77 million Turkish liras
18.02.2021 Electricity , Turkey

Spot market natural gas prices for Wednesday, Feb. 17

- 1,000 cubic meters of natural gas on spot market costs 1,210 Turkish liras
18.02.2021 Natural Gas , Turkey

Turkey's daily power consumption up 1.3% on Feb. 17

- Electricity exports amount to 8,409 megawatt-hours, while imports total 2,822 megawatt-hours
18.02.2021 Electricity , Turkey

Algerian LNG vessel to arrive in Turkey on February 21

- Vessel is sailing under flag of Bahamas
18.02.2021 Lng/Lpg , Turkey , General

EU diplomat praises Turkey’s tackling of climate change

- Climate change requires global response, says head of European Union delegation to Turkey
18.02.2021 Energy Security , Turkey

SOCAR mulls hydrogen supply to Europe via TANAP

- 20% of pipeline capacity can be used for hydrogen transportation without any additional investments, top official says
18.02.2021 Natural Gas , Turkey , Europe , Eurasia

Spot market electricity prices for Thursday, Feb. 18

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 179.43 million Turkish liras
18.02.2021 Electricity , Turkey

Spot market natural gas prices for Tuesday, Feb. 16

- 1,000 cubic meters of natural gas on spot market costs 1,216 Turkish liras
17.02.2021 Natural Gas , Turkey

Turkey's daily power consumption up 4.7% on Feb. 16

- Electricity exports amount to 9,187 megawatt-hours, while imports total 2,690 megawatt-hours
18.02.2021 Electricity , Turkey

Spot market electricity prices for Tuesday, Feb. 16

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 175.5 million Turkish liras
16.02.2021 Electricity , Turkey

Spot market natural gas prices for Sunday, Feb. 14

- 1,000 cubic meters of natural gas on spot market costs 1,217 Turkish liras
16.02.2021 Natural Gas , Turkey

Turkey's daily power consumption down 8.8% on Feb. 14

- Electricity exports amount to 6,940 megawatt-hours, while imports total 1,303 megawatt-hours
16.02.2021 Electricity , Turkey

Spot market electricity prices for Monday, Feb. 15

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 171.4 million Turkish liras
15.02.2021 Electricity , Turkey

Spot market natural gas prices for Saturday, Feb. 13

- 1,000 cubic meters of natural gas on spot market costs 1,221 Turkish liras
15.02.2021 Natural Gas , Turkey

Turkey's daily power consumption down 5.6% on Feb. 13

- Electricity exports amount to 10,151 megawatt-hours, while imports total 4,693 megawatt-hours
15.02.2021 Electricity , Turkey

Spot market electricity prices for Sunday, Feb. 14

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 127.23 million Turkish liras
15.02.2021 Electricity , Turkey , General

Spot market natural gas prices for Friday, Feb. 12

- 1,000 cubic meters of natural gas on spot market costs 1,230 Turkish liras
14.02.2021 Natural Gas , Turkey , General

Turkey's daily power consumption up 1.70% on Feb. 12

- Electricity exports amount to 7,834 megawatt-hours, while imports total 5,706 megawatt-hours
14.02.2021 Electricity , Turkey , General

Spot market natural gas prices for Thursday, Feb. 11

- 1,000 cubic meters of natural gas on spot market costs 1,232 Turkish liras
12.02.2021 Natural Gas , Turkey , General

Spot market electricity prices for Saturday, Feb. 13

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 149.6 million Turkish liras
12.02.2021 Electricity , Turkey , General

Turkey's daily power consumption up 0.29% on Feb. 11

- Electricity exports amount to 6,124 megawatt-hours, while imports total 3,517 megawatt-hours
12.02.2021 Electricity , Turkey , General

Wind support scheme extension offers investor security

- Extension of wind support scheme will add 2 gigawatts this year on top of 1.2 gigawatts of installations last year
13.02.2021 Finance , Wind , Turkey , General

Turkey to use first gas from Black Sea in Q1, 2023

- Turkey will construct 150-kilometer-long subsea pipeline from field to the Filyos shore in Zonguldak
13.02.2021 Natural Gas , Finance , Energy Projects , Turkey , General

TANAP is epitome of Turkey and Azerbaijan's cooperation

- Turkey received 9.4 billion cubic meters (bcm) of natural gas through TANAP as of Thursday, Turkish energy minister says
12.02.2021 Natural Gas , Turkey , Asia

Spot market electricity prices for Friday, Feb. 12

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 164.9 million Turkish liras
11.02.2021 Electricity , Turkey

Inter RAO sells stake in Akkuyu Nuclear for 1B rubles

- Russian energy company sells 0.82% stake to undisclosed new owner
12.02.2021 Nuclear , Turkey

Spot market natural gas prices for Wednesday, Feb. 10

- 1,000 cubic meters of natural gas on spot market costs 1,233 Turkish liras
11.02.2021 Natural Gas , Turkey

Bitcoin consumption beats Argentina's annual energy use

- Bitcoin's annual electricity consumption corresponds to 0.56% of electricity consumption worldwide
11.02.2021 Finance , Turkey , Americas , General

Turkey's daily power consumption up 0.3% on Feb. 10

- Electricity exports amount to 5,950 megawatt-hours, while imports total 3,422 megawatt-hours
11.02.2021 Electricity , Turkey

Turkish vice president stresses 2-state model for Cyprus

- ‘We can talk and negotiate two separate states’ based on two equal states and societies,' says Fuat Oktay
11.02.2021 International Relations , Turkey

Spot market electricity prices for Thursday, Feb. 11

- Energy Exchange Istanbul (EXIST) data shows electricity market trade volume amounts to 161.6 million Turkish liras
10.02.2021 Electricity , Turkey , General
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