Developments in Turkey’s External Merchandise Trade in the Second Quarter of 2021
After a continuing strong performance in the first quarter of 2021 (Figure1), Turkish merchandise exports amounted to 55 billion 39 million US dollars in the second quarter of 2021 with an increase of 69.9% compared to the previous year. Meanwhile, merchandise imports increased by 50.5% and reached 65 billion 130 million US dollars. Foreign trade volume in the second quarter of 2021 realized as 120 billion 169 million US dollars with a significant increase of 58.8% compared to same period of the previous year. In the second quarter of 2021, the export/import coverage ratio reached to 84.5% from 74.9% of the first quarter of 2020.
In January-June 2021 period, exports were 104 billion 982 million dollars with 39.9% increase and imports were 126 billion 146 million dollars with 27.5% increase compared with January-June 2020. In January-June 2021 period, foreign trade volume was 231 billion 128 million dollars with a 32.8% increase compared with January-June 2020. As of the first half of 2021, export/import coverage ratio was 83.2%, while it was 75.9% in June 2020.
Despite the negative effects of the pandemic, exports started to recover in the third quarter of 2020 and realized as 43.3 billion US dollars. In the last quarter of the year, the growth phase started and the quarterly exports exceeded 50 billion US dollars for the first time and reached 51.3 billion US dollars. This positive trend continued in the beginning of 2021. Merchandise exports realized as $ 49.9 billion in the first quarter and 55 billion in the second quarter of 2021 (Figure 2).
In the second quarter of 2021, according to the broad economic activities categories classification (BEC), the export value of intermediate, consumption and capital goods were 28 billion 748 million US dollars, 20 billion 211 million US dollars and 5 billion 755 million US dollars, respectively. In the same period of 2021, the import value of intermediate, capital and consumption goods were 49 billion 464 million US dollars, 9 billion 117 million US dollars and 6 billion 473 million US dollars, respectively.
In the second quarter of 2021, Turkey exported motor land vehicles (5 billion 584 million US dollars), machinery (5 billion 405 million US dollars) and iron and steel (4 billion 156 million US dollars) most. In the same period, mineral fuels and oils (10 billion 63 million US dollar), machinery (7 billion 598 million US dollars) and iron and steel (7 billion 105 million US dollars) were what Turkey imported most.
In the second quarter of 2021, the main export destination for Turkish exports was Germany representing an export value of 4 billion 767 million US dollars. Germany was followed by the USA and United Kingdom with 3 billion 681 million US dollars and 3 billion 417 million US dollars of exports, respectively. In the same period of 2021, the top origin for Turkey's imports was China with 7 billion 891 million US dollars. The country was followed by Russia and Germany with 6 billion 576 million US dollars and 5 billion 832 million US dollars of imports, respectively.
Figure 1 Quarterly Export Volume Index (2014 Q1=100, SA)
Source: World Trade Organization
Figure 2. Turkey’s Quarterly Merchandise Exports (Billion US Dollar)
Source: Ministry of Trade
Figure 3. The Main Partners for Export and Import in the first half of 2021 (Thousand US Dollar)
Source: Ministry of Trade