ICI Türkiye Export Climate Index Posts 51.6 in March
- 08.04.2024
- News
The Istanbul Chamber of Industry Manufacturing Export Climate Index rose to 51.6 in March from 51.1 in February. Foreign demand conditions of Turkish manufacturing companies improved for the third consecutive month in March. It is the most significant improvement since May 2023. The economic activity strengthened in most of the leading export markets of the Turkish manufacturing sector with the main exceptions of Germany and France.
Growth accelerated in other Eurozone economies such as Italy and Spain, while expansion rates in both countries reached their highest levels in the last 11 months. Among the main export markets of the Turkish manufacturing industry, the country with the strongest improvement in demand conditions was the United Arab Emirates (UAE) which received a 3.5 percent share of the export volume. As for the BRIC economies, strong growth was observed in China and Brazil. Output increase in China was at the highest rate in the last 10 months.
The Istanbul Chamber of Industry (ICI) Turkey Manufacturing Export Climate Index, which measures the operation conditions in the key export markets of the Turkish manufacturing sector, announced the results of the index for March 2024. In the index, the figures above the 50.0 no-change mark signals an improvement in the export climate, while the figures below signals a deterioration. The Turkish Manufacturing Sector Export Climate Index rose to 51.6 in March from 51.1 in February, staying above the 50.0 no-change mark for the third month running. The index pointed out that the improvement in the export climate was moderate, but at the most significant level in the last 10 months.
THE US MAINTAINED ITS STRONG GROWTH PERFORMANCE
The economic activity in Germany and France, the two largest economies of the Eurozone, continued to contract sharply at the end of the first quarter, while demand trends were more positive in other regions. Growth accelerated in other Eurozone economies such as Italy and Spain, while expansion rates in both countries reached their highest levels in the last 11 months. Economic activity in the United Kingdom continued to increase strongly on a monthly basis. At the other side of the Atlantic, the USA where output has increased for the last 14 months, maintained its strong growth performance, although it slowed down compared to February.
OUTPUT INCREASE IN CHINA AT THE HIGHEST LEVEL IN THE LAST 10 MONTHS
Among the main export markets of the Turkish manufacturing industry, the country with the strongest improvement in demand conditions was the United Arab Emirates (UAE) which received a 3.5 percent share of the export volume. Economic activity also increased sharply in Greece, Saudi Arabia and India. On the other hand, a more negative outlook emerged in some Central and Eastern European economies. Manufacturing industry output decreased in Romania, Poland and the Czech Republic. In Russia, which differs from the general trend in the region, economic activity has expanded over the last 14 months. As for the other BRIC economies, strong growth was observed in China and Brazil. Output increase in China was at the highest rate in the last 10 months. On the other hand, the contraction in economic activity in South Africa continued at an accelerated pace.
Commenting on the Istanbul Chamber of Industry Türkiye Manufacturing Export Climate Index, Andrew Harker, Economics Director, S&P Global Market Intelligence, said: “As growth in the global economy becomes more widespread, sales opportunities are expanding in a large part of the markets that are important for Türkiye's manufacturing industry exports. Only Germany and France are behind this trend. Therefore, in the coming months, Turkish companies will hope that these two countries will show signs of recovery in terms of strengthening foreign demand conditions.”
*You can find attached the entire Istanbul Chamber of Industry Türkiye Export Climate Index March 2024 report.