Türkiye Is Emerging as Europe’s Nearshoring Anchor for Industrial Production Türkiye is undergoing a structural shift from a historically volatile emerging market toward a more stable, export-oriented industrial economy with growing strategic relevance to Europe. With GDP reaching approximately USD 1.6 trillion in 2025 and steady real GDP growth of around 4%, the country is combining macroeconomic stabilisation with industrial expansion.

While services continue to dominate at 58% of GDP, the rising contribution of manufacturing, now accounting for 17%, signals deepening industrial capacity and closer integration into European production networks. This is reinforced by strong trade performance. Goods exports have reached a record USD 273 billion, growing steadily over the past decade, while imports remain elevated, reflecting Türkiye’s role in globally integrated supply chains that rely on intermediate inputs.

At the same time, services trade is expanding rapidly, with exports and imports both growing at around 10% annually. This reflects strengthening capabilities in logistics, tourism and regional connectivity, positioning Türkiye not just as a production base but as a broader economic node linking Europe, Asia and the Middle East.

For international companies, Türkiye is evolving into a cost-competitive nearshoring platform that combines manufacturing scale with geographic proximity to European markets. Its integration into EU supply chains, improvements in the services sector and consistent export growth make it a compelling option for firms seeking to diversify production, reduce lead times and build more resilient regional supply chains.