{"id":18789,"date":"2019-01-15T07:27:07","date_gmt":"2019-01-15T07:27:07","guid":{"rendered":"https:\/\/www.alj.com\/en\/?post_type=perspective&p=18789"},"modified":"2022-03-21T07:45:45","modified_gmt":"2022-03-21T07:45:45","slug":"toyota-turkey-twenty-year-history","status":"publish","type":"perspective","link":"https:\/\/alj.com\/en\/perspective\/toyota-turkey-twenty-year-history\/","title":{"rendered":"Toyota Turkey: a twenty year history"},"content":{"rendered":"

For more than 20 years, Toyota Turkey has led the Turkish automotive industry. \u00a0CEO Ali Haydara Bozkurt outlines his future vision.<\/strong><\/p>\n

Since entering the Turkish market in 1998, Toyota and its partners Abdul Latif Jameel have consistently worked to achieve long-term growth in the automotive sector and to improve consumer service and choice through their joint \u2018guest first\u2019 philosphy . \u00a0Now, as the automotive industry prepares for a once-in-a-generation technological shift away from diesel vehicles, the role of hybrid cars is becoming increasingly prominent. \u00a0Opening Doors met with Toyota Turkey Marketing and Sales CEO Ali Haydar Bozkurt<\/a> to learn more about this rapidly changing market.<\/em><\/p>\n

Q: Abdul Latif Jameel and Toyota have been together in Turkey for over 20 years. \u00a0How has Toyota\u2019s position in in the market changed? \u00a0And what makes you most excited for the next five years?<\/strong><\/p>\n

At Toyota Turkey, we sold 30,485 vehicles in the first 11 months of 2018. \u00a0In November 2018, we sold 5,403 cars, topping the charts with a market share of 11.7% – a huge success. \u00a0Now, we\u2019re gearing up for 2019, when we aim to use the strength of Toyota\u2019s new models to ensure we perform at the same level, despite the fluctuating economic conditions.<\/p>\n

Q:\u00a0 The Turkish currency faced big fluctuations over the last 12 months. \u00a0How did this situation affect the automotive market?<\/strong><\/p>\n

The rise in exchange rates has had a negative effect on sales, as have higher interest rates. \u00a0Fluctuations in exchange rates have an even bigger negative effect as they prevent you from being able to plan with any kind of certainty. \u00a0The sector is slowly starting to pick up momentum, however, from the Special Consumption Tax (SCT) and VAT incentives launched in early November.\u00a0 This is despite a generally weaker automotive market during the first 11 months of the year, when automobile and light commercial vehicle sales fell 34% compared to the same period in 2017.<\/p>\n

Q:\u00a0 According to the Turkish Electric and Hybrid Cars Platform, sales of hybrid cars rose by 61.5% in the first half of 2018. \u00a0What is the major reason for this rise?<\/strong><\/p>\n

The Turkish market has experienced promising growth, thanks to growing consumer awareness of hybrid technology and the SCT incentive on hybrid models. \u00a0We mobilized all our retailers in Turkey to promote interest in hybrid cars, and the rise in hybrid sales reflects this trend. \u00a0At Toyota, we\u2019ll work continuously to ensure our people are well-informed on the environmental, economic and driving experience benefits of this technology.<\/p>\n

In Europe generally, there is a growing shift towards hybrid cars. \u00a0As an alternative to conventional petrol or diesel cars, hybrids can now offer a wider range of models. \u00a0In Turkey, half the 2017 sales of the Toyota C-HR came from the hybrid model.<\/p>\n

Q:\u00a0 What is the future of the hybrid market in Turkey?<\/strong><\/p>\n

The whole world has started to take measures against diesel cars. \u00a0We\u2019ll see the effects of those measures in Turkey in a few years\u2019 time, but consumers are already changing their behaviour. \u00a0For drivers covering less than 30,000-40,000 km per year, buying a diesel car is already a questionable personal economic decision. \u00a0The difference today is that more and more people now realise this fact.<\/p>\n

Different brands have announced they won\u2019t develop new diesel motors in the next three to five years, and my own view is that we\u2019ll see a significant decline in diesel automobile sales from 2020 onwards. \u00a0That\u2019s when sales in hybrids \u2013 and also electric vehicles (EV) will really<\/em> start to increase.<\/p>\n

Our major advantage is that Toyota has been developing hybrid technology for more than four decades and has been selling hybrids for many years already. \u00a0There are approximately 13 million Toyota hybrid cars already in operation worldwide, with another 1.5 million added every year.<\/p>\n

\"Ali
Ali Bozkurt with the Toyota C-HR Hybrid<\/span><\/figcaption><\/figure>\n

 <\/p>\n

Q:\u00a0 Toyota has the largest share of the hybrid market with the C-HR, RAV4 and Auris models. \u00a0Why are Toyota hybrid cars so popular?<\/strong><\/p>\n

Apart from the unique hybrid driving experience, hybrid technology appears to be the most economical and ecological solution in the medium to long-term, without involving rent-a-battery costs and without requiring major nationwide charging stations or other similar infrastructures.<\/p>\n

\u00a0<\/strong>In the Turkish market, we have the broadest hybrid product line-up \u2013 including the Yaris Hybrid, RAV4 Hybrid, Prius, Auris Hybrid, Auris Touring Sports Hybrid, and Toyota C-HR Hybrid. \u00a0This positions us both as pioneers and the leading hybrid brand in Turkey \u2013 just as we are in many other locations around the world. \u00a0The rapid growth in the shift to hybrid technology will only increase from 2020, when every Toyota passenger car is offered in a hybrid version.<\/p>\n

\"Toyota<\/p>\n

Q:\u00a0 When will hybrid cars become a \u2018normal\u2019 preference of people in Turkey?<\/strong><\/p>\n

From 2021, much more sensitive regulations on emissions will be introduced around the world. \u00a0I expect diesel sales to minimize as time goes by, and hybrids will be the first alternative when it comes to replacing diesel.<\/p>\n

Already, 33% of drivers in Turkey name hybrids as their preferred choice for their next car. Only 2.5 years ago, that figure was just 18%. \u00a076% of people now answer \u2018yes\u2019 to the question \u2018would you consider buying a hybrid car?\u2019, while only 3% claim they have never heard of hybrids \u2013 down from 10% just 2.5 years ago.<\/p>\n

All of these are important developments, and Toyota is striving towards a target of more than half of its global sales coming from hybrid vehicles.<\/p>\n

Q:\u00a0 Do you expect fuel prices will help to drive consumers towards hybrid cars in the next five years?<\/strong><\/p>\n

Yes, I think this is inevitable. \u00a0Fuel prices in Turkey rose 22% between January 2018 and December 2018. \u00a0Facing such increases, Turkish car users have focused on cheaper-to-run vehicles, including hybrids, which can reduce costs by up to 38% depending on the usage dynamics.<\/p>\n

Q:\u00a0 How important are government incentives in encouraging people to buy hybrids? <\/strong><\/p>\n

The incentives recently introduced in Turkey, such as SCT, have given hybrid technology an official \u2018seal of approval\u2019, and so strengthens consumers\u2019 confidence around hybrid vehicles. \u00a0<\/p>\n

The SCT rate applicable for hybrid cars in Turkey is 45% to 60% for passenger cars with an electric motor above 50KW and with a motor cylinder volume of 1,600 cm3<\/sup>-1,800cm3<\/sup>, compared to the previous rate of 90%. \u00a0The SCT rate for hybrid cars with an electric motor power of 100 KW, and with a motor cylinder volume of 2,000 cm3<\/sup>-2,500 cm3<\/sup> is now 100%-110%, compared to 145% previously.<\/p>\n

Hybrid cars now enjoy the same tax rate as Turkey\u2019s favourite vehicles, making them much more affordable. \u00a0Hybrid cards manufactured in Turkey would be even more competitive.<\/p>\n

Thanks to this adjustment, hybrid cars that were once considered to be the technology of the future are now increasingly taking their place in today\u2019s traffic.<\/p>\n","protected":false},"author":14,"featured_media":19846,"template":"","tags":[],"acf":[],"yoast_head":"\nToyota Turkey: A Twenty Year History | Abdul Latif Jameel\u00ae<\/title>\n<meta name=\"description\" content=\"Abdul Latif Jameel & Toyota have been together in Turkey for over 20 years & led the Turkish automotive industry. 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