Core conclusions:Turkey has a population of approximately 86 million people, with its GDP reaching around $1.32 trillion in 2024. The sequence of steps involved when Chinese factories enter Turkey is as follows: “CE certification and Turkish language documentation → reduction of tariffs and adaptation to buyers’ preferences → settlement in US dollars or euros”. The certification process typically takes between 4 to 8 weeks. The volume of orders is usually between $5,000 and $20,000 per order.
1. Location of the Turkish market: It serves as a transit point between Europe and Asia, while also meeting local demand.
Turkey spans both Europe and Asia, with a population of approximately 86 million people. Its GDP in 2024 was estimated at around $1.32 trillion. Turkey's manufacturing industry primarily focuses on textiles, automobiles, and steel industries. However, products in the electronics, lighting, household appliances, and building materials sectors rely heavily on imports. China has long been one of Turkey's primary sources of imports. For factories, Turkey offers two types of value: first, the local retail and construction markets (where demand for building materials and lighting is driven by real estate and municipal projects); second, being a transit point between Asia and Europe—many Turkish buyers import Chinese goods and then sell them to Middle Eastern and North African markets. Since 1996, Turkey has established a customs union with the European Union. Industrial products can enter the EU market under certain conditions, which helps some factories use Turkey as a stepping stone for further expansion. However, the criteria for determining the origin of goods are quite strict, and the risk of violating regulations through simple labeling and transshipment needs to be carefully evaluated.
II. The first hurdle: CE certification and Turkish language materials
Turkey's import standards are highly aligned with those of the European Union. For goods such as electronics, machinery, toys, and building materials that are subject to regulation, a mandatory requirement during customs clearance is to have CE certification (covering regulations such as LVD for low voltage, EMC for electromagnetic compatibility, and RoHS for hazardous substances). Without CE certification, customs may impound the goods. Electrical and wireless products must provide a compliance statement, and plugs must be compatible with European standard two-prong plugs (Type C/F) and 220 volts at 50Hz. Additionally, offline retailers and construction projects often require TSE (Turkey Standards Association) certification. Merely having CE certification is often not enough to get products into mainstream Turkish markets. Consumer product packaging, instructions, and safety warnings must be available in Turkish, as these are key points of inspection by customs. It is recommended to first obtain both CE and Turkish documentation to ensure smooth customs clearance, and then decide whether to obtain TSE certification based on the target market.
III. The second hurdle: customs clearance, tax obligations, and buyer preferences
Regarding customs documents, commercial invoices, packing lists, bills of lading, and origin certificates must be completely consistent with the data reported during customs clearance. It is recommended to use dollars or euros for pricing. The standard VAT rate in Turkey is 18%, with some goods subject to an additional 1% or 8% tax. Certain categories of products are subject to anti-dumping duties on Chinese imports (for example, ceramic products may be subject to a tax rate of over 50%). It is necessary to verify the HS code before submitting quotes. Turkish buyers tend to be sensitive to prices, prefer small orders and flexible payment terms, and have longer pricing cycles. The tax exemption for personal parcels has been reduced to less than 30 euros; anything exceeding this amount will be treated as commercial goods for customs purposes. Another point that should not be overlooked is that Turkey requires importers to complete foreign exchange payment declarations within 120 days after customs clearance. This directly affects the payment schedule for large orders.
IV. The third threshold: Lira settlement and risk control provisions
The exchange rate of the Turkish lira fluctuates significantly. Therefore, it is necessary to clearly specify the settlement currency and payment terms in contracts with Turkish buyers: payments must be made in US dollars or euros. Long-term payment terms in lira are not accepted. Priority will be given to new customers who pay a 30% deposit upfront, along with the remaining amount upon receipt of the bill of lading copy, or through letters of credit. Acceptance against delivery (D/A) methods are not recommended. For buyers involved in construction projects, payment cycles are relatively long. It’s better to reduce the order size if necessary in order to ensure payment obligations are fulfilled. There are three key requirements for factories: the payment must be in US dollars or euros; the upfront payment percentage should be at least 30%; and payment terms and interest rates must be specified in the contract.
| threshold | specific requirements | Factory actions |
|---|---|---|
| CE certification | LVD/EMC/RoHS regulations; mandatory customs clearance requirements | Completed and marked before leaving the factory. |
| TSE and Languages | Commercial shopping centers often require such specifications in their labeling guidelines. | Decided based on the channel. Please make sure all necessary documents are prepared first. |
| settlement currency | The lira is experiencing significant fluctuations | The contract is denominated in US dollars/euros. A prepayment of 30% is required at the beginning. |
V. Channels and Rhythm: From Testing to Scaling Up
In terms of distribution channels, Istanbul’s wholesale markets and building materials chains cover the majority of retail sales. Real estate developers, construction contractors, and municipal projects typically use engineering channels to obtain business opportunities. Additionally, local exhibitions such as the Turkish International Lighting Exhibition provide excellent opportunities to meet potential buyers. It is recommended to complete certification processes and prepare materials in Turkish language within the first two months. From the second to third month, use customs data and exhibition lists to identify potential buyers, and send out emails in Turkish language. From the third to fourth month, attempt to secure 2-3 orders worth $5,000 to $20,000 each, and ensure smooth customs clearance and payment collection. Once these initial orders are successful, then we can discuss the annual business framework. Those who rush to take on large orders may end up being offered lower prices during the price comparison process.
6. Common questions
1. If I only have CE certification and not TSE certification, can I still start doing business in Turkey?
Yes. The CE and Turkish language materials can ensure smooth customs clearance and access to wholesale channels. The TSE certification, on the other hand, serves as a requirement for offline supermarkets and construction projects. We can handle any additional requirements raised by customers once we have received orders, thereby saving some upfront costs.
2. What should I do if Turkish buyers require quotes in lira?
It is possible to refuse to use lire as the payment currency in the contract. Instead, we can accept an arrangement where prices are stated in dollars, and the buyer can convert the currency at their own discretion. The fluctuation of the lire value within a year might exceed the profit margin of the order itself. Therefore, the currency specification is more important than the price specification.
3. Is it possible to export goods from Turkey to the EU?
It is necessary to meet the EU’s rules regarding the place of origin. Generally, substantial processing must be carried out in Turkey. Simple labeling and transshipment do not meet the requirements for determining the place of origin, and may even trigger the EU’s investigation into the transshipment route. Treating it as an independent market is safer than treating it merely as a stepping stone.
For factories that export household appliances, lighting equipment, and building materials, Turkey is a market where certification procedures are not very complicated, but risk management is quite challenging. It takes between 4 to 8 weeks to obtain the CE certification along with the necessary Turkish documentation. What truly determines profitability or loss is the currency in which transactions are conducted and any upfront payments required. If you need to check the certification requirements for your products in Turkey, please contact Qihang Zhilian at 180-0327-6609.
Qihang Zhilian Foreign Trade Research Institute
