JUNE 2018 ISSUE: 121
MACHINERY EXPORTERS UNION MONTHLY MAGAZINE
UNIT PRICES INCREASE 10 PERCENT IN MACHINE EXPORTS TURKISH MACHINERY’S FAIR MARATHON CONTINUES
POWER SUPPLIES
OF MACHINES:
HYDRAULIC
AND PNEUMATIC
MOMENT IN ENGLISH
UNIT PRICES INCREASE 10 PERCENT IN MACHINE EXPORTS IN MAY, REACHING THE HIGHEST MONTHLY EXPORT FIGURE IN THE HISTORY OF TURKEY’S ECONOMY, THE MACHINERY SECTOR HAVE INCREASED THE TOTAL EXPORTS TO $7 BILLION IN THE FIRST FIVE MONTHS OF THE YEAR. WHILE MACHINE EXPORTS GREW BY 24 PERCENT COMPARED TO THE SAME PERIOD OF THE PREVIOUS YEAR, SECTOR’S SHARE IN TURKEY’S TOTAL EXPORTS ROSE TO 10.3 PERCENT WHILE THE EXPORT OF THE SECTOR HAS INCREASED TO $7 BILLION.
W
hile the total exports in the first five months of the year reached to $69 billion in Turkey’s economy, one of the sectors that increased exports the most was machinery industry. During this period, exports increased 24 percent to $7 billion, raising the sector’s share in Turkey’s total exports to 10.3 percent. Kutlu Karavelioğlu, Chairman of the Board of Machinery Exporters’ Association, who shares views on the positive developments in the export figures of the machinery manufacturing sectors, said; “With the resumption of
• 116
new projects and investments all over the world, the demand for machines is increasing, especially we are receiving many new orders from European countries.” And underlined that the growth rates ranging from 20 percent to 30 percent in the leading markets of the machinery sector, such as Germany, USA, UK and Italy, has been reached. He also said; “We see that the durability of investments throughout the world is now lagging, especially the sectors operating in manufacturing industry are beginning to flourish. There is an intense interest in Turkish machinery
in this period when machinery and equipment investments are re-emphasized. Our exports to Germany have already exceeded 1 billion dollars. The increase in exports to strategic markets like Russia has reached 58 percent.” Karaveloglu reiterated that the strategic goal of the machinery industry is to increase the share of hightech products. WE WILL REACH OUR EXPORT GOAL Karavelioğlu also pointed out that one of the most important data is the increase in the unit prices in this period when the sector
experienced a high demand increase, and said; “While the volume-based increase in machinery exports was 10 percent, the value-based increase reached 24 percent. In this period when we see the effects of the fluctuations in the exchange rate, the unit price per kilogram increased from 5.9 to 6.4 dollars, that is, about 10% increase, and it is a very positive display. We will continue to contribute to Turkey’s goal and vision of increasing the share of hightech products in the total exports.” Karavelioğlu stated that the machinery sector has increased in all export markets without being tied to a single country, and that all sub-sectors are also in an intense rise, and said; “When we look at the sector in general, we see that in all product groups there is an activity, the exports of engines and equipments exceed 1 billion dollars and the exports of air conditioners and refrigerators reach 1 billion dollars. We believe that, in cooperation with all of our sub-sectors, we will reach the goal of 18 billion dollar machine exports at the end of the year.”
TURKISH MACHINERY IS IN THE TARGET MARKET, GERMANY TURKISH MACHINERY PARTICIPATED IFAT FAIR HELD IN MUNICH, AND HIGHLIGHTED THE PRODUCTION POTENTIAL OF THE TURKISH MACHINERY SECTOR WITH ITS PROMOTIONAL ACTIVITIES.
T
urkish Machinery has made significant efforts to strengthen the image of the Turkish machinery sector by participating the IFAT, the fair on environment and water technology which was held on May 14-18 in Munich, Germany. During the five-day exhibition, Turkish companies have been able to introduce their new products and technologies to visitors from various countries of the world. The fair, which hosts 3 thousand 305 companies from 58 countries, was visited by 141 thousand people from 60 different countries. Turkey, which was represented by 90 companies with the national participating organization of Istanbul Chamber of Commerce, was the forth country to participate with the highest number of companies abroad. Numerous conferences and meetings were held during the fair, which covered three sub-themes, namely waste water treatment systems, solid waste recycling, and on vehicle equipment/street cleaning. ARÜSDER AND POMSAD ALSO PARTICIPATED TO THE FAIR Turkish Machinery was represented by Machinery
Branch Expert Şeyda Yıldız Sarıca, and Secretary General of POMSAD, which is among the MAKFED member associations, was present on the stand of Turkish Machinery, and informed the visitors about Turkish machinery sector and its members. ARÜSDER, another MAKFED member association, participated with its own stand. During the meetings and visiting made within the scope of the fair, Turkish Machinery informed the relevant institutions and people about the Turkish machinery sector, economic situation, and investment opportunities. 117 • HAZİRAN 2018
MOMENT IN ENGLISH
TURKISH MACHINERY WAS IN MILANO FOR PLAST 2018 TURKISH MACHINERY ONCE AGAIN SHOWED SUPPORT FOR THE SUB-SECTORS OF THE MACHINERY BY JOINING PLAST 2018, THE PLASTIC/RUBBER AND ITS TECHNOLOGIES, EQUIPMENTS HELD IN ITALY BETWEEN MAY 29 AND JUNE 1.
T
urkish Machinery informed the visitors about the Turkish machinery sector by joining Plast, the plastic/ rubber and its technologies, equipment held every three years in Milan, Italy. The fair, which was organized for the 24th time for this year and exhibited the products of 1510 companies from 55 countries, was visited by 183 thousand people in four days. 33 companies from Turkey attended to the fair where innovative solutions were display for plastic and rubber industry. Within the scope of the fair, PAGDER organized a national participation organization. PRODUCTION POTENTIAL OF TURKISH MACHINERY SECTOR WAS HIGHLIGHTED Turkish Machinery, with ads given to the various points of the exhibition area has underlined the production potential
• 118
of the Turkish machinery sector. Turkish Machinery also prepared brochures and product information, including stand numbers of Turkish companies participating in
the fair and handed them out to visitors. Machinery Branch Manager Mehtap Önal and Machinery Branch Expert Aydan Işıl Aydın, who were representing MAİB and Turkish Machinery, attended to the fair. PAGDER, a member of the Federation of Machinery Manufacturing Industry Associations (MAKFED), informed the exhibitors at their own stand about the member firms and their sectoral activities. On the other hand, the Fiera Milano RHO Fair Area hosted four more fairs at the same time as Plast 2018. The latest technologies in the sectors
of automotive, building and construction, electricity-electronics, information and telecommunication, packaging, raw materials, and recycling as well as plastic and rubber, were exhibited on five fairs including Ipack-Ima, Meat-Tech, Print4 All, Intra Logistica Itali, and Plast 2018. At Plast 2018, the stand of Turkish Machinery was visited by Milan Trade Attaché Dr. Emre Orhan Öztelli and his delegation. Representatives of Turkish Machinery also took the assessment of the fair participants by visiting the stands of Turkish and foreign companies.
TURKISH MACHINERY TOOK ITS PRODUCTION POTENTIAL TO RUSSIA TURKISH MACHINERY PARTICIPATED TO THE MACHINE TOOLS AND METAL PROCESSING MACHINES FAIR METALLOOBRABOTKA, WHICH WAS HELD IN MOSCOW, THE CAPITAL OF RUSSIA FOR THE 19TH TIME THIS YEAR, AND EXHIBITED THE PRODUCTION POTENTIAL OF THE TURKISH MACHINERY SECTOR IN THE RUSSIAN MARKET. metal machines, cutting tools, coating and heat treatment and testing tools and equipments, has been displayed. Moscow Commercial Counselor Murat Haydar Özturk also visited the stand of Turkish Machinery.
T
urkish Machinery participated to the machine tools and metal processing machines fair Metalloobrabotka 2018 which was held in Moscow in May 14-18, to perform promotional activities in Russia. 32 thousand and 497 people from 57 countries visited the fair where machinery producers from 33 countries are hosted.
Machinery Department Experts Aybüke Tuğçe Karabörk and Bahar Özcan Kaynak participated to fair as the representatives of Turkish Machinery, and nine Turkish companies also took place in the fair with their stands. In addition, the Machinery Manufacturers Association (MİB), which is a member of the associations of the Machinery Manufacturing
Industry Associations Federation (MAKFED), informed the exhibitors about their membership and associations activities at their stand. Turkish Machinery held meeting with various associations, institutions, and companies within the scope of Metalloobrabotka Fair where cutting-edge technologies in the fields of cutting, forming, casting and welding
“WE WILL KEEP COMPETING WITH QUALITY AND BRANDING, NOT WITH PRICES” The Chairman of MAİB and Turkish Machinery, Kutlu Karavelioğlu pointed out the importance of business connections in Germany and Russia in reaching the export targets of the Turkish machinery manufacturing sectors in 2018 and said; “The way to increase the demand for quality products is not to compete with price competition, but to successfully carry out branding studies. At the center of branding activities are marketing and promotional activities. Germany and Russia are among our most important target markets in this field. In this context, Metalloobrabotka and all other fairs we participate contribute to the awareness of the Turkish machinery sector.” 119 • HAZİRAN 2018
MOMENT IN ENGLISH
THE FIRST TURKISH CHAIRMAN IN THE HISTORY OF EUROVENT NACI ŞAHIN, WHO HAS BEEN A MEMBER OF EUROPEAN COOLING AND AIR CONDITIONING DEVICE MANUFACTURERS ASSOCIATION (EUROVENT) SINCE 2011 AND HAS BEEN SERVING AS FIRST VICE PRESIDENT OF EUROVENT FOR THE PAST ONE YEAR, WAS SELECTED AS THE FIRST TURKISH CHAIRMAN OF EUROVENT ON EUROVENT GENERAL ASSEMBLY IN OSLO ON 25 MAY.
N
aci Şahin, Chairman of the Board of Directors of the Association of Climatization Cooling and Air Conditioning Manufacturers (İSKİD) between 2013 and 2014, and still serves as the General Manager of FRITERM, Naci Şahin was elected Chairman of the Board of Directors of EUROVENT in the EUROVENT General Assembly held on 25 May in Oslo, the capital of Norway. Naci Şahin has been active in the EUROVENT Board of Directors for the past seven years as the first member of İSKİD in 2011 and has been serving as First Vice President of EUROVENT for the past year. EUROVENT former term Chairman Alex Rasmussen congratulate Naci Şahin while handing over the baton, and said; “As EUROVENT we continue our work at global level. In our work, we promote industry cooperation, reducing trade barriers, and friendship across boundaries. The new chairman of EUROVENT, as well as being the leader of a large industry, also symbolizes our seriousness in our words. Our members do not support the recent wave of protectionism and adopt the understanding that goods, people, and service movements are kept as flexible • 120
and open as possible. In this sense, Naci Şahin will serve as an important bridge between our activities in Europe, Central Asia and the Middle East.” Naci Şahin in his speech after taking over the Presidency of the Board of Directors, said that they would focus on increasing the efficiency and awareness of EUROVENT on a global scale, and said that EUROVENT Summit can be held in Turkey in 2020. Şahin said; “It is a great honor for me to be elected president of the European HVAC&R sector association. Since its inception, EUROVENT has brought together the European HVAC & R industry, reduced trade
barriers, actively played a role in shaping legislation and standards, and motivated our industry to move energy efficiency, product quality, indoor air quality and many other aspects to the next level. EUROVENT also supported the transition to EPBD and Ecodesign legislation which is also in force in Turkey. EUROVENT Certification programs have led to higher levels of quality in our industry. Throughout my presidency, we will also focus on other important issues just as we will continue with development projects initiated by our former presidents, Christian Herten and Alex Rasmussen. For example, we will continue our efforts to
increase the effectiveness of EUROVENT in the European HVAC&R industry at EU institutions. Again, we will intensify and develop international relations of EUROVENT. In this context, as well as our efforts to improve relations between Turkey and the European HVAC & R industry, the EUROVENT member base will focus on the development of central and southeastern Europe, especially in Eastern Europe. Our efforts to develop a long-term vision of tangible goals in Europe and in the world have already begun. In order to achieve these goals, we will also strengthen our financial infrastructure of EUROVENT.”
THE DEFINITION OF SME HAS CHANGED THE DEFINITION OF SMES, WHICH ARE CONNECTED TO THE FINANCIAL SECTOR, WAS CHANGED WITH THE “REGULATION ON THE AMENDMENT OF THE REGULATION ON THE DEFINITION, QUALIFICATIONS AND CLASSIFICATION OF SMALL AND MEDIUM-SIZED ENTERPRISES” PUBLISHED IN THE OFFICIAL GAZETTE DATED 24 JUNE 2018 AND NUMBERED 30458. ACCORDINGLY, SOME MACHINERY MANUFACTURING COMPANIES, WHICH WERE NOT CONSIDERED AS SMES IN THE PAST, WILL ENTER THE DEFINITION OF SME AND BENEFIT FROM KOSGEB SUPPORT.
A
ccording to the amendment that was published in the Official Gazette, up to 3 million TL micro, up to 25 million TL small, and up to 125 million TL medium-sized enterprises are defined as SMEs. As it will be remembered, the previous SME definition required that any one of the annual net sales revenue or financial balance would be under 40 million TL, and according to the amendment published in the Official Gazette this figure was increased to 125 million TL. In this respect, some enterprises in the machinery manufacturing sector, which have particularly high added value, will also enter the definition of SME and benefit from KOSGEB support. In addition, in the same regulation, in the “presence of business data” article, important changes were made about the commitment or partnership relationship that other businesses have. WHAT IS THE CONTENT OF THE CHANGE? Classification of small and medium-sized enterprises Article 5 - (Amended: 10/9 / 2012-2012 / 3834 K.) SMEs
are classified as follows. A) Micro-enterprise: Enterprises employing fewer than 10 employees per year and not exceeding 3 million TL, whichever is the net annual sales or financial balance. B) Small sized enterprise: Enterprises employing fewer than 50 employees per year and not exceeding 25 million TL, whichever is the net annual sales or financial balance. C) Medium sized enterprise: Enterprises employing fewer than 250 employees per year and not exceeding 125 million TL, whichever is the
net annual sales or financial balance. Presence of business data Article 15 - Data, including employee numbers of independent enterprises, shall be determined only according to the accounts of that business. It shall be granted in the case of an enterprise with an affiliated or joint venture relationship, which shall be determined in accordance with the accounts of the entity and the accounts of the entity, if any, in the console, or other consolidated accounts in which the entity is included by consolidation,
(Amended third paragraph: 10/9 / 2012-2012 / 3834 K.) In the second paragraph, the data of the joint operation of the product or service produced by the enterprise related to the product or service produced is added. The rate to be added is the voting rights or the proportion of the shares in the capital (whichever is greater). In case of mutual participation of two or more enterprises, in the application by each, the larger participation rate is applied. All of the data of the affiliated entities of the respective business enterprise are included in the second paragraph when such data has not previously been included in the accounts by consolidation. When calculations are made under this article, the affiliation or partnership relationship of the affiliated or joint venture of the applicant business with other businesses is not considered. Where an entity does not have data relating to employees in its Consolidated Accounts, the number of employees is calculated by adding 100% of the number of employees of the affiliated companies to the number of employees of the joint ventures. 121 • HAZİRAN 2018
MOMENT IN ENGLISH
SUPPORT FOR DOMESTIC AND NEW MAHCINE INVESTMENT ACCORDING TO THE MINISTER OF SCIENCE, INDUSTRY AND TECHNOLOGY DR. FARUK ÖZLÜ, KOSGEB 2018 MACHINERY EQUIPMENT INTEREST SUPPORT PROGRAM WILL GENERATE A LOAN VOLUME OF 450 MILLION TL AND PROVIDE INTEREST SUPPORT AMOUNTING TO 100 MILLION TL.
M
inister of Science, Industry and Technology Dr. Faruk Özlü stated in the 2018 Machinery Equipment Interest Support Program, that the common goal of the support program and other supports is to make Turkey produce technology products and export these products, and said; “We bring our SMEs with high technology. Within KOSGEB’s new vision, we support especially our manufacturing industry in a technology-oriented manner. Now, KOSGEB’s main priority in support and incentive mechanism is manufacturing industry and high technology. In this framework, we are focusing our support and encouragement mechanisms offered by KOSGEB on our SMEs that produce technology. We encourage our SMEs for ‘domestic production’. We support R&D and innovation activities of SMEs. We are mobilizing all our resources to raise the share of high-tech products in our exports to 20 percent.” Dr. Özlü stated that Machine Equipment Loan Interest Support Program is an • 122
important step taken for economic growth of production-based, and reminded that the same support program was offered to the business in 2016, and said; “In 2016, 1088 enterprises benefited from the Machinery Equipment Loan Interest Support Program. Within the scope of the program, a loan amounting to 472 million TL was extended and 95 million TL interest support was provided by KOSGEB. With our new support program, we will generate a loan volume of 450 million TL to our businesses. We will provide
interest support amounting to 100 million TL. We set the upper limit of loan interest support to 300 thousand TL per business. The first six months of the credit period was determined as nonpayment, the remaining is determined to be payed as equal installments of three months, in total of 36 months.” Noting that they will accept applications for the Machine Equipment Loan Interest Support Program in June, Minister Özlü stated that businesses registered in KOSGEB database, operating in manufacturing industry and not prohibited from
KOSGEB support could apply, and said; “When purchasing to businesses, we bring the requirement of choosing ‘domestic and new’ machinery and equipment. In other words, with this support program, we support domestic and new machinery and equipment purchases. We will turn the wheels of our industry and our SMEs with our domestic machines. Because without the machinery sector we can not talk about industrialization. We will continue to mobilize all the instruments in our possession to further grow our machinery sector.”
713 INSENTIVE CERTIFICATE WERE ISSUED ON MAY ACCORDING TO THE MINISTRY OF ECONOMY, 713 INVESTMENT INCENTIVE CERTIFICATES WITH A FIXED INVESTMENT AMOUNT OF 11.5 BILLION TRY WERE ISSUED IN MAY, WHILE THE ESTIMATED EMPLOYMENT WAS ANNOUNCED AS 30 THOUSAND 205.
T
he Ministry of Economy issued in May the number of Investment Incentive Bulletins. Accordingly, in May, 713 Investment Incentive Certificates with a fixed investment amount of 11.5 billion TRY were issued while the estimated employment was 30 thousand 205. In May, 679 of the projects that received the Investment
Incentive Certificate were domestic and 34 were foreign-owned companies. The estimated total fixed investment amount for the incentive certificates organized for local firms was 9.7 billion TRY. On the other hand, 440 of 713 Investment Incentive Certificates consist of complete new investment, 201 extension and 72 other investments. The distribution of the estimated
total fixed investment amount of 11.5 billion TRY for the investment incentive certificates issued in May is as follows; 1.2 billion TRY to the energy sector with 50 documents, 2.9 billion TRY to the services sector with 193 documents, 6.9 billion TRY to the manufacturing sector with 447 certificates, and 464 million TRY to the mining sectors with 23 documents.
According to this, 30 thousand 205 people are planned to be employed when the investments which were issued with the certificate, are made in May. In the same period, 67 Investment Incentive Certificates with fixed investments amounting of 472 million 77 thousand 119 TRY, and estimated employment of 4 thousand 143 people, were canceled. 123 • HAZİRAN 2018
MOMENT IN ENGLISH
POWER SUPPLIS OF MACHINES: HYDRAULIC AND PNEUMATIC TODAY, HYDRAULIC AND PNEUMATIC SYSTEMS HAVE BECOME A DISTINCT ENGINEERING DISCIPLINE ON THEIR OWN. HYDRAULIC AND PNEUMATIC SYSTEMS, WHICH ARE ALSO THE SUBJECT OF THE OLDEST TECHNOLOGICAL DEVELOPMENTS IN HUMAN HISTORY, ARE THE KEY TO OPERATION OF MANY IMPORTANT MECHANISMS IN MODERN LIFE. IN THE HYDRAULIC AND PNEUMATIC SECTOR WHICH FORMS A TRADE VOLUME OF $44 BILLION IN THA GLOBAL MARKET, TURKEY HAS A SHARE OF 1.14 PERCENT OF THE GLOBAL MARKET AND AIMS TO GROW 10 PERCENT IN 2018.
M
ankind is using three main control methods in energy transmission: Mechanical, electrical and fluid power systems. In all of these systems, energy is transferred from the energy production source to the utilization source. While these three methods are generally used in combination to be more efficient, the main method in which force and speed can be controlled immediately and without damaging the • 124
system is noted as hydraulic and pneumatic power transmission method which utilizes fluid power. Fluid power is the power obtained by using pressurized fluids, whether liquid or gaseous, using their energy. When we look at the widespread use of fluid power in the industry, we see that hydraulic systems are used as systems that utilize the energy of pressurized oil, and pneumatic systems are used as systems that utilize the compressed air energy.
Hydraulic and pneumatic systems, which have become an engineering discipline today, are in an important position in manufacturing industries as engineering lorries that enable the pressurization of fluids and the operation of the mechanisms required in modern life through the conduction and control of these pressurized fluids. In this sense, hydraulic and pneumatic systems continue to be widely preferred in many sectors in the world due to their advantages.
AT THE SERVICE OF HUMANITY SINCE THE FISRT AGES OF HISTORY Today, all hydraulic and pneumatic systems are referred to as fluid power systems. Hydraulics is generally used to express technologies related to the production, control and transmission of power with pressurized liquids, while etymologically derived from the word “hydro”, which means water in Greek, and is used to generate power through water mills from rivers since the earliest times of history. While the sense of the hydraulics is changing with the progressive technology, hydraulics today refers to the acquisition, control and transmission of power with more desired flow and pressure. While it is believed that the first known work on fluids was made by Archimedes (285-212 BC), it is known that Archimedes developed a number of calculation methods for fluids, based on the lifting force of the water. However, the main developments in fluids come after the Renaissance. Leonardo da Vinci, Evangelista Torricelli
and Isaac Newton also work on mechanics of fluids, but we can say that the bases of modern hydrology in the theoretical and historical sense were laid by the French physicist Blaise Pascal in the middle of the seventeenth century with the Pascal Law, which is known by his name. About one hundred years later, in 1750, the Swiss physicist Daniel Bernoulli found the Bernoulli Equation, also known by his name, making the energy definition of a fluid flowing in the pipe mathematically feasible. All this, again about a century later (in the 1850s), found application with the Industrial Revolution and began to be used in many industrial applications, especially in the power transmission principle of water compacted by vapor pressure, in cranes, riveting machines and extrusion machines. THE HISTORY OF PNEUMATICS IS OLDER The history of pneumatic systems is more elongated.
The word pneumatic, derived from the word “pnuema” which means wind or breathing in ancient Greek, and the first pneumatic application is air bellow which was used in the mining and metallurgy industries in 2500 BC. The first industrial applications of pneumatics, which provide movement and control of valves (cylinders and motors) operating with gas pressure, as industrial definition, began in the mid 19th century, but today, as we understand it, widespread applications have begun to emerge from the middle of the twentieth century. In today’s terminology, pneumatic is the sum of all industrial applications that use energy present in compressed air, and is widely used for productivity, reproductivity and automation of manufacturing processes. In Turkey, this sector, which was conducted as procurement and reparation of spare parts, began to evolve in the production of hydraulic and pneumatic components after
the 1970s. Today, hydraulic and pneumatic sector in Turkey is providing project services in a large scale as well as production services. WE GET 1.14 PERCENT SHARE FROM THE GLOBAL MARKET The total size of the world hydraulic and pneumatic market continues to be at levels of $43.8 billion, according to the International Fluid Power Statistics (current data issued in 2016 and published in May 2017). While European Fluid Power Committee (CETOP) member countries including Turkey, US and China undertakes the large part of this amount, Japan and Taiwan also continue their strong contribution to the hydraulic and pneumatic business. Accordingly, the total size of CETOP, which has the members of Germany, Belgium, Czech Republic, Finland, France, Netherlands, England, Spain, Sweden, Switzerland, Italy, Norway, Poland, Romania, Slovenia,
and Turkey, in 2016 was 13.9 billion dollars, while the economic size of the US in hydraulic and pneumatic trade was 13.4 billion dollars and the economic size of China was 12 billion dollars. The hydraulic and pneumatic market size specific to Turkey continues its course of over $ 500 million. In other words, the share that Turkey gets from a global market with $44 billion, is 1.14 percent which is a limited size. According to the latest data released by TÜİK, while Turkey’s fluid power export rose by 24.5 percent to $191.7 million, the import rose by 12.7 percent to $310.3 million in 2017. During this period, Turkey’s most important export partners were Germany, Britain and Iran, and exports to Germany rose by 36.3 percent to $71.1 million, exports to the UK increased by 50 percent to $10.2 million, and exports to Iran rose by 30.3 percent to $10.1 million. The countries took place in Turkey’s hydraulics and pneumatics exports as 125 • HAZİRAN 2018
MOMENT IN ENGLISH follows; France with 170.6 percent increase, USA with 39.11 percent increase, China with 100.76 percent increase, Georgia with 42.85 percent decrease, Italy with 36.91 percent increase, India with 87.09 percent increase and Poland with 14.54 percent decrease. Similarly, the most important trade partners in Turkey’s imports of hydraulic and pneumatic were Germany, Italy and China, and imports from Germany increased by 14.09 percent to 94.6 million dollars, imports from Italy increased by 16.54 percent to 58.6 million dollars and imports from China increased by 7.73 percent to 21.2 million dollars. The countries took place in Turkey’s hydraulics and pneumatics imports as follows; Czech Republic with an increase of 24.76 percent, USA with an increase of 11.57
• 126
percent, South Korea with an increase of 0.4 percent, England with an increase of 17.5 percent, Japan with an increase of 4.32 percent, Slovakia with an increase of 12.92 percent and Bulgaria with an increase of 36.57 percent 10 PERCENT GROWTH IS EXPECTED IN 2018 Chairman of Fluid Power Association (AKDER), the umbrella organization of the fluid sector in Turkey, Semih Kumbasar is assessing the current position of the sector in Turkey, and underlines that they predicted a 10 percent economic growth in 2018 despite the continuation of the downturn in domestic sales, and said: “Unfortunately, the negative conditions regarding domestic sales still continue. But despite all of this, I can say that the
domestic market is performing better than expected. The hydraulic and pneumatic sector is a sector that makes and applies projects besides selling spare parts. The vast majority of the employment provided consists of technical staff and engineers. The facility or unit suitable for the customer’s request is designed and manufactured. Domestic and imported products are used together in manufacturing. Therefore, although uncertainty continues in 2018, we continue to work and expect domestic sales of 2018 to grow by 10 percent over the previous year. Similar increases can be said about exports.” OUR EXPORT VALUE PER KILOGRAM DECREASES, SOLUTION: VALUE-ADDED PRODUCTION On the other hand, Turkey’s
exports value per kilogram of hydraulic and pneumatic sector continues to progress at a low level compared to our rivals in the global market. As emphasized in the 8th National Hydraulic Pneumatics Congress (HPKON) Final Report that took place in November, while the export value per kilogram is $3.7 in Germany, $3.4 in Japan, $3.2 in Italy, $2.7 in South Korea, this value is decreasing for the last three years in Turkey, and it is still $1.4 per kilogram. While industry experts underline that the production of value-added products is essential for this change, it emphasizes the importance of establishing and sustaining production and branding grounds and atmosphere, including design and R & D processes.
EXPORT FIGURES IN RESPECT TO THE ACTIVITY FIELD OF THE MACHINERY AND ACCESSORIES (JANUARY 1 - MAY 31, 2017 AND 2018) 2017
2018
QUANTITY (1000 TONNES)
VALUE (MIL $)
$/KG
QUANTITY (1000 TONNES)
60,7
887,3
14,6
65,3
INDUSTRIAL AIR CONDITIONERS AND COOLING MACHINES
196,2
785,8
4
206,2
OTHER INDUSTRIAL WASHING AND DRYING MACHINES
188,7
505,8
2,7
CONSTRUCTION AND MINING MACHINES
112
371,4
3,3
PRODUCT GROUP
ENGINES, ACCESSORIES AND SPARE PARTS
Kaynak: All Exporter Unions Database
VALUE (MIL $)
CHANGE (%) $/KG
QUANTITY
VALUE
16,3
7,6
19,9
947,5
4,6
5,1
20,6
198,5
605
3
5,2
19,6
137
499,4
3,6
22,3
34,5
1.063
PUMPS AND COMPRESSORS
43,1
307,1
7,1
51,2
406,1
7,9
18,8
32,3
MACHINE TOOLS
41
270,4
6,6
46,5
348,5
7,5
13,5
28,9
AGRICULTURE AND FORESTRY MACHINES
61,5
271,1
4,4
68,2
320,9
4,7
10,8
18,4
TURBIN, TURBOJETS, TURBO PROPELLERS
7,3
232,6
31,6
6,5
285,4
43,6
-11,2
22,7
TEXTILE AND CLOTHING MACHINES AND ACCESSORIES
35,5
197,5
5,6
40,6
247,7
6,1
14,2
25,4
VALVES
21,6
195,3
9
24,2
240
9,9
11,7
22,9
REACTORS AND BOILERS
23,6
176,3
7,5
22,7
219,5
9,6
-3,5
24,5
FOOD INDUSTRY MACHINES, ACCESSORIES AND SPARE PARTS
35,9
181,8
5,1
36
214,1
5,9
0,3
17,7
9,9
139,4
14,1
8,9
211,2
23,6
-9,8
51,5
ROLLER AND FOUNDRY MACHINES, MOULDS
17,3
128,3
7,4
19,7
159
8,1
13,8
23,9
LOAD LIFTING, CARRYING AND STOWING MACHINES
27,6
110,7
4
33,3
150,2
4,5
21
35,6
INDUSTRIAL HEATERS AND COOKERS
18,1
126,5
7
19,8
144,4
7,3
9,4
14,2
GUM, PLASTIC, RUBBER PROCESSING MACHINES
5,8
60,7
10,4
7,7
82,9
10,7
33,6
36,6
PACKAGING MACHINES, ACCESSORIES AND SPARE PARTS
3,4
66,2
19,1
4,5
81,8
17,9
32
23,6
BEARINGS
4,8
52
10,8
5,7
63,7
11,1
18,7
22,4
OFFICE MACHINES
1,6
66,5
39,2
1,7
61,1
35,6
1,2
-8,1
PAPER MANUFACTURING AND TYPOGRAPHY MACHINES
5,2
32,6
6,2
5,5
40,2
7,2
6,5
23,4
LEATHER PROCESSING AND MANUFACTURING MACHINES AND ACCESSORIES
1,2
6,3
5,1
0,8
5,4
6,3
-29,8
-13,6
472,7
6,4
86,4
593,4
6,9
16,6
25,5
6,4
10,1
23,9
WEAPONS AND AMMUNITION FOR THE DEFENSE INDUSTRY
OTHER MACHINES TOTAL
74 997,2
5.645
5,7
1.098
6.992
127 • HAZİRAN 2018