We Focus on the Next Three Months
As we enter the final stretch of a challenging year with October, we find ourselves navigating through difficult times. While we dream of a world where peace and tranquility prevail, unfortunately, our region is trapped in a spiral of violence. The escalation has intensified with Israel's continued massacre in Gaza for over a year, now extending to attacks on Lebanon. Meanwhile, in Ukraine, there seems to be no hope for peace on the horizon.
I am fully aware that as a nation, we are passing through a critical period that demands the utmost caution. These conflicts surrounding us pose significant threats not only to our security but also to our economy. As tensions rise, our export operations to the Middle East become even more crucial.
When we review the nine-month export performance, we observe a general flat trend with fluctuations along the way. While we managed to close July and August with gains, our exports declined by 1.8% in September, amounting to $22 billion. For the nine-month period, our exports increased by 3.2% to reach $192.8 billion. Although we have recorded growth compared to last year, we are still far from our desired target. This stagnation in exports largely stems from domestic conditions. With the growing gap between costs and exchange rates, our competitiveness has weakened. However, we cannot overlook the impact of global developments. Weak demand within the European Union, particularly with concerns of a recession in our largest market, Germany, continues to affect our exports negatively.
In September, annual inflation in our largest export market—the European region—fell below 2%, reaching 1.8%, the lowest level since 2021. The decline in both interest rates and inflation is expected to support the growth of the EU economy. We anticipate that this economic recovery will initially benefit our automotive, apparel, and steel sectors.
However, to benefit from these positive developments, it is essential to enhance the competitiveness of Turkish exporters. In September, the European Union ranked first among our export markets, with $9.1 billion in exports. Including other European countries, the total share of European exports reached 58.2%. If the necessary conditions are met, we have the potential to further increase our share in this familiar EU market.
Meanwhile, the U.S., the world's largest economy, will hold elections in November. As our second-largest export market, we expect these elections to also have repercussions on our export performance.
Although September was one of the months with a decline in exports this year, we still managed to increase our exports to 113 countries. In 42 countries, we achieved an export growth of over 50%, while in 87 countries, the increase exceeded 10%.
While we continue to expand into new and distant markets with our intensive trade delegations, our neighboring region will always remain our most important mark.
As we maintain our momentum toward long-term goals, the export community is now focusing on the next three months. Despite the loss in competitiveness and the surrounding turmoil, we are committed to making the most of the final quarter and reaching our $264 billion target with all our strength.
This year, we celebrate the 101st anniversary of our Republic. As part of the export community, we understand the responsibility we bear to further strengthen our Republic in its second century and enhance the prosperity of our nation. With the same passion, determination, and dedication that guided us on October 29, 1923, we continue our journey. We honor with respect, gratitude, and reverence Veteran Mustafa Kemal Atatürk and all the heroes who entrusted us with this invaluable legacy.