Dear Friends,

This morning, the Honda administration announced that Honda ends its production in Turkey by 2021. 
In fact, this statement is no surprise to us. Those who read my article on February 23, 2019 will remember,  Honda implied this point in its first statement dated 19 February 2019. The New Economic Cooperation Agreement, which came into force between Japan and Britain at the beginning of February, had a significant impact on this decision.  The agreement removes 10% customs duty on imported cars produced in Japan to UK within 10 years. This makes Honda’s production in Japan more competitive for UK. Bearing in mind that Honda can sell only 136,191 cars in 2018 for European markets where 18 million cars are sold annually, we may understand the decision to feed European market at more competitive prices from its facilities in Japan. 
On the other hand, Honda has deployed a new production policy in favour of electric motor vehicles. So much so that from 2030, two-thirds of the production will be electric cars. 

In the light of all these developments, what will be the situation after 2021 of Honda Gebze plant which has been manufacturing in our country since 1997?  With its annual production capacity of 50,000 units, 770 qualified engineers and workers, and the production of 38,000 Honda Civic Sedan in 2018, will an important center of our automotive industry and exports be completely knocked out after 2012?

Dear friends, here are my a very important call :

Since we are trying to make a domestic and National C segment SUV car by 2022, let’s deal with Honda Management. By doing so ; 
1. With the support of Honda’s new era production policy, we can use their ready Gebze facility for our national and domestic electric car. So we may eliminate the cost of a greenfield investment from scratch.
2. We may use the ready and qualified 770 engineers and workers ‘ ready work force at this facility.
3. Most importantly, we may introduce our domestic and national car to export market, with nearly 150 thousand annual potential in Europe.
4. Thus, we have the opportunity to use Honda’s sales and service organization both in Turkey and in Europe without facing the new investment cost.              

My Dear Friends,

French PSA Group bought Opel at a price of 2.2 billion euros in March 2017. By acquiring Opel’s organization, which has 1.5 million sales per year in Europe, PSA has taken over production and R & D centers and market potential. Couldn’t we have done that? Of course we could. We missed this opportunity as a country. Now we have the opportunity to have a Honda Turkey facility in front of us. Let’s not miss this, please.

See you in my next articles.