The export climate index rose to 51.2 in January, indicating improvement for the 13th consecutive month.

The Istanbul Chamber of Industry (ISO) announced that the Turkey Manufacturing Sector Export Climate Index increased to 51.2 in January, showing improvement in the index for the past 13 months. The results for January of the ISO Turkey Manufacturing Sector Export Climate Index, which measures activity conditions in Turkey’s main export markets, were revealed. Figures measured above the threshold value of 50 indicate an improvement in the export climate, while values below 50 signal deterioration. According to the results, the ISO Manufacturing Sector Export Climate Index, which was 50.9 in December, rose to 51.2 in January, indicating improvement for the 13th consecutive month in external demand conditions. This improvement, though moderate, was the most significant since August 2024.

WEAKNESS IN EUROPE NEGATIVELY IMPACTED
In manufacturing industry exports, with a share of 8%, Germany, Turkey’s largest foreign market, saw production stabilize in January after a 7-month decline. Despite the loss of momentum compared to the end of 2024, economic activity in the United Kingdom and the United States remained in the expansion zone in January.

Last month, Spain and Russia, two other countries within Turkey’s top 10 largest export markets, showed strong growth in production. Signs of weakness in some key markets in Europe and other countries adversely affected the overall outlook. Production in Italy, France, the Netherlands, and Romania started the new year with contraction. The decline in Romania was the highest in the country’s 19-month survey history.

HIGHEST GROWTH IN MIDDLE EAST COUNTRIES
The Middle East continued to maintain its status as the region with the highest growth rates. Saudi Arabia recorded the highest rate of expansion in the past 1.5 years, while the non-oil economic activity in the United Arab Emirates (UAE) continued to show a strong upward trend. Similarly, production in India and Kuwait also saw strong growth. The most significant economic activity decline among the countries covered in the survey was observed in South Africa, reaching its highest rate in the past 3.5 years.