Comparative Analysis of The Competitiveness of Turkey's Iron-Steel Industry

Abstract

The values of the Grubel-Lloyd, Vollrath and CEP indices are important indices usedto show the countries' competitiveness levels. Turkey wants to prove and maintainits presence in the iron and steel sector, which has been the locomotive sector ofindustrialization for years. Turkey's iron and steel industry competitiveness, to acomparative analysis with other countries Grubel-Lloyd, volrath and Kip indiceswere calculated for the years 2001-2017. As a result of analysis, Turkey; it operates inindustry trade against the USA, Germany, China, Britain and Russia. In Addition, ithas a comparative advantage in the field of iron and steel and its competitiveness isquite high. The country where we have the highest competitive power and exportshare from these 5 countries is USA, considering the intra-industry trade values. TheUSA is followed by China, Britain, Germany and Russia respectively. In industrialtrade, which is the feature of Industrialised Country, Turkey sells significantamounts of iron-steel out and also buys it from outside. Considering these analyses;In the iron and steel sector, which is a capital intensive sector, iron-steel sectorinvestments should be encouraged in order to maintain the increase continue incompetitiveness observed against the USA, Germany, China, Britain and Russia andto increase its competitiveness. For this, financial arrangements such as the necessaryinfrastructure investments and tax incentives appear to be a viable policy.