The new tariffs announced by US President Donald Trump on April 2, 2025, impose a minimum basic tariff of 10% on all countries. Some of Türkiye’s biggest competitors in the textile sector, such as China, India, and Vietnam, will be subject to higher tariffs above the standard rate. These rates are 34% for China, 26% for India, and 46% for Vietnam. This is seen as an advantage for Türkiye, which is among the countries subject to only the 10% rate and not higher tariffs.
Due to political and economic developments in Türkiye, the rise in the dollar exchange rate and increased costs have put Türkiye at a disadvantage in production, major apparel brands have shifted their focus to Far Eastern countries. The outlook with the new tariff shows that Türkiye could emerge as an attractive candidate for globally renowned brands that have recently shifted their production from China to Vietnam in their search for new destinations.
However, considering that Türkiye previously exported to the US with very low tariff rates, including zero percent for some goods, the standard 10% rate is expected to make Türkiye’s exports to the US more expensive. Additionally, some experts express concerns about the negative impact of the exchange rate increase on the Turkish economy.
New tariffs could provide an advantage for Türkiye’s textile exports to the US
Economist Mahfi Eğilmez, in an article shared on his website, commented: “The imposition of additional tariffs above the standard rate on countries that are competitors to Türkiye in textile exports, such as China, India, South Korea, Italy, Pakistan, and Taiwan, will make the prices of textile products exported from Türkiye to the US much more competitive. Therefore, Türkiye could gain a significant advantage in textile exports.”
Trump calls investors to the US
Mahfi Eğilmez explained that by implementing these new tariffs, Donald Trump aims to correct the negative trade balance with countries with which the US has a trade deficit, in other words, to reduce the trade deficit. “Additionally, as a result of these increased tariffs, it is expected that producers selling goods to the US, especially American companies that have invested in Far Eastern countries, will come to the US, make their investments there, and thus boost economic growth,” he said.
The US is the second-largest market for Türkiye’s textile exports in 2024
According to data from İTKİB, in 2024, the US ranked second after Italy with a 6.8% share in Türkiye’s textile and raw materials exports. The sector exported a total of $780 million to the US during this period. In February 2025, the US ranked third with a 6% share after Italy and Germany.
In 2024, Türkiye achieved a trade surplus in 65 chapters by exporting $16.4 billion to the US and importing $16.2 billion. The sectors with the highest surplus included carpets and other textile floor coverings, with a value of $820 million.