Ankara: Speaking at a news conference in the capital Ankara, Omer Bolat announced that Trkiye's trade deficit has declined by 15.7% in the first five months. Exports decreased by 9.3% year-on-year to $22.5 billion in May, while imports fell by 10.7% to $28.1 billion.

According to Anadolu Agency, the drop in imports surpassed the reduction in exports last month, contributing to an improved trade balance despite calendar effects and public holidays impacting export performance. Bolat highlighted that May 2025 witnessed the republic's monthly export record at $24.8 billion. Although public holidays in May negatively affected exports, they also reduced imports and the foreign trade deficit.

In the period from January to May, Trkiye's exports saw a slight rise of 0.3% to $111.2 billion, while imports increased by 1.2% to nearly $154 billion. The total foreign trade volume reached $265 billion, with an export-import coverage ratio of 72.2%. Bolat noted that annualized exports reached $273.5 billion, with annualized imports rising by 4.2% to $367.2 billion. The annualized foreign trade deficit was $93.65 billion, slightly above the end-2025 level.

Bolat emphasized that the real assessment would be made after completing the first half of the year. The annualized export-import coverage ratio stood at 74.5%. He mentioned that imports were constrained in the first five months due to lower gold and automotive imports, while oil imports increased by $2.5 billion, and natural gas imports remained stable.

Bolat also highlighted that medium-high and high-technology product exports accounted for 44% of total exports in the first five months. The EU continued to be Trkiye's largest export market, with shipments to the bloc rising by 0.6% to $48.6 billion from January to May. The EU accounted for 43% of total exports, with Germany being the top export destination, followed by the US, UK, Italy, France, and Iraq.

Exports to Gulf countries were affected by regional conflicts in March, with a 30% month-on-month decline, but they recovered in April and continued to improve in May. In terms of product groups, defense industry exports posted the largest rise in January-May, increasing by $943 million. Ship exports rose by $683 million, electrical machinery and equipment by $604 million, motor vehicles by $445 million, and fruit exports by $322 million.

Bolat predicted a record grain harvest for Trkiye this year, noting that some grain imports continue under inward processing arrangements for quality needs in flour and pasta exports. He also mentioned that Trkiye's services exports reached $122.6 billion last year, generating a $63.5 billion surplus, and the government targets $128 billion in services exports for this year. Additionally, Bolat added that Trkiye was informed that Ukraine is expected to finalize the approval process for a free trade agreement with Trkiye in the near future.