The Turkish News Digest reports that Turkish automotive company Ford Otosan will boost by 15% year-on-year its vehicle output to a total 239,000 units in 2005.
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The company, which is a joint venture between Turkish industrial conglomerate Koc and Ford, achieved an all-time high output of 206,615 vehicles in 2004.
Ford Otosan manufactured 99,765 vehicles in the first five months and targets new records for 2005, Ford Otosan director general Turgay Durak said.
The company plans to export 155,000 vehicles and to sell on the local retail market 130,500 vehicles, including 85,800 commercial vehicles and 44,700 passenger cars, this year.
Ford Otosan expects the local commercial vehicle and passengers car market to total 725,000 in 2005. According to Durak, the market will shrink less than expected in the beginning of the year due to increasing commercial vehicle sales. He added that the annual drop in car sales could remain at 4%.
The Turkish commercial vehicle and passenger car market expanded by 88% on the year to 753,731 vehicles in 2004 due to a drop in interest rates and strong pent-up demand supported by tax incentives on scrappage.
With the saturation of delayed demand incentives on scrap vehicle sales were reduced and the special consumption tax (OTV) on new cars was increased in the second half of 2004 which was expected to result in a drop of between 15 pct to 20 pct in domestic vehicle sales in 2005.
