Unit Price Increases in the Fixtures Sector Stopped the Decline in Exports

The export figures for December 2024 and the January-December period in the sector of fittings, valves, faucets, and plumbing equipment have been announced. Despite a 3.03% decrease in export volume in December compared to the same month of the previous year, the increase in unit price from $6.45 to $6.54 helped limit the decrease in December exports to 1.71%. The sector's exports in December amounted to $316 million.

Germany ranked first with $28.6 million in exports in December, followed by Iraq with $16.1 million, the USA with $13.4 million, Russia with $12.6 million, and France with $10.8 million. Compared to December of the previous year, exports to the United Arab Emirates saw a significant increase of 141.15%, reaching $8.2 million.

EXPORT UNIT PRICES INCREASED, EXPORT DECLINE WAS LIMITED

With the announcement of December figures, the numbers for 2024 were also revealed. Accordingly, the sector closed 2024 with an export of 3 billion 905 million liras, reflecting a 0.36% decrease compared to the previous year. The quantity of exports last year showed a 4.9% decline. Despite this significant drop in volume, the limited decline in value was attributed to the increase in exports per kilogram. The export price per kilogram in the fittings, valves, faucets, and plumbing equipment sector rose from $6.10 to $6.39, marking an increase of 4.75% compared to the previous year.

'WE NEED INSTRUMENTS TO SUPPORT EXPORTS'

Evaluating the announced figures, Gökhan Turhan, Chairman of the ARMATÜR Association Board, stated that 2024 would be a challenging year not only for them but for the entire industry due to the triangle of high interest rates, high inflation, and low exchange rates. He pointed out that input, transportation, labor, and general expenses have weakened production capacity, stating, "The implemented fiscal policies, high credit interest rates, and reduced liquidity have brought about a lack of demand. We could not achieve our export targets due to fluctuations in global trade and the fiscal policies of developed countries, as well as issues we faced in pricing."

Highlighting the importance of stronger support for export financing given the weak domestic demand conditions, Turhan noted, "In 2025, alongside these challenges, we will need new industrial policies and instruments to support exports. Moreover, the inability of our sector to meet its 2024 export targets requires a more cautious and strategic approach."