Turkey hopes for lower US tariffs under Trump, lira rallies
Lira and Turkish assets rally on Trump's victory
Investors see potential benefits for Turkey's economic program
Turkey's aggressive rate hikes cool inflation, boost reserves
Adds U.S. tariffs paragraph 3, investor comment paragraphs 10-11, Turkey's economic programme, paragraph 12
By Ezgi Erkoyun and Nevzat Devranoglu
ISTANBUL, Nov 7 (Reuters) -Turkey expects Donald Trump's White House will lower tariffs on its steel and textile exports, the trade minister said on Thursday, as the lira and Turkish assets continued to rally on prospects of new U.S. trade and foreign policies.
"We expect that...customs duties will be reduced in our foreign trade, especially in steel and textile products," Trade Minister Omer Bolat said on broadcaster AHaber, adding that Turkey's defence and financial sectors could also benefit.
Bolat did not elaborate. Trump has promised to levy 10% tariff on all imported goods, to restrict migration and to quickly end wars taking place to Turkey's north and south, in Ukraine and the Palestinian territory of Gaza respectively.
Trump's sweeping U.S. presidential victory on Wednesday helped spark a rally of as much as 0.4% in Turkey's lira TRYTOM=D3, to 34.2 to the dollar, its strongest level since mid-October.
Istanbul's benchmark stock index jumped nearly 3%, marking its best day since May on Wednesday.
Investors and bankers said any renewed U.S. push for peace could underpin Ankara's 18-month old economic turnaround programme, led by Finance Minister Mehmet Simsek, which relies in part on foreign inflows to reverse years of soaring inflation.
Bolat said he expected the Trump administration, to begin in January, would benefit Turkey's defence industry needs, despite past U.S. sanctions that were leveled under Trump's first term over Ankara's purchase of Russian S-400 missile defences.
He also said he expected fallout on banks to ease from Washington's current Russia-related embargoes over Moscow's war in Ukraine.
Trump's promised trade and immigration policies could also leave Turkey relatively unscathed among large emerging market (EM) economies such as Brazil, Mexico and China, bankers said.
"The Turkey trade is a relative outperformer within global EMs with the Trump victory," said Blaise Antin, head of EM sovereign research at asset manager TCW in Los Angeles.
"Yet Turkey is mostly driven by the domestic story and whether Team Simsek can maintain control over the steering wheel for all of 2025," he added. "If so, then it'll be a very good story for Turkish bonds and the lira."
Turkey's aggressive interest rate hikes to 50% have begun to cool annual inflation to below 50% last month from above 75% in May. The policy turnaround that began in mid-2023 has helped lift net international reserves to $60 billion from -$5.7 billion, boosted in part by a return of foreign investors.
Writing and additional reporting by Jonathan Spicer; Editing by Daren Butler, William Maclean
Aset Terkait
Berita Terbaru
Pengungkapan: Entitas XM Group menyediakan layanan khusus eksekusi dan akses ke Fasilitas Trading Online kami, yang memungkinkan Anda untuk melihat dan/atau menggunakan konten yang tersedia pada atau melalui situs, yang tidak untuk mengubah atau memperluas, serta tidak mengubah atau memperluas hal tersebut. Akses dan penggunaan ini selalu sesuai dengan: (i) Syarat dan Ketentuan; (ii) Peringatan Risiko; dan (iii) Pengungkapan Penuh. Oleh karena itu, konten disediakan hanya sebagai informasi umum. Anda juga harus ketahui bahwa konten Fasilitas Trading Online kami bukan sebagai ajakan atau tawaran untuk untuk melakukan transaksi apa pun di pasar finansial. Trading di pasar finansial mana pun melibatkan tingkat risiko yang signifikan pada modal Anda.
Semua materi yang diterbitkan di Fasilitas Trading Online kami hanya untuk tujuan edukasi/informasi dan tidak boleh mengandung nasihat dan rekomendasi finansial, pajak investasi atau trading, catatan harga trading kami, penawaran, permintaan, transaksi dalam instrumen finansial apa pun atau promo finansial untuk Anda yang tidak diminta.
Konten pihak ketiga apa pun, serta konten yang disiapkan oleh XM, seperti opini, berita, riset, analisis, harga, informasi lain atau link ke situs pihak ketiga yang tersedia "sebagaimana adanya", sebagai komentar pasar umum dan bukan menjadi nasihat investasi. Sejauh konten apa pun ditafsirkan sebagai penelitian investasi, Anda harus memperhatikan dan menerima bahwa konten tersebut tidak dimaksudkan dan belum disiapkan sesuai dengan persyaratan hukum yang dirancang untuk mempromosikan kemandirian riset investasi dan dengan demikian akan dianggap sebagai komunikasi pemasaran di bawah hukum dan peraturan yang relevan. Mohon dipastikan bahwa Anda telah membaca dan memahami Notifikasi pada Riset Investasi Non-Independen dan Peringatan Risiko kami mengenai informasi di atas, yang dapat diakses disini.
