Auto Aftermarket Faces Crisis Despite Soaring Demand

The automotive aftermarket industry in Turkey is grappling with an alarming slowdown, even as customer demand climbs. A toxic mix of rising inflation, limited access to financing, and severe cash flow issues has forced three companies to file for concordat (debt restructuring) in just the past 20 days.

According to Ali Özçete, President of the Automotive Aftermarket Products and Services Association (OSS), the sector is undergoing “one of the most difficult periods in recent memory.” He revealed the findings of the second-quarter 2025 industry survey, which paint a bleak picture. “For the first time in our 30-year history, OSS members have declared concordat,” Özçete noted. “Three major firms have done so in the last 20 days, bringing this year’s total to four. What’s more concerning is that these are long-established manufacturers with active export operations.”

The survey indicates that although the domestic market saw a marginal 1% increase in dollar terms, expectations for the third quarter remain grim. Investment confidence is at a historic low, with Özçete stating, “Nearly 85% of our members are not planning any new investments, and one in three believes things will deteriorate further in the coming months.”

Speaking to Ekonomim, Özçete stressed that cash flow challenges have become the number-one threat to business survival. “While operational costs surged by 200%, the exchange rate rose by 110%. Companies are struggling to absorb the difference with their own resources,” he said.

The OSS represents a sector that employs around 100,000 people and governs a domestic market worth $8.8 billion. Yet, the recent survey reveals severe stress:

• 76.7% of members reported serious cash flow problems,

• 69.9% pointed to surging costs, and

• 47.9% highlighted business losses.

Özçete concluded with a strong call to action: “For a sustainable recovery, we need structural reforms and a stable economic environment.”