Cementing Our Minds: Why Turkey’s Economy Remains Stuck in the Concrete Age

As the global economy undergoes rapid transformation, Turkey continues to fall behind by clinging to outdated priorities like construction, while missing opportunities to build a resilient, high-tech export model.

By Çetin Ünsalan, ParaAnaliz columnist and business journalist

As the world economy rapidly evolves, Turkey’s inability to move from rhetoric to action has become painfully obvious — and is now being laid bare in the country’s own official reports.

We talk a good game about national production, strategic autonomy, and becoming a new global supply hub. But the hard truth is this: Turkey remains trapped in low value-added production, unable to break free from pricing pressure and still clinging to industries that no longer guarantee global competitiveness.

The latest data from the Turkish Statistical Institute (TÜİK) for 2024 confirms the troubling trend. Even in sectors where Turkey had a comparative advantage — like automotive manufacturing — the country is losing ground. Meanwhile, concrete production continues to rise.

This is not a simplistic comparison between cars and cement. But consider this: Turkey’s share of high-tech exports remains stuck below 3.5%, and export revenues per kilogram haven’t moved beyond $1.4 for decades. In an era where technology defines value, our minds seem to be encased in concrete — and those who resist this calcification are pushed out of the system.

Why We Keep Missing the Exit Ramp

There are glimmers of hope. Since the formation of Turkey’s Service Exporters Association, we’ve seen an increase in domestic input-based exports that don’t contribute to the trade deficit. This shows a possible way forward.

But producing services isn’t enough. We must use the know-how and technological sophistication we gain from service industries to transform traditional sectors into indispensable, high-value export champions. That means building a real ecosystem — one that enables sustained innovation and competitiveness.

Instead, we’re discouraging producers across the board — from agriculture to industry, from software to services. We treat them as tax cows rather than strategic assets. We lack an inventory-based economic planning system. The result? Entrepreneurs and producers are walking away from the economy altogether.

Why Startups Don’t Stand a Chance

Take Turkey’s booming startup ecosystem. These ventures have huge potential, yet most founders sell their companies after initial success. Why? Because they lack the capital, the market depth, and the policy support to grow further. Many simply cash out and start over — or abandon production entirely.

This isn’t just anecdotal. TÜSİAD’s Cost-Based Competitiveness Index highlights the broader systemic failure. Think back to 2015: compare today’s cost structures, market dynamics, and global shifts to that baseline. If in 2025 we are less competitive than we were a decade ago — and no one in power is worried — then we are staring at the real problem.

Everything else is window dressing. Empty slogans. Nationalist bombast. And concrete — not just in our buildings, but in our thinking.

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