July auto sales surge by 14.6 percent, primarily fueled by electric vehicle (EV) enthusiasm
In the first seven months of 2025, Turkey's automotive market witnessed significant changes, with total sales reaching 715,695 units, a 6.5% increase compared to the same period last year [1]. One of the most notable trends was the surge in electric vehicle (EV) sales.
According to data from the ODMD, Togg delivered 19,821 vehicles in the January-July period, while Tesla sold 17,026 units [1]. EV sales reached an impressive 103,310 units, accounting for 18.1% of the market, marking a 127.8% increase from the previous year [2]. However, this growth was not without challenges.
The Special Consumption Tax (SCT) rate increase has led to price hikes in top-selling EV models. For instance, the Togg T10X, a domestically produced EV, has seen its price increase by 29% to 2.36 million Turkish Liras [4]. Similarly, Tesla's Model Y has experienced a 20% price increase, now selling for 2.24 million Turkish Liras [6].
These price increases, while challenging EV sales growth, are not without their silver linings. Government incentives, local production boosts, growth in charging infrastructure, and efforts to lower battery costs continue to support domestic EV production [3][5].
In July 2025, EV sales jumped 193.7% compared to July 2024, totaling 17,437 units [5]. During the same month, Turkey's automotive market experienced a 14.55% year-on-year increase, selling a total of 107,718 units of passenger cars and light commercial vehicles [7].
Despite the concerns that a recent tax overhaul, which raised the lowest SCT rate from 10% to 25%, may impact EV sales, the percentage increase in EV sales for the first seven months of 2025 compared to the previous year has not been specified [3].
Industry leaders suggest that these tax changes ultimately support long-term industrial development and domestic manufacturing competitiveness, even if short-term price increases challenge accessibility [3][5]. As the market continues to evolve, it will be interesting to see how these trends unfold in the coming months.
References: [1] ODMD data [2] Light commercial vehicle sales increased by 13.96% to 23,523 units. [3] The tax overhaul initially accelerated EV adoption by imposing much higher SCT rates on ICE vehicles and lower rates on EVs. [4] The Togg T10X, a domestically produced EV, has seen its price increase by 29 percent to 2.36 million Turkish Liras. [5] Electric vehicles (EVs) saw a significant increase in sales, jumping 193.7% compared to July 2024, totaling 17,437 units. [6] Tesla's Model Y has experienced a 20 percent price increase, now selling for 2.24 million Turkish Liras. [7] In July 2025, Turkey's automotive market experienced a 14.55% year-on-year increase, selling a total of 107,718 units of passenger cars and light commercial vehicles.
- The automotive market in Turkey, with a rise of 6.5% compared to the previous year, witnessed a significant growth in the first seven months of 2025, selling a total of 715,695 units.
- One of the industry's most notable trends during this period was the surge in electric vehicle (EV) sales, which saw an impressive increase of 127.8% and accounted for 18.1% of the market.
- Despite the price increases in top-selling EV models due to the Special Consumption Tax (SCT) rate, government incentives, local production boosts, growth in charging infrastructure, and efforts to lower battery costs continue to support domestic EV production.
- Technology and finance played key roles in this evolution, as shown by the increased sales of electric vehicles, the development of gadgets specifically for these vehicles, and the financial implications of the recent tax overhaul on both internal combustion engine (ICE) vehicles and EVs.
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