Turkey and Syria have agreed to a roadmap for revitalizing their stalled trade relations after Syria raised customs duties on Turkish imports. Meetings between officials aim to reassess these duties and resume discussions on the suspended Free Trade Agreement. Experts caution against the risks of over-dependence on Turkish goods but see an opportunity for mutual economic growth.
The Turkish Ministry of Trade has announced a new roadmap to address trade disputes with Syria after the recent changes in the Syrian government. This shift led to a substantial hike in customs duties on Turkish imports, which rose by as much as 300 percent, effectively halting bilateral trade that amounts to $2 billion annually.
Following meetings between Deputy Minister Mustafa Tuzcu and his Syrian counterparts, both nations have agreed to reassess customs duties and seek to revitalize the Turkey-Syria Free Trade Agreement (FTA) that has been suspended since 2011. They aim to collaborate in various sectors, including industrial and agricultural trade, transportation, and contracting services.
Turkey has historically supported the Syrian opposition and has been a pivotal player in Syria. However, fluctuating political dynamics and the pressure from the presence of three million Syrian refugees complicate relations. The Turkish government is now looking to create economic partnerships through the new roadmap.
Sinan Hatahet from the Syrian Forum emphasized the need for a balanced trade relationship but cautioned against abandoning Syria’s economic autonomy. He highlighted that adjustments in customs duties should transparently lower production costs without leading to over-reliance on Turkish imports, suggesting a phased FTA instead.
Experts have noted that the previous surge of Turkish goods into Syria at lower prices had unsettled the local market and caused discontent among Jordanian and Lebanese businesses. It is anticipated that Turkey would play a significant role in Syria’s reconstruction, which could cost up to $360 billion.
Hatahet suggested that cooperation could facilitate growth for both Turkish and Syrian businesses. He noted that while Turkish firms should expand their operations, they must do so in partnership with Syrian counterparts to ensure benefits remain in Syria without monopolizing sectors.
Recent geopolitical changes in Syria, particularly the rise of a new government, have impacted trade relations with Turkey. Following the government’s decision to raise customs duties on Turkish imports, bilateral trade has come to a standstill, prompting Turkey to seek a resolution through negotiations and economic partnerships. Historical support for the Syrian opposition has complicated Ankara’s domestic and foreign policy, necessitating a careful balancing act in trade relations.
The new roadmap between Turkey and Syria aims to restore bilateral trade that has been disrupted by increased customs duties. It emphasizes the importance of a balanced, cooperative approach that fosters economic growth in Syria while ensuring Turkish investments support local industries. Proper management of trade agreements is essential to protect Syria’s economic autonomy and create sustainable partnerships.
Original Source: www.middleeasteye.net
