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Türkiye plans to relocate Istanbul industrial zones over quake risks

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Türkiye is drawing up a plan to relocate industrial zones in Istanbul to more disaster-resilient areas as part of a strategy to mitigate the economic fallout of a possible major earthquake in the region, a report said on Wednesday.

The plan comes amid rising concerns about the long-anticipated Istanbul earthquake, which experts say could pose a severe threat not only to the metropolis’ population but also to the country’s industrial base.

A magnitude 6.2 tremor rattled the city this April, reviving memories of a historic quake that devastated the country’s southeast two years ago and raising anxieties about the city’s lack of preparedness.

The quake marked the biggest in years in Istanbul, which straddles the Bosporus dividing Europe and Asia and sits just north of a fault line crossing the Marmara Sea.

A significant share of Türkiye’s manufacturing and exports are concentrated in and around the Istanbul metropolitan area, zones that are highly vulnerable to seismic activity.

Any disaster would stagger Türkiye’s economy, given that the broader Marmara region accounts for more than 40% of the national gross domestic product (GDP).

There are nine industrial areas in Istanbul, according to OSBÜK, the umbrella organization representing the zones.

The Industry and Technology Ministry’s 2030 Industrial Strategy includes a dedicated chapter on earthquake resilience.

The new plan will prioritize risk analysis of existing industrial areas, followed by the identification of relocation zones that meet stringent disaster-resilience standards, a report by private broadcaster NTV said.

Quake-resilience will be a primary criterion and new industrial zones will be developed with robust infrastructure and modern safety standards, it noted.

Where relocation is not feasible, authorities plan to reinforce existing industrial facilities to improve their earthquake resistance.

The envisioned industrial areas will be strategically placed with rail and port connections, according to the report.

To facilitate this, the government will encourage private-sector investment and explore alternative financing models.

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Economy

Germany says COP31 in Türkiye could turn climate pledges into action

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The COP31 climate conference in Türkiye later this year could become “the summit where political commitments turn into measurable progress,” a top German official said on Thursday.

The energy crisis triggered by the war in the Middle East has fueled calls for countries to shift away from fossil fuels and step up efforts to deploy renewable energy.

“The collective experience with the Strait of Hormuz, and how vulnerable most of us are to fossil-fuel price shocks, could make the decisive difference,” German Environment Minister Carsten Schneider said.

“Climate action today is also about economic strength, security of supply and competitiveness.”

Schneider’s remarks came after a two-week annual U.N. climate change talks in the western German city of Bonn wrapped up.

Bonn is where texts are drafted and differences are narrowed ahead of the decisions taken by political leaders at the U.N.-sponsored COP31 climate talks, which are due to start Nov. 9 in Antalya, southern Türkiye.

Schneider said the Bonn meetings had shown that the Paris climate agreement remained the common benchmark despite geopolitical tensions. “Now its implementation must accelerate significantly,” Schneider told dpa.

He called on more countries to submit ambitious new climate targets ahead of COP31. Türkiye will host the summit, while Australia will oversee the formal negotiations.

Backsliding risk amid geopolitics

U.N. climate chief Simon Stiell said Thursday countries made some progress at the Bonn talks, but warned against backsliding as geopolitical tensions stalk negotiations.

In a statement, Stiell said “real strides” were made on issues including ensuring a “just transition” to ensure the shift to a low-carbon economy is fair and inclusive.

He also recalled that Türkiye unveiled a target to make electricity account for one-third of the world’s energy demand by 2035.

The aim would be to shift transport, heavy industries, and home ​heating away from running on oil, coal and gas, to instead use technologies ⁠like electric industrial furnaces, electric cars and heat pumps.

“In key areas we’ve taken real strides forward,” Stiell said, while acknowledging that “in others, we have seen some side-stepping and stalling. We’ve seen geopolitical tensions washing through these halls.”

“We simply cannot afford to reopen previous decisions, to renegotiate existing targets, or to backslide,” he said.

He warned countries against “cherry-picking” the global commitments that “suit tactically in the moment.”

He cited commitments to science, the Paris Agreement’s ambitious goal of limiting warming to 1.5C from preindustrial levels and pledges by rich nations to provide more climate finance to developing countries.

Environmental groups praise Türkiye’s proposal

At the same time, environmental organizations gave the Bonn conference a mixed assessment.

They welcomed the proposal by the Turkish government to increase the global share of electricity in final energy consumption from 20% to 35% by 2035.

Laura Schafer from pressure group Germanwatch praised the initiative as a “positive sign,” adding that it was “crucial to underpin this target with concrete national measures – including in Germany.”

Oxfam climate expert Jan Kowalzig emphasized that “electrification is, in principle, an important step toward climate neutrality, but only if it is accompanied by a consistent transition to renewable energy.”

On the other hand, the organizations agreed that the pace of the conference had been far too slow.

“We have witnessed structural paralysis here in Bonn,” warned Greenpeace climate expert Jannes Stoppel. Negotiations were progressing in “baby steps” when “giant strides” were needed, he said.

Fentje Jacobsen of WWF Germany said climate finance had once again remained a major sticking point.

The climate crisis can only be halted if coal, oil and gas take a back seat and renewable energies shape the future, Jacobsen said.

“But here, too, concrete progress is lacking. We can see that in Germany as well. The federal government is currently putting on the brakes instead of pushing ahead with the energy transition at full speed,” she said.

Climate facts increasingly challenged

U.N.’s Stiell criticized what he described as a tendency for countries to wait for others to act first.

“In some negotiating rooms, we’ve heard a familiar tendency toward you-first-ism: Groups refusing to deliver commitments or allow the process to move forward unless others go first.”

Representatives from several countries, including Switzerland, Sierra Leone and Pacific island states particularly affected by rising sea levels, complained at a press conference that facts about the climate crisis were increasingly being challenged during the negotiations.

They argued that the conferences were intended to find solutions to climate change, not to debate the current state of scientific knowledge.

Schneider backed those concerns and also criticized attacks on the scientific foundations of climate research.

“It is encouraging that a large number of countries from both the Global South and the Global North are standing together against this,” he said.

More than 6,500 delegates from governments, the scientific community, business and civil society from almost all U.N. member states have attended this year’s Bonn conference.

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Economy

Türkiye opens final leg of one of world’s longest metro routes

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Türkiye completed its longest and fastest metro line on Friday with the opening of the final section of the project that further expands Istanbul’s rail transport network and strengthens links between the city center and its main airport.

President Recep Tayyip Erdoğan attended the inauguration of the 22-kilometer (13.7-mile) Halkalı-Arnavutköy section, the last phase of the project that he said would significantly improve transportation for millions of Istanbul residents.

The final leg brings the total length of the fully underground Gayrettepe-Istanbul Airport-Halkalı line to 69 km. The route includes 16 stations.

“We are weaving our city, one of the world’s largest metropolises, with a population of 16 million and nearly 20 million annual visitors, stitch by stitch with a network of railways,” Erdoğan told the opening ceremony.

Before the event, he inspected the line, telling reporters that it’s “a manifestation of a modern vision.”

The first 47-kilometer section was put into service gradually in recent years.

The Kağıthane-Istanbul Airport leg was inaugurated in late January 2023, the Kağıthane-Gayrettepe section was opened in late January 2024, while the Arnavutköy-Istanbul Airport leg was launched in March of the same year.

President Recep Tayyip Erdoğan speaks at the ceremony to inaugurate the Halkalı-Arnavutköy section of the Gayrettepe-Istanbul Airport-Halkalı metro line, Istanbul, Türkiye, June 19, 2026. (AA Photo)

President Recep Tayyip Erdoğan speaks at the ceremony to inaugurate the Halkalı-Arnavutköy section of the Gayrettepe-Istanbul Airport-Halkalı metro line, Istanbul, Türkiye, June 19, 2026. (AA Photo)

The opening of the Halkalı-Arnavutköy section marks the completion of “one of the longest metro lines not only in Türkiye but in the world,” Erdoğan said.

The line will operate at speeds of up to 120 km per hour, making it Türkiye’s fastest metro route and one of the longest underground airport metro connections in the world.

The newly opened section includes five stations: Ibn Haldun University, Kayaşehir, Olimpiyatköy, Halkalı Stadium and Halkalı.

With the addition of these stations, around 1.5 million residents in Istanbul’s Başakşehir and Küçükçekmece districts will gain direct rail access to both the city center and Istanbul Airport.

The information board shows Istanbul's railway network map. (DHA Photo)

The information board shows Istanbul’s railway network map. (DHA Photo)

The route is integrated with several major transportation networks.

At Halkalı station, passengers can connect to the Marmaray commuter rail system running beneath the Bosporus, high-speed rail services, the Halkalı-Bahçeşehir suburban line and the Yenikapı-Kirazlı-Halkalı metro line.

Additional transfers are available to the M3 metro line at Kayaşehir, the M9 line at Olimpiyatköy and the future M7 extension at Halkalı Stadium.

“Millions of our citizens now have easy access to central locations in Istanbul,” said Erdoğan.

Travel times on the completed route will be significantly reduced, with journeys between Halkalı and Istanbul Airport estimated to take around 30 minutes and trips between Halkalı and Gayrettepe lasting 57 minutes.

The line also incorporates Türkiye’s first domestically developed railway signalling system, produced by defense electronics company Aselsan.

Workers are seen beside an entrance to the Halkalı Stadium station, Istanbul, Türkiye. (DHA Photo)

Workers are seen beside an entrance to the Halkalı Stadium station, Istanbul, Türkiye. (DHA Photo)

The network will operate using a fully automated driverless system. Of the 25 train sets deployed on the route, 15 were manufactured to fully driverless standards.

The government estimates that the project will generate total economic benefits of 935 million euros (nearly $1.1 billion) by 2043 through time savings and lower road maintenance and operating costs.

Officials project that reduced traffic congestion alone will save travellers approximately 117 million hours over the period.

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Economy

Türkiye approves Uber’s acquisition of Getir delivery business

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Türkiye on Friday said it had approved Uber Technologies Inc.’s acquisition of ​the delivery arm ​of Turkish company Getir from ⁠Emirati controlling shareholder ​Mubadala.

The global logistics giant said ⁠in February it had agreed to acquire ⁠Getir’s ​delivery arm, ​expanding the U.S.-based company’s Turkish ​footprint.

“The commitment by Uber ​Technologies Inc. to invest a total of US$500 ​million in Türkiye ​is expected to support high-quality ‌employment, ⁠strengthen local engineering capabilities, and positively contribute to the development ​of ​Türkiye’s ⁠digital and technology infrastructure,” the Competition Authority (RK) said on Friday.

The deal comes after Uber purchased the majority of the stake in another popular delivery service firm – Trendyol Go – in Türkiye last year.

Following the closing of the deal, Uber said it plans to combine Getir and Trendyol Go.

Uber also announced last year it would establish a software and technology development center in Türkiye, with plans to invest $200 million.

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Economy

Transit fees through Turkish straits hiked by nearly 15%

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Türkiye is raising the transit fee charged on international vessels passing through the Turkish straits by almost 15% as of July, a top official said on Friday.

The fee, calculated under the 1936 Montreux Convention in “gold francs” and based on vessels’ net registered tonnage, is updated annually.

“We will update the fee charged per net ton from ships, which was $5.83 in 2025, to $6.70 as of July 1,” Transport and Infrastructure Minister Abdulkadir Uraloğlu said.

Türkiye had charged $0.80 per net ton from 1983 until Oct. 7, 2022, Uraloğlu told Anadolu Agency (AA).

The fee was revised to $4.08 per net ton in 2022. It was later raised to $4.42 from July 2023, $5.07 from July 2024, before being hiked to $5.83 last year.

The Turkish straits, comprising the Bosporus and Dardanelles, are among the world’s most important maritime chokepoints, connecting the Black Sea to the Mediterranean.

Uraloğlu said vessels passing through the waterways without stopping at Turkish ports are charged under three categories in line with the Montreux Convention: health inspection, lighthouse and salvage services.

He said the latest revision will increase foreign currency revenue for the Treasury.

Revenue from ship transits stood at $38 million between July 2021 and June 2022, before rising to $223 million between July 2024 and June last year.

That figure is expected to reach $254 million as of late June this year, Uraloğlu said.

“The rise in revenue and the price updates show the contribution to the economy,” he said, adding that the revision aims to strengthen foreign currency inflows and increase public revenue.

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Economy

US says allows over dozen ships, lifting blockade on Iranian ports

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The U.S. Navy has allowed more than a dozen ships through to Iranian ports, lifting a blockade as part of an agreement to end the war, Vice President JD Vance said Thursday.

Vance also said he plans to go to Switzerland for talks with Iran this weekend, but that the plan could change.

The U.S. military also confirmed that American forces on Thursday lifted their naval blockade of Iranian ports after more than two months of preventing ships from sailing from or to Iran.

“Today, U.S. forces lifted the blockade on all maritime traffic entering and exiting Iranian ports and coastal areas,” U.S. Central Command said in a post on X, adding that American warships “will remain in the general area to make sure that all aspects of the agreement are adhered to.”

The updates came at a White House press briefing, where Vance said more oil is now flowing through the Strait of Hormuz. The Republican vice president said more than 12.5 million barrels went through the shipping channel Wednesday night.

“So we’re also honoring our end of the early part of the agreement on the military side,” he said, citing it as an immediate benefit of the deal as he downplayed criticism that the agreement tilts in favor of Iran.

And in an extraordinary rebuke, he warned U.S. critics in Israel against “attacking the only powerful ally” it has left. He lashed out at members of the Israeli government, warning them that “Donald J. Trump is the only head of state in the entire world who is sympathetic to the nation of Israel at this moment in time.”

Vance said he plans to travel to Switzerland for talks on the Iran deal, but he doesn’t know when that will happen.

“We think these technical negotiations are going to start sometime this weekend. That’s still the plan, but that could change,” he said.

Vance had been expected to lead talks on implementing the agreement with Iran aimed at diluting its stockpile of highly enriched uranium and restarting oil traffic through the Strait of Hormuz.

On Tuesday, two oil tankers left Iran and crossed the U.S. military blockade without being stopped. A merchant shipping tracking website said the ships were carrying a combined total of 3.8 million barrels of Iranian crude oil.

Meanwhile, Iranian state media said that shipping has “normalized” at Iran’s southern ports but added that the Strait of Hormuz remains supervised and under the control of the Iranian military and transiting through the vital waterway still requires coordination.

Much of the agreement would restore the status quo before the war, including ending hostilities, restarting talks between the U.S. and Iran over Tehran’s nuclear program, and reopening the Strait of Hormuz, the crucial passage for the world’s oil and natural gas whose closure created a historic energy crisis.

Major shipowners have begun moving vessels through the waterway since the agreement was signed on Wednesday, according to maritime data company Lloyd’s List Intelligence – though they did not give data on how many ships have passed through the strait as of Thursday.

In a media briefing, Richard Meade, editor in chief of Lloyd’s List, said for the first time in 110 days, ships owned by major companies are transiting the strait after effectively being marooned there since February.

Tankers controlled by major ship owners Grimaldi Group, Cosco, Knutsen and NYK have passed through the strait. And two Iran-flagged, National Iranian Tanker Company-owned, sanctioned crude oil tankers have entered the strait, according to Lloyd’s List.

Phillip Belcher, marine director of Intertanko, a trade group for global independent tanker owners, said the main central route of the Strait of Hormuz is still closed and has an estimated 80 mines that need to be cleared.

But ships have been passing through the smaller Northern route, which goes through Iranian waters, and the Southern route, which goes through Omani waters.

The agreement calls for a permanent end to hostilities and starts a 60-day negotiating clock to reach a final deal on the future of Iran’s nuclear program, though Trump left the door open to resume attacks. It appears to offer Iran several benefits up front while extracting little in return.

It states that Iran’s stockpile of highly enriched uranium must, at a minimum, be diluted under international supervision. It also states that Iran shall not procure or develop nuclear weapons – a commitment it has made previously. But beyond stating that the U.S. and Iran will negotiate over Iran’s nuclear program, other commitments still need to be worked out.

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Economy

EU prepares for new trade era with China amid widening gap

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The European Union is considering a fundamental change to its trade policy with China amid a widening trade deficit, rising dependence on strategic sectors and growing pressure from China’s state-sponsored production model on European industry.

China, the world’s largest manufacturing hub, is boosting its outreach in global markets through state-sponsored industrial policies as it rapidly expands production capacity in many fields, especially electric vehicles, batteries, solar panels, critical raw materials and high-tech products, putting pressure on Europe’s competitiveness.

European Commission President Ursula von der Leyen said at the G-7 summit in Canada that the EU’s trade with China is unsustainable.

She said the EU needs to grow its production capacity, expand its network of free trade agreements around the world and diversify supply chains, especially because critical minerals and raw materials are concentrated in China, urging the bloc to avoid heavy reliance on a single supplier.

China’s dominance in global trade will be among the topics discussed during an EU leaders’ summit in Brussels on Thursday and Friday.

The European Commission emphasized that economic relations with China should continue through risk mitigation, but current trade and investment relations between the bloc and the country are deemed unsustainable.

High-level consultations in Brussels showed that economic and security threats can no longer be assessed separately, prompting more comprehensive and coordinated policies toward China, including new tariffs, import quotas, supply chain diversification requirements and new defensive tools against economic risks emerging from the world’s manufacturing hub.

Last year marked a turning point for the EU in its trade with China, as all member states recorded a trade deficit with the country for the first time.

The EU’s imports from China reached 559.4 billion euros ($695.3 billion) in 2025, while its exports totaled $231.5 billion, marking a record high trade deficit of $417.4 billion, according to data from Eurostat.

Competition in EVs, solar panels, machinery

Intense competition from China in electric vehicles, solar panels, batteries, steel, chemicals and machinery is placing massive pressure on European manufacturers, prompting Brussels to view the impact of cheap, state-sponsored Chinese products on the European market as not only a commercial issue but also a strategic one.

The London-based Center for European Reform reported that Germany faces a serious deindustrialization risk amid China’s growing capacity, warning that Chinese firms are grabbing market share from German producers in their domestic markets, in third countries outside Europe and directly in Europe.

Reports show China could account for around 40% of the world’s industrial production by 2030, putting severe pressure on Europe’s production, research and development, or R&D, and innovation capacities.

Mechanisms to counter China

The EU is working on new mechanisms to combat this. The commission is discussing launching broad safeguard investigations into specific sectors, developing new tools to counter excessive production from China in strategic areas and implementing sector-specific safeguard measures.

Some proposals by France, Italy, Spain, the Netherlands and Lithuania go beyond current anti-dumping processes and would impose direct, blanket customs tariffs on specific sectors instead of relying on lengthy investigations.

One of the most notable regulations the bloc is working on would mandate the diversification of supply chains for critical products to prevent European firms from sourcing resources such as chips, rare earth elements and critical industrial inputs from a single country or supplier.

The proposal would require companies to maintain at least three different sources and would place an upper limit on the share of any single supplier in the total supply.

Maros Sefcovic, the EU commissioner for trade, proposed the diversification tool to prevent potential supply disruptions, especially in semiconductors and critical raw materials.

The diversification strategy involves additional costs for firms but should be viewed as an insurance premium because the costs of supply disruptions could be much higher, according to the Leibniz Centre for European Economic Research, or ZEW.

Another option is a new mechanism to preserve the bloc’s resilience, allowing the direct imposition of additional customs duties and import quotas when market-distorting practices threaten the bloc’s economic security. The legal basis is expected to rest on national security exceptions under World Trade Organization (WTO) rules.

The EU’s hardening stance toward China is due to concerns over strategic dependence and its growing trade deficit. Beijing’s export restrictions on rare earth elements, magnets and other critical technologies have raised concerns in Europe.

Brussels does not want to see a repeat of the energy crisis that followed the outbreak of the Russia-Ukraine war, but there is still no complete consensus within the bloc on imposing very strict trade measures against China.

Some countries, led by France, are calling for stronger tariffs, while Germany and Spain have adopted a more cautious approach because of their close economic ties to China.

The general trend in the bloc is moving toward reducing dependencies and preserving competitiveness rather than completely severing ties with China.

The new trade defense tools under discussion at this week’s summits will shape the future of economic relations between Brussels and Beijing.

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