The investment agreement signed with Chinese electric vehicle maker BYD, including the conditions stipulated in the agreement and the company’s obligations and guarantees submitted to the state, remains valid, Türkiye’s Industry and Technology Ministry said Wednesday.
BYD had previously in 2024 announced plans to establish a production facility in Türkiye with an annual capacity of 150,000 vehicles. The company said it would invest $1 billion to build a plant that would start production this year.
Still, on Wednesday, BYD Executive Vice President Stella Li told Reuters that the automaker has put a factory it planned to build in Türkiye on hold.
Earlier, as part of the process, land allocation procedures were carried out in Manisa province in western Türkiye after the company made the required payment, and the investment process began.
However, as the planned progress in the investment had not been achieved for some time, the company’s access to incentives was suspended by the Industry and Technology Ministry at the beginning of 2026.
According to information obtained by Anadolu Agency (AA) from ministry officials regarding the process, the investment agreement with the company, the conditions set out in the agreement, BYD’s obligations, and the guarantees it submitted to the state remain in force.
The ministry is continuing all procedures in line with official rules and processes.
If investments are not completed, companies are required to repay the incentives they received within the framework of relevant legal regulations, as well as the commitments and guarantees they submitted.
Ministry officials said no domestic or foreign company is subject to any discrimination, adding that the rules apply equally to all companies and that public interests are strongly secured throughout all processes.
