Subject:
Investment Incentives and General Supports for the Electrical – Electronics Sector
Reading Time:
10 Min
Date:
Dec 8, 2025
The electrical and electronics sector is a collection of equipment that includes countless products such as refrigerators, computers, televisions, and circuit boards.
1. What are the General Supports for the Electrical and Electronics Sector?
There are various supports provided by KOSGEB, TÜBİTAK, and the Ministry of Trade for the electrical and electronics sector. Supports for the electrical and electronics sector are divided into project-based and general supports. The details of the supports provided for the electrical and electronics sector are outlined below.
TÜBİTAK Supports
A) TÜBİTAK 1501 - Industry R&D Project Support Program
Within the scope of the 1501-Industry R&D Support Program, projects carried out in the context of the definition of innovation, such as producing a new product, improving or upgrading an existing product, increasing product quality or standard, or developing new techniques that reduce costs and new production technologies, are supported. The support rate of the program is applied at 75%.
Supported Expenses | Support Duration |
Personnel Expenses | 75% |
Travel (Transportation Only) Expenses | |
Equipment, Tools, Software, and Publication Purchase Expenses | |
R&D Service Expenses | |
Consulting Expenses in Turkey and Abroad | |
Material and Consumable Expenses |
*There is no budget limit.
*Feasibility is requested for investments over 5 million.
B) TÜBİTAK - 1507 - SME R&D Startup Support Program Call
The supports provided under the 1501 Industry R&D Support Program aim to support the project-based research, technology development activities, and innovation activities of Small and Medium-sized Enterprises (SMEs).
Supported Expenses | Support Duration |
Personnel Expenses | 75% |
Travel (Transportation Only) Expenses | |
Equipment, Tools, Software, and Publication Purchase Expenses | |
R&D Service Expenses | |
Consulting Expenses in Turkey and Abroad | |
Material and Consumable Expenses |
*Applicable for projects up to 1,200,000 TL.
KOSGEB Project-based Supports
A) KOSGEB Technological Investment Program
https://odsdanismanlik.com/tr/kosgeb-kobi-teknoyatirim-destek-programi/
B) KOSGEB Overseas Market Program
https://odsdanismanlik.com/tr/kosgeb-yurt-disi-pazar-destek-programi/
C) KOSGEB R&D Product Development Program
https://odsdanismanlik.com/tr/kosgeb-arge-urge-ve-inovasyon-destek-programi/
KOSGEB General Supports
BUSINESS DEVELOPMENT SUPPORT PROGRAM SUPPORTS | SUPPORT UPPER LIMIT (TL) | SUPPORT RATE |
1- Domestic Trade Fair Support | 100,000 | 60% |
2- Overseas Business Trip Support* | 90,000 | |
3- Qualified Personnel Employment Support** | 50,000 | |
4- Design Support | 75,000 | |
5- Industrial Property Rights Support*** | 100,000 | |
6- Certification Support**** | 300,000 | |
7- Testing and Analysis Support***** | 300,000 | |
8- Energy Efficiency Electric Motor Replacement Support****** | 80,000 | |
9- Independent Evaluation Support | 20,000 | |
10- Model Factory Support | 100,000 | |
11- Technical Consultancy Support******* | 40,000 | |
50,000 |
For detailed information; https://odsdanismanlik.com/tr/hibe-ve-destek-yonetimi-danismanligi/
What Sectors Does KOSGEB Support for the Electrical and Electronics Sector?
NACE REV 2 CODE | SECTOR NAME | NACE TYPE |
20.13.07 | Manufacture of other metal salts and basic inorganic chemicals (isotopes and their compounds, salts of oxo acids/peroxo acids, cyanides, borates, hydrogen peroxide, sulfur, roasted iron pyrites, piezoelectric quartz, etc.) | C |
20.51.22 | Manufacture of explosives, safety fuses, detonators, blasting caps, igniters, dynamite, electric detonators, fireworks, smoke signals, signal flares, etc. (excluding gunpowder) | C |
23.19.03 | Manufacture of glass envelopes (open) and their glass parts (used for electric bulbs, electric lamps, cathode ray tubes, etc.) | C |
23.19.07 | Manufacture of glass electrical insulation materials | C |
23.99.90 | Manufacture of other non-metallic minerals (non-assembled products from quartz, graphite, etc.) (including carbon fiber, excluding those for electrical purposes) | C |
25.21 | Manufacture of central heating radiators (excluding electric radiators) and hot water boilers (including boilers) | C |
25.21.10 | Manufacture of central heating radiators (excluding electric radiators and cast models) | C |
25.21.12 | Manufacture of central heating radiators, cast models (excluding electric radiators) | C |
25.71.04 | Manufacture of manicure or pedicure sets and tools, paper knives, letter openers, pencil sharpeners and their blades, chopping, cleaving and mincing knives, hair cutting and animal shearing machines and tools, and similar non-electric cutting tools | C |
25.93.01 | Manufacture of metal chains (excluding articulated link chains) and parts as well as springs and leaf springs, coated or core wires, bars, tubes, plates, and electrodes (excluding those used for electrical purposes and those with electrical insulation) | C |
25.93.03 | Manufacture of other wire products (woven wire, knitted strip, carrying straps, barbed wire (excluding those with electrical insulation) and fabrics, grills, nets, cages, and fences from iron, steel or copper wires) | C |
25.99.20 | Manufacture of non-electric vegetable and fruit slicing, chopping, and juicing tools, meat grinders, coffee and spice grinders, hand mortar, grater, etc. manual kitchen tools and accessories | C |
25.99.21 | Manufacture of non-electric rotary chimneys, ventilation ducts, etc. | C |
26.40.10 | Manufacture of microphones, speakers, and headphones as well as electric amplifiers | C |
26.51.03 | Manufacture of instruments and devices used to measure and control electrical quantities (volt, current, etc.) (including voltmeter, oscilloscope, and others for measuring or controlling voltage, current, resistance, or electrical power) (excluding electric meters) | C |
26.51.10 | Manufacture of gas, liquid, or electricity supply or consumption meters | C |
26.51.11 | Manufacture of equipped drawing tables and machines and other drawing, marking or mathematical calculating tools (including set squares, pantographs, electric/electronic drawing instruments for painting, drawing, or calculation purposes, etc.) | C |
27 | Manufacture of electric equipment | C |
27.1 | Manufacture of electric motors, generators, transformers, and electric distribution and control devices | C |
27.11 | Manufacture of electric motors, generators, and transformers | C |
27.11.2001 | Manufacture of electric motors, generators, and transformers (excluding parts and accessories) | C |
27.11.2003 | Manufacture of parts and accessories of electric motors, generators, and transformers | C |
27.12 | Manufacture of electric distribution and control devices | C |
27.12.2001 | Manufacture of devices specific for switching, protecting electrical circuits, and controlling and distributing electricity (including fuses, automatic circuit breakers, relays, insulation, circuit and load switching devices, voltage limiters, wave dampers, etc.) | C |
27.12.2002 | Manufacture of parts of devices specific for switching, protecting electrical circuits, and controlling and distributing electricity (including tables, consoles, cabinets, etc. for command panels, excluding electric buttons, plugs, and sockets) | C |
27.20.01 | Manufacture of electric battery parts (battery plates, separators, lead grids) (excluding the manufacture of battery boxes and lids) | C |
27.20.03 | Manufacture of batteries (lead-acid, nickel-cadmium, nickel-metal hydride, lithium-ion, lithium-polymer, nickel-iron, and other electric batteries) | C |
27.32 | Manufacture of other electronics and electrical wires and cables | C |
27.32.03 | Manufacture of other electronics and electrical wires and cables (coaxial cables and other coaxial electrical conductors, insulated coil wires, insulated underwater conductors, acetate and silicone copper conductors, etc.) (excluding fiber optic cables) | C |
27.33.02 | Manufacture of electrical fittings used in cabling (plugs, sockets, printed, button switches, etc., connectors, shelves, plastic electrical pipe and cable trays, insulating plastic connectors for machines and devices, etc.) (excluding those used in electronic components) | C |
27.Nis | Manufacture of electric lighting equipment | C |
27.40 | Manufacture of electric lighting equipment | C |
27.40.02 | Manufacture of monoblock headlight units for motor vehicles and land, air, and sea vehicles | C |
27.40.03 | Manufacture of chandeliers, appliques, and other electric lighting fixtures, projectors and spotlights for stage, photography, or cinema studios, electric table lamps, work lamps, lampshades, etc. (including lighting sets for decoration) | C |
27.40.05 | Manufacture of battery, accumulator, or magnet-operated portable electric lamps and non-electric lamps, as well as flashlights, gas and lux lamps, etc. (excluding those for vehicles) | C |
27.51 | Manufacture of electric household appliances | C |
27.51.02 | Manufacture of electric water heaters for home use (including storage water heaters, instantaneous water heaters, boilers, thermos, including electric heaters, etc.) | C |
27.51.03 | Manufacture of home-type electric vacuum cleaners and carpet cleaning/washing machines, dry or wet vacuum cleaners, rechargeable or battery-operated handheld vacuum cleaners | C |
27.51.04 | Manufacture of small electric household appliances used in the kitchen (including tea or coffee makers, samovars, grills, fryers, toasters, kitchen robots, mixers, blenders, fruit juicers, meat grinders, toast machines, deep fryers, etc.) | C |
27.51.05 | Manufacture of other small electric household appliances (including electrothermal hand dryers, electric irons, towel dispensers, air humidifiers) as well as electric blankets | C |
27.51.06 | Manufacture of electric personal care items (electric razors, epilators, and hair clippers, electrothermal hair styling appliances (hair dryers, curling irons, combs, hair straighteners), electric toothbrushes, etc.) | C |
27.51.07 | Manufacture of electric household appliance parts and components | C |
27.51.08 | Manufacture of home refrigerators, freezers, washing machines, dryers, dishwashers, fans, extractors, fans, hoods, ovens, stoves, microwave ovens, electric cooking plates, etc. | C |
27.51.90 | Manufacture of other electric household appliances | C |
27.52 | Manufacture of non-electric household appliances | C |
27.52.02 | Manufacture of non-electric home-type stoves, ovens, grills, fireplaces, barbecues, samovars, water heaters (including thermos, boilers, etc.) | C |
27.52.05 | Manufacture of non-electric cooking appliances (gas-fueled stovetops, gas or liquid-fueled ovens and stoves, etc.) | C |
27.52.06 | Manufacture of parts and components of non-electric household appliances | C |
27.9 | Manufacture of other electric equipment | C |
27.90 | Manufacture of other electric equipment | C |
27.90.02 | Manufacture of electric capacitors, resistors (excluding heating resistors), rheostats and potentiometers | C |
27.90.03 | Manufacture of electric signaling, safety, or traffic control equipment (for railways, highways, inland waterways, vehicle parking areas, ports, and airports) (including traffic lights and signaling equipment) | C |
27.90.04 | Manufacture of carbon electrodes and other products made from graphite or carbon used in electrical work (including heating coal resistors, coal for batteries, arc lamps, and other lamps) | C |
27.90.05 | Manufacture of electric welding and soldering equipment (soldering irons, arc welding machines, induction welding machines, etc.) and electric machines and devices for hot spraying of metals or sintered metal carbides | C |
27.90.06 | Manufacture of liquid crystal display (LCD) or light-emitting diode (LED) indicator panels and other electric visual or audible signaling devices (including electronic scoreboards) | C |
27.90.08 | Manufacture of electric machines and devices with special functions (including antenna amplifiers, electric devices for supplying electricity to fences, electric machines with translation or dictionary functions, noise reduction units used in recording devices, etc.) | C |
27.90.09 | Manufacture of electrical insulators (including those made of glass and ceramics) | C |
27.90.90 | Manufacture of other electric equipment (including electromagnets, electromagnetic couplings, brakes, and crane heads, as well as electric particle accelerators, signaling generators, etc.) | C |
28.21.07 | Manufacture of electric or nonelectric laboratory furnaces, melting furnaces, etc. industrial furnaces and ovens (including waste incineration furnaces and electric bread ovens and pastry ovens) | C |
28.21.10 | Manufacture of non-electric home heating equipment such as heating systems heated by solar energy (solar collectors), steam, and oil | C |
28.21.11 | Manufacture of induction or dielectric heating equipment | C |
28.23.01 | Manufacture of calculators and calculating machines that have functions for recording, reproducing, and displaying information (electric, electronic, mechanical, etc.) | C |
28.23.05 | Manufacture of typewriters, stenography, and word processing machines (electric or non-electric) (including those that write in Braille) | C |
28.24.01 | Manufacture of motorized or pneumatic hand tools (including electric hand tools such as sanding, grinding, polishing, and circular or chainsaw, drill, nailing device, riveting machine, etc.) | C |
28.29.11 | Manufacture of non-electric welding and soldering tools as well as gas-powered surface tempering (flame processing) machines and devices (including burners and torches) | C |
28.93.07 | Manufacture of non-electric ovens for bread and other baked goods (gas, liquid, and solid fuel) | C |
28.99.02 | Manufacture of machines used in the manufacture of glass and glassware and in the hot working of glassware or machines used in the assembly of electric or electronic lamps, tubes, bulbs | C |
29.31 | Manufacture of electrical and electronic devices for motor vehicles | C |
29.31.05 | Manufacture of electric signaling devices, horns, sirens, windshield wipers, defoggers, electric window/door systems, voltage regulators, etc. for motor vehicles and motorcycles | C |
29.31.07 | Manufacture of electric or battery-powered lighting or signaling devices for bicycles (including bicycle generators) | C |
32.20.21 | Manufacture of electronic musical instruments or keyboard instruments (instruments that produce sound or amplify sound with electric power) (digital piano, synthesizer, electric guitar, etc.) | C |
32.91.01 | Manufacture of vacuum cleaners and brushes for home or office cleaning (excluding electric ones) | C |
32.91.90 | Manufacture of other brushes and brooms that are not classified elsewhere (excluding electric ones) | C |
33.12.13 | Maintenance and repair of electric welding and soldering tools | C |
33.14 | Repair of electric equipment | C |
33.14.01 | Maintenance and repair of power transformers, distribution transformers, and special transformers (including electric distribution and control devices) | C |
33.14.02 | Maintenance and repair of electric motors, generators, and engine-generator sets (including rewinding of coils) | C |
33.14.03 | Maintenance and repair of other professional electric equipment | C |
33.20.51 | Installation services for electrical equipment (installation of electric motors, generators, transformers, electric distribution and control devices, and other electrical equipment (excluding electric signaling equipment for roads, etc.)) | C |
35 | Production and distribution of electricity, gas, steam, and ventilation systems | D |
35.1 | Production, transmission, and distribution of electrical energy | D |
35.11 | Electric energy production | D |
35.11.19 | Electric energy production | D |
35.12 | Transmission of electric energy | D |
35.12.13 | Transmission of electrical energy (operating transmission systems transferring electricity from the power generation source to the distribution system) | D |
35.13 | Distribution of electric energy | D |
35.13.01 | Distribution of electric energy (operation of the distribution system carrying electric energy from the production source or transmission system to the end user) | D |
35.13.02 | Maintenance and repair of electric meters | D |
35.14 | Trade of electric energy | D |
35.14.01 | Electric brokers and agents involved in electricity sales through power distribution systems operated by other businesses | D |
35.14.02 | Electricity trade for users (excluding brokers and agents) | D |
35.14.03 | Electricity and transmission capacity modification activities | D |
42.22 | Construction of service projects for electricity and telecommunications | F |
42.22.01 | Construction of long-distance electrical lines (long-distance high voltage electrical transmission lines and long-distance above-ground/underground or undersea transmission lines) | F |
42.22.02 | Construction of power plants (hydroelectric plants, thermal power plants, nuclear energy production plants, etc.) | F |
42.22.04 | Construction of urban (short-distance) electrical lines (including transformer stations and distribution substations within local borders) | F |
43.2 | Electrical, plumbing, and other construction installation activities | F |
43.21 | Electrical installation | F |
43.22.06 | Maintenance and repair of heating, ventilation, air conditioning, and climate control systems in building or other construction projects (including maintenance and repair of home-type boilers (combi, furnace, etc.) and burners as well as non-electric solar energy collectors) | F |
43.22.07 | Installation of heating, ventilation, air conditioning, and climate control systems in building or other construction projects (including installation of home-type boilers (combi, furnace, etc.) and burners, as well as non-electric solar energy collectors) | F |
43.99.01 | Installation work of structural steel components (for buildings, bridges, cranes or other structures such as electric transmission towers) | F |
45.20.01 | Repair of electrical systems of motor vehicles | G |
45.20.06 | General maintenance and repair of motor vehicles (including maintenance and repair of radiator, air conditioning, and exhaust, except for those performed in the same establishment and related to electrical system, wheels, and body repair services) | G |
45.20.07 | General maintenance and repair services for motor vehicles (including maintenance and repair of mechanical, electrical system, bodywork, paint, brake, glass, and window, etc. performed within the same establishment) | G |
46.43 | Wholesale trade of electric home appliances | G |
46.43.05 | Wholesale trade of electrical materials (cables, fuses, plugs, sockets, bulbs, electric switches, circuit breakers, controls, relays, batteries, etc.) (excluding industrial ones and those used in electric machines, devices, and tools) | G |
46.43.90 | Wholesale trade of other electric household appliances not classified elsewhere (including iron, electric vacuum cleaners, extractors, fans, razors, hair dryers, water filter devices, sewing machines, boilers, electric stoves, electric radiators, etc.) (excluding radio, TV, and photography products) | G |
46.49.90 | Wholesale trade of other household and home utensils not classified elsewhere (including garden umbrellas, lighters, matches, brooms, toothbrushes, hairbrushes, artificial flowers, candles, strollers, inflatable beds, non-electric stoves, ovens, gas cookers, etc.) | G |
46.62.04 | Wholesale trade of machines used for soldering or welding and electric machines and devices used for hot spraying of metals or sintered metal carbides | G |
46.69.09 | Wholesale trade of electric machines, devices, and tools (including wind turbines, capacitors, electrical insulators (isolators), AC/DC motors, generators, insulated coil wires, etc.) | G |
46.69.11 | Wholesale trade of gas, liquid, or electric supply or production meters | G |
46.74.05 | Wholesale trade of barbed wire made of iron or steel, woven wire made of copper or aluminum, cable, knitted strips and others (excluding those with electrical insulation), fabrics, grills, nets, cages, and fences made of iron, steel, or copper wire | G |
47.54 | Retail trade of electric household appliances in stores dedicated to a specific product | G |
47.54.01 | Retail trade of white goods and small electric home appliances in stores dedicated to a specific product (including refrigerators, washing machines, water heaters, fans, hoods, toasters, kitchen robots, etc.) (excluding radio, television, and photography products) | G |
47.54.03 | Retail trade of electrical installation materials for home use in stores dedicated to a specific product (including transformers, fuses, relays, batteries, electricity accumulators, coaxial cables, electrical conductors, switches, plugs, etc.) | G |
47.54.90 | Retail trade of other electric household appliances in stores dedicated to a specific product (including home burglar and fire alarms, razors, sewing, knitting machines, ovens, stoves, radiators, home air conditioning, etc.) (excluding radio, TV, and photography products) | G |
47.59.01 | Retail trade of non-electric household appliances and cutlery sets in stores dedicated to a specific product, tableware, glassware, ceramic and pottery products (excluding metal tableware) | G |
47.59.02 | Retail trade of lighting equipment in stores dedicated to a specific product (lamps, lighting fixtures, chandeliers, lampshades, illuminated signs, portable electric lamps, etc.) (excluding electrical materials) | G |
47.59.13 | Retail trade of non-electric air heaters or hot air dispensers in stores dedicated to a specific product (including stoves, and cookers, etc.) | G |
47.59.14 | Retail trade of non-electric ovens and stoves, as well as water heaters like boilers and thermos, etc. (gas, liquid, or solid fuel) | G |
47.75.01 | Retail trade of cosmetics and personal care materials in stores dedicated to a specific product (including toothbrushes, hairbrushes, non-electric razors, blades, barber products, deodorants, natural sponges, soap, etc.) | G |
47.79.04 | Retail trade of second-hand furniture, electric and electronic household items through counters and market places | G |
47.89.05 | Retail trade of electric tools, devices, and electrical materials, hand tools, and hardware through counters and market places (excluding street vendors) | G |
71.20.12 | Technical testing and analysis activities concerning integrated mechanical and electrical systems (testing and analyzing equipment such as machines, engines, cars, tools, devices, communication equipment, etc. with mechanical and electrical components) | M |
77.29.02 | Rental and leasing of other personal and household items (including furniture, electric and electronic tools, books, TVs, cameras, plants, etc.; excluding musical instruments, clothing, jewelry, etc., and video tapes, office furniture, entertainment, and sports equipment) | N |
82.91.01 | Activities of collection offices and credit record offices (collecting bills and debts such as phone, electricity, water, etc., collecting information about the credit or work history of individuals or businesses, etc.) | N |
82.99.02 | Reading and billing activities for electricity, gas, water, and heating meters | N |
95.22.01 | Repair of electric devices used at home (including refrigerators, ovens, washing machines, dishwashers, room air conditioners, electric small household appliances, etc.) | S |
D | PRODUCTION AND DISTRIBUTION OF ELECTRICITY, GAS, STEAM, AND AIR CONDITIONING | D |
Ministry of Trade Project-Based Supports
A) Global Supply Chain (GSC) Project
Support Amount: 15,000,000 TL
Support Rate: 50%
Support Duration: 2 Years
What Sectors Can the Global Supply Chain (GSC) Support Project Be Applied To?
• Mining and Metal
• Chemical products
• Automotive
• Machine
• Space / Aviation
• Electricity / Electronics
Other sectors can also be considered for evaluation if they meet the conditions.
What Will Be Supported Under The Global Supply Chain (GSC) Scope?
• Machine, equipment supply
• Software acquisition
• Training, consultancy
• Certification, testing, analysis, and product verification expenses
For detailed information; https://odsdanismanlik.com/tr/ticaret-bakanligi-kuresel-tedarik-zinciri-programi/
B) Design Product Development Project
Support Amount: 5,000,000 TL
Support Rate: 50%
Support Duration: 3 Years
What Sectors Can the Design Product Development Support Project Be Applied To?
• Design firms
• Design offices
• Collaborative organizations
• Firms engaged in commercial and industrial activity
What Will Be Supported Under the Design Product Development Support Scope?
• Tools, equipment, material, and software
• Website membership
• Recruitment of personnel (designer, modelist, engineer)
For detailed information; https://odsdanismanlik.com/tr/tc-ticaret-bakanligi-tasarim-ve-urun-gelistirme-programi/
Ministry of Trade General Supports
• Support for Market Entry Documents -4,000,000 TL (50%)
• Overseas Market Research Support-100,000 TL per trip
• Support for Domestic and Overseas Trade Fair Participation (within upper limits)
• Overseas Promotion Support 4,000,000 TL 50%
• Overseas Brand Registration Purchase Support 750,000 TL (50%)
• Overseas Unit Support 2,000,000 TL (50%)
• Market entry project preparation Support 200,000 TL (50%)
• Support for Acquisition of Brand Belonging to Overseas Company and Brand Belonging to Overseas Established Company in Turkey 3,000,000 TL 50%
For detailed information; https://odsdanismanlik.com/tr/hibe-ve-destek-yonetimi-danismanligi/
2. Investment Incentives for the Electrical and Electronics Sector
<td id="nt-2-td"2 years <td id="nt-2-td"3 years
SUPPORT ELEMENTS | ||||||||
Support Elements | REGIONS | |||||||
I | II | III | IV | V | VI | |||
VAT Exemption | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ||
Customs Tax Exemption | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ||
Tax Reduction | Investment Contribution Rate* (%) | Outside OSB and EB | 15 | 20 | 25 | 30 | 40 | 50 |
Inside OSB and EB | 20 | 25 | 30 | 40 | 50 | 55 | ||
Employer's Share Support for Insurance Premiums **/*** | Outside OSB and EB | 3 years | 5 years | 6 years | 7 years | 10 years | ||
Inside OSB and EB | 5 years | 6 years | 7 years | 10 years | 12 years | |||
Investment Place Assignment | ✓ | ✓ | ✓ | ✓ | ✓ | ✓ | ||
Interest or Profit Share Support | Local Credit | - | - | 3 Points | 4 Points | 5 Points | 7 Points | |
Foreign/Foreign-indexed Credit | - | - | 1 Point | 1 Point | 2 Points | 2 Points | ||
Investment Place Assignment | - | - | - | - | - | 10 Years | ||
Who Can Benefit from the Supports Aimed at the Electrical and Electronics Sector?
• Individuals, partnerships, limited liability companies, associations, cooperatives, business ventures,
• Public institutions and organizations,
• Professional organizations and universities of a public nature,
• Associations and foundations,
• Branches of foreign companies abroad can benefit from the incentives in Turkey. Additionally, foreign individuals or companies that have established companies in Turkey can also benefit from the incentives. Companies established in Turkey with 100% foreign capital or partially foreign capital can also benefit from the New incentive system.
What are the Minimum Investment Amounts for the Electrical and Electronics Sector?
• 3 Million TL in Regions I and II
• 1 Million 500 Thousand TL in Regions III, IV, V, and VI.
Regions;
Region 1 | Region 2 | Region 3 | Region 4 | Region 5 | Region 6 |
Ankara | Aydın | Adana | Afyonkarahisar | Bayburt | Adıyaman |
Antalya | Balıkesir | Burdur | Aksaray | Çankırı | Ağrı |
Bursa | Bilecik | Düzce | Amasya | Erzurum | Ardahan |
Eskişehir | Bolu | Gaziantep | Artvin | Giresun | Batman |
İstanbul | Çanakkale | Karaman | Bartın | Gümüşhane | Bingöl |
İzmir | Denizli | Kırıkkale | Çorum | Kahramanmaraş | Bitlis |
Kocaeli | Edirne | Kütahya | Elâzığ | Kilis | Diyarbakır |
Muğla | Isparta | Mersin | Erzincan | Niğde | Hakkâri |
Tekirdağ | Karabük | Samsun | Hatay | Ordu | Iğdır |
| Kayseri | Trabzon | Kastamonu | Osmaniye | Kars |
| Kırklareli | Rize | Kırşehir | Sinop | Mardin |
| Konya | Uşak | Malatya | Tokat | Muş |
| Manisa | Zonguldak | Nevşehir | Tunceli | Siirt |
| Sakarya |
| Sivas | Yozgat | Şanlıurfa |
| Yalova |
|
|
| Şırnak |
|
|
|
|
| Van |
9 PROVINCES | 15 PROVINCES | 13 PROVINCES | 14 PROVINCES | 14 PROVINCES | 16 PROVINCES |
What is the Tax Reduction Exemption?
According to ARTICLE 15;
(6) Investments related to land, property, royalties, spare parts, and other expenses that are not subject to depreciation along with institutions engaged in finance and insurance in accordance with Law No. 5520, as well as investments carried out within the scope of Law No. 4283 on the Establishment and Operation of Electricity Generation Facilities and Regulation of Energy Sales under the Build-Operate Model and Law No. 3996 on the Implementation of Certain Investments and Services under the Build-Operate-Transfer Model, along with investments made under a royalty contract, cannot benefit from tax reduction support.
What are Priority Investment Issues?
According to ARTICLE 17;
i) Investments in electricity production using minerals listed in Group 4-b of Article 2 of the Mining Law No. 3213 under valid mining operation permits regulated by the Ministry of Energy and Natural Resources,
k) Investments in electricity production utilizing waste heat recovery from a facility with waste heat sources (excluding natural gas-based electricity production facilities).
Current Status of the Electrical and Electronics Sector in Turkey and Worldwide
The export data in recent years in our country has shown that very good figures have been obtained month by month. The export and import figures for Turkey between the years 2017 and 2021;

The consumer electronics sector size in Turkey has been stated to be approximately 7.4 billion dollars. Although there has been a decrease in demand for electrical and electronic products within the country, export-oriented growth has gained momentum.
On a global scale, technological advancements have accelerated the increase in the number and diversity of the produced products. In 2019, the size of the consumer sector was recorded to be over 750 billion dollars. The country with the largest share in the sector is China with 24%, followed by the USA with 21% and India with 5%. Among these three markets, the country expected to grow the fastest until 2024 is India, with an average annual growth rate of 13.6%. Global import and export data;
• Global Import

• Global Export

Leading Companies in the Electrical and Electronics Sector
In March 2022, successful brands in the sector were awarded by the Association of Electrical and Electronics Exporters (TET). A total of 15 awards were presented in 5 different categories, and the first 3 leading names in the sector were awarded as Vestel Ticaret A.Ş., Arçelik A.Ş., and BSH Home Appliances Industry and Trade Inc. Looking at the sector, the year 2021 ended with an export of 225.4 million dollars.
When we look at the world, countries like South Korea, Malaysia, and Singapore have tied their development to the electrical and electronics sector. Northern European countries such as Finland and Sweden have also made advancements and progress in this sector. It is also an undeniable fact that the growth in the electrical and electronics sector has made a considerable difference with the support for R&D activities.

