HomeWorldInvestments in battery sector in Türkiye exceed $1B in 2024

Investments in battery sector in Türkiye exceed $1B in 2024

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Türkiye has introduced incentives and regulations to achieve a storage target of 80 gigawatt-hours (GWh) by 2030, while the energy sector’s agreements to establish cell and battery factories have exceeded $1 billion (TL 35 billion) this year, according to a head of a local association involved in the battery sector on Monday.

Energy storage systems, emerging as new players in installed capacity, and the accompanying battery sector are attracting increasing investments and interest globally.

Currently, Türkiye hosts two cell production facilities and nearly 100 lithium-ion battery production facilities of various scales that are actively operating.

Aiming to establish 80 gigawatt-hours of capacity by 2030, the country aspires to become a regional hub for production and investment in battery technologies.

In July, the government announced the “HIT-30” investment program, which offers comprehensive support and incentives for special projects in high-priority technology areas and develops tailored solutions to specific needs.

Following the program’s announcement, the battery sector experienced significant momentum, with domestic and international companies signing new agreements.

Kadem Usta, president of the Association of Battery Manufacturers and Suppliers (PILDER), evaluated the recent developments in the battery sector over the year in an interview with Anadolu Agency (AA).

Usta stated that 2024 witnessed critical advancements, both in the global and Turkish battery sectors.

“Globally, steps to integrate renewable energy sources and recycling have come to the forefront, while in Türkiye, HIT-30 incentives and investment projects have been the main drivers supporting the sector,” Usta said.

“Within the scope of the HIT-30 incentives, significant support for battery production and energy storage systems has been announced. These incentives have accelerated investments in the sector,” he added.

Moreover, he highlighted that six agreements signed this year between domestic and foreign firms would establish new factories with cell and battery production capacities of up to 5 gigawatt-hours in cities such as Ankara, Kocaeli, Istanbul and Izmir.

“The agreements signed this year have exceeded $1 billion in value. With six new investments nationwide, the total number of battery production facilities will increase to 11,” he said.

Pointing out that the legal infrastructure for the operation of battery and energy storage power plants has not yet fully taken shape, Usta noted that a draft regulation has been published, but the first approvals are expected in 2025.

He noted that high interest rates had adversely affected investment decisions during the year but noted that steps had been taken to achieve long-term investment goals.

In addition, Usta stated that Türkiye’s battery imports are expected to remain at the same level as in 2023, amounting to approximately $1.1 billion. In contrast, battery export volumes are expected to rise from $39 million to $48 million by the end of the year, marking a significant increase.

He also recalled that the 2024 Battery Technologies Summit, organized by PILDER, brought together domestic and international companies, calling the event “highly productive.”

“Global battery companies also participated in the summit, creating opportunities for information sharing and inter-company collaborations. The highly productive summit further strengthened Türkiye’s position in the battery sector,” he noted.

Touching on the sector’s expectations for the coming year, Usta said: “From 2025 onward, more companies, both domestic and international, are expected to join the sector through partnerships. These developments demonstrate the significant potential for enhancing Türkiye’s energy independence and competitiveness in the global market.”

He also announced that PILDER would organize the Battery Technology Summit in October 2025 at Gebze IT Valley, inviting everyone interested in keeping pace with the battery sector’s developments to attend.

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