According to reports from Globes and Bloomberg news agency, Turkey has halted trade with Israel without making an official announcement. This decision has had immediate effects on the ground, with goods not being loaded onto ships bound for Israeli ports and ships already in Turkish ports unable to unload their cargo. The trade relationship between Turkey and Israel has seen a decrease in imports over the past year, with the majority of trade consisting of imports from Turkey.
Turkey is a significant source of imports for Israel, particularly in sectors like cement, plastics, and textiles. Manufacturers in Israel have been warned about the potential impact on their industries, with calls for protective tariffs and a focus on local production to reduce dependence on Turkish imports. Business associations in Israel expressed disappointment over the decision, emphasizing the need for economic relations to remain separate from political issues. Foreign Minister Israel Katz criticized Turkish President Recep Tayyip Erdogan for the trade restrictions, calling for immediate discussions to find alternative trade options.
The process of routing goods through other countries to bypass the trade restrictions has begun, with shipments being sent to ports in Slovenia before reaching Israel. This detour may increase shipping costs and complexity but is seen as a temporary solution to maintain trade flows. The political context in Turkey, including recent election results and statements from Erdogan, suggests a shift in trade relations with Israel. As such, Israel is now exploring options to navigate the changing landscape and ensure continued economic stability.
In response to this decision by Turkey, there has been an outcry from various sectors that rely heavily on Turkish imports. The import mix includes metals, machinery, plastics, and other products while the export mix includes chemical products, metals