ECONOMIC COOPERATION BETWEEN UZBEKISTAN AND TÜRKİYE: PROMISING AREAS FOR COLLABORATION

Аннотация

Abstract

Uzbekistan, located in the heart of Central Asia, is one of the region's most promising economies, demonstrating sustained economic progress and significant development potential. Türkiye and this strategically important Central Asian country have maintained long-standing, multifaceted relations founded on historical ties and mutual friendship. In recent years, the close cultural affinity and enduring bilateral relations between Uzbekistan and Türkiye have increasingly been reflected in the economic sphere. In particular, trade relations between the two countries have expanded rapidly. As of the end of 2024, the bilateral trade volume between Türkiye and Uzbekistan reached approximately USD 3 billion and continues to grow toward the USD 5 billion target established under the Preferential Trade Agreement (PTA) signed by the two countries. Türkiye consistently records a trade surplus in its bilateral trade with Uzbekistan and ranks as Uzbekistan's fourth-largest trading partner and export destination. Türkiye's exports to Uzbekistan primarily consist of value-added manufactured products, machinery, and industrial equipment. Major export items include electrical machinery and equipment, plastics and plastic products, articles of iron or steel, furniture, and ready-made garments. In contrast, Türkiye imports predominantly raw materials and semi-finished products from Uzbekistan, including copper and copper products, cotton, chemicals, and mineral ores. The steady expansion of bilateral trade over the years represents a highly encouraging development. Nevertheless, considering the substantial economic potential of both countries, the current level of trade remains well below its attainable capacity. Accordingly, further legal and institutional reforms, together with the conclusion of additional bilateral trade agreements, are essential for enabling both countries to utilize their economic potential more effectively, thereby contributing to their long-term economic development. This study aims to examine the evolution of trade relations between Uzbekistan and Türkiye over time and to raise awareness of the considerable untapped potential for expanding bilateral economic cooperation.