The EU and Türkiye Embrace Digital and Green Future

10.10.2024 PRESS AND INFORMATION TEAM OF THE DELEGATION TO TÜRKİYE

The twin transitions of digitalisation and decarbonisation are shaping the global agenda and the future of Türkiye and the European Union (EU). Digital technologies are transforming infrastructure, services and manufacturing, and green tech helps to manage and mitigate environmental challenges, preserve ecosystems, and ensure sustainable renewable energy sources. These two transitions are redefining economic growth, prosperity and ecology.

This was the core message of the event ‘Harnessing Twin Transition: Strategic Opportunities between Türkiye and the EU’ organised by the Ministry of Industry and Technology and the Delegation of the EU to Türkiye at the MESS Technology Centre (MEXT) in Istanbul on 4 October. Its participants, including officials, diplomats and businesses, explored opportunities for cooperation between Türkiye and the EU.

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Jurgis Vilčinskas, Deputy Head of the Delegation of the EU to Türkiye

Jurgis Vilčinskas, Deputy Head of the Delegation of the EU to Türkiye stressed that “the EU has supported and will continue supporting Türkiye and Turkish companies on their twin digital and green transformation journeys. Turkish companies are already well integrated into the EU supply and value chains, particularly in the automotive, machinery and textile sectors. The EU and Türkiye enjoy a very close trade relationship thanks to the Customs Union. In 2023, bilateral trade reached a new record of more than €206 billion, making Türkiye the EU’s fifth largest trading partner. The EU remains the largest investor in Türkiye. In 2022, the EU was the source of around 70% of the country’s foreign direct investment (FDI). In 2023, the EU remained the largest investor with a share of around 53%.”

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Ahmet Halit Hatip, Director General for EU and Foreign Affairs at the Ministry of Industry and Technology

Ahmet Halit Hatip, Director General for EU and Foreign Affairs at the Ministry of Industry and Technology, noted that the twin transformation “is our shared goal for a more sustainable and efficient future. In addition to many projects, through the IPA Competitive Sectors Programme, together with the EU, we have provided €760 million in grants since 2007 for projects in manufacturing, R&D, technology transfer and innovation. Our five European Digital Innovation Centre consortia, including MEXT, selected through the European Commission’s initiative under the Digital Europe Programme, will become operational in early 2025 with a total investment of €9 million. These centres will play a crucial role in driving the twin transformation of companies and public institutions.”

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Efe Erdem, Managing Director of MEXT

Efe Erdem, Managing Director of MEXT, flagged the pivotal role of MEXT. The EU has allocated €95.5 billion for twin transformation between 2021 and 2027 through the Horizon Europe and €8.2 billion through the Digital Europe Programme. “At MEXT, we want our country to be part of these ecosystems. We are one of the key business partners of the European Innovation Council in our country. We have signed a cooperation agreement with EIT Raw Materials, the European Institute of Innovation and Technology branch focusing on rare metals and raw materials.”

He added: “As part of the strong ‘AI EDIH Türkiye’ consortium formed under the leadership of MEXT, we were entitled to join the European Digital Innovation Centres (ADIM/EDIH) network within the Digital Europe programme. The AI EDIH Türkiye initiative will lead Türkiye’s digital and green transformation, focusing on artificial intelligence. Throughout this process, we will engage with 151 centres across Europe working on AI while establishing collaborative partnerships.”

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The first panel brought together key policy makers

Other speakers highlighted the role of Horizon Europe, Digital Europe, and EU assistance instruments, noting Türkiye's increasing alignment with the European research area, opening opportunities for green and digital collaborations. They noted that, while large companies are embracing digital transformation, SMEs in Türkiye are still trailing behind their European counterparts.

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The second panel focused on private sector perspectives

In a private sector panel, leaders from Schneider Electric, Vodafone Türkiye, Borusan Holding, and the Development and Investment Bank of Türkiye discussed their sustainability efforts and the competitive advantage of partnering with European firms.

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Private sector panel

The day wrapped up with an in-depth look at MEXT’s Digital Factory, which highlighted digital and green use cases in Türkiye. Participants experienced first-hand how digital manufacturing can generate both economic and environmental benefits.