Turkey will boycott U.S. electronic goods over sanctions, says Erdogan

Marco Green
August 17, 2018

President Erdogan said on Tuesday that Turkey was taking measures to stabilise its economy and should not "give in to the enemy" by investing in foreign currencies.

The iPhone is among the USA electronic good that could be barred from Turkey as part of a new boycott announced by the country's president on Tuesday.

President Donald Trump doubled tariffs on Turkish metals exports to the United States last week prompting Ankara, which says it will not bow to threats, to raise tariffs on U.S. cars, alcohol and tobacco by the same amount yesterday.

He promised central bank independence, tighter budget discipline, structural reform and "sustainable and healthy growth".

Investors are anxious not only about Turkey's souring relations with the U.S., a longtime North Atlantic Treaty Organisation ally, but also Erdogan's economic policies and the country's high debt accumulated in foreign currencies.

However the latest outburst of tensions did not so far cause harm to the lira, which on Tuesday clawed back some ground after losing just under a quarter of its value in trade on Friday and Monday.

Turkey also maintains a small military base in Qatar.

Analysts have said Ankara will likely need to go to the International Monetary Fund to rebuild confidence in its economic policies.

Apple has 22 percent of the smartphone market in Turkey, where 11.4 million units were sold past year, according to Ramazan Yavuz, research manager at IDC consultancy company.

Some are looking for a longer-term bargain - property.

Turkey has accused Brunson of backing a coup attempt against President Recep Tayyip Erdogan two years ago. They added that the Turkish and French finance ministers would meet soon.

"We will boycott USA electronic goods", Erdogan said in a televised speech, raising the stakes in a spat that has seen the Turkish lira plunge to record lows.

The officials provided the information only on condition of anonymity, in line with rules.

The flailing Turkish lira rebounded slightly on Thursday, on the heels of Qatar's announcement that it would earmark $15 billion for deposits and investment projects to be made in Turkey.

Berat Albayrak sought to reassure uneasy investors and economists during the mammoth call, insisting Turkey would emerge stronger from its current currency woes.

The lira had nosedived in recent weeks, hitting a record low of 7.24 last week, amid a diplomatic and trade dispute with the United States.

US President Donald Trump tweeted last week that he had authorized to double the tariffs on steel and aluminum products from Turkey to 50 percent and 20 percent respectively.

Other reports by Click Lancashire

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