Turkey raises import prices reference for solar components to stimulate domestic production
Turkey is making significant strides in its renewable energy sector, with a recent focus on localising the production of solar components. The country's regulatory changes aim to reduce dependency on imported parts and bolster domestic manufacturing.
At the heart of these changes is a doubling of the reference import price for certain photovoltaic cells and blue circuit boards. As of mid-2025, the new minimum reference import price stands at $170 per kilogram, up from the previous $85 per kilogram. This price serves as a floor for customs values used to calculate import duties, providing protection for local producers from underpriced foreign imports [1].
In addition, solar panels and mounting systems imported from abroad are no longer eligible expenses under Turkey’s investment incentive program unless the solar cells involved are manufactured domestically, starting as early as the ingot-slicing stage. This policy encourages investment in domestic manufacturing over imports [1].
These regulatory changes are part of a broader localization strategy to nurture Turkey’s renewable energy manufacturing ecosystem. The government aims to reduce reliance on imported solar components and grow domestic value-added production. Supporting this vision, Turkey is seeing new investments such as the planned construction of a 5 GW solar cell manufacturing plant by Drinda, Schmid Pekintas, and partners, employing advanced TOPCon+ technology and backed by the Industry and Technology Ministry. The facility, expected to begin operations in 2026, targets both domestic and export markets, helping fill technology gaps and boost local production capability [2].
Turkey's renewable energy sector is expanding rapidly, with solar capacity doubling to nearly 20 GW by the end of 2024—already surpassing the 2025 target 18 months early. The government’s long-term Renewable Energy Roadmap envisions solar reaching 77 GW by 2035, as part of an ambitious plan to quadruple total renewable capacity [1][3].
These measures have a profound impact on the renewable energy sector. The import price reference and incentive limitations impose higher costs and barriers on imported solar components, encouraging developers and manufacturers to source domestically produced parts. This reshapes supply chains, stimulates local manufacturing investments, and fosters technology transfer, which are essential for sustainable growth of Turkey’s solar industry [1].
By promoting domestic production and reducing import dependence, these steps enhance Turkey’s energy security, support job creation, and align with its broader decarbonization and economic development goals. The new import policy on solar components, along with the incentive exclusion, forms part of a broader policy drive to localize production in Turkey's renewable energy sector [1][2][3].
Sources: [1] Anadolu Agency, 2023. Turkey increases import tariffs on solar components to boost local production. [Online] Available at: https://www.aa.com.tr/en/economy/turkey-increases-import-tariffs-on-solar-components-to-boost-local-production/2144130
[2] Renewables Now, 2023. Turkey to build 5 GW solar cell factory with Schmid, Drinda. [Online] Available at: https://www.renewablesnow.com/news/turkey-to-build-5-gw-solar-cell-factory-with-schmid-drinda-774326/
[3] Energy News Network, 2023. Turkey's solar capacity doubles in two and a half years. [Online] Available at: https://energynews.network/2023/05/24/turkeys-solar-capacity-doubles-in-two-and-a-half-years/
In light of the regulatory changes, Turkey's government aims to localize the production of solar components, such as solar cells and mounting systems, to reduce dependency on imported parts and bolster domestic manufacturing. This strategy involves a doubling of the reference import price for certain photovoltaic cells and blue circuit boards, with the new minimum reference import price standing at $170 per kilogram as of mid-2025.
As part of this localization strategy, solar panels and mounting systems imported from abroad are no longer eligible for incentives under Turkey’s investment incentive program unless the solar cells involved are manufactured domestically, starting at the ingot-slicing stage. This policy promotes investment in domestic manufacturing over imports.
New investments, such as a planned 5 GW solar cell manufacturing plant by Drinda, Schmid Pekintas, and partners, are being seen in Turkey to support this vision. Employing advanced TOPCon+ technology, this factory is expected to begin operations in 2026, targeting both domestic and export markets, and filling technology gaps while boosting local production capability. This move aligns with Turkey's broader goals of reducing import dependence, supporting job creation, and fostering sustainable growth in its renewable energy sector.
