New Syrian government's taxes bring exports to a standstill: 'The goal is to impose an embargo on Turkey'

International Transporters Association Board Member İsmail Çirkin expressed his reaction to the situation, noting that the new administration in Syria has begun applying uniform customs duty rates at all border crossings, which has most severely affected Turkish exporters.

In his statement, Çirkin noted the following:

'Higher tax rates are being applied to us, while lower taxes are applied to products coming from Arab countries. The primary goal of this practice is to indirectly impose an embargo on Turkey.'

Throughout the civil war period in Syria, tax rates had varied. The fact that different groups controlled separate regions had led to the implementation of changing tax tariffs at the Lebanese, Turkish, and Jordanian border crossings.

The Syrian Land and Sea Crossings Administration decided on January 11 to unify the customs tariffs applied at all of the country's border crossings. This decision by the interim government led to a nearly 60 percent decrease in customs duties applied to imported products compared to the Assad era.

On the other hand, the decision caused tax increases of up to 300 to 500 percent on products imported from Turkey. The new practice has brought trade from Turkey to Syria to a standstill.

MINISTRY OF TRADE STEPS IN

Due to the serious damage to trade between Syria and Turkey, the Ministry of Trade issued a statement announcing that it would meet with Syrian officials this week.

The Ministry's statement included the following expressions:

'The New Syrian Administration transitioned to a uniform taxation system at all customs administrations across the country on January 1, 2025. This tax system, which has been put into effect, is applied in the same manner at all of Syria's border crossings and customs administrations. Our country is conducting joint efforts regarding the implementation of the economic development process in Syria, ensuring access to products needed by the Syrian people under appropriate conditions, and delivering products needed within the scope of Syria's reconstruction activities to the country. In this context, in line with evaluations regarding the latest customs duty regulation, negotiations have been and continue to be held with Syria in the fields of trade, customs, and foreign policy.

Finally, consultations were held with the Syrian side regarding customs duties during the meetings held yesterday. As a continuation of the negotiations, an in-person meeting is planned for next week. On the other hand, our willingness to implement a new and this time more comprehensive free trade agreement between our countries has been mutually shared. Our country's firms will continue to actively contribute throughout the entire process regarding the new Syrian government's development efforts. In this process, we would like to emphasize once again that we are ready to cooperate with our Syrian brothers in line with common goals.'

TRUCKS WAITING AT THE BORDER

International Transporters Association Board Member İsmail Çirkin made a statement to the ANKA News Agency regarding the issue, expressing the following:

'Our problems regarding Syria are the tax increases on Turkish products. Because of these increases, importers there (in Syria) were exposed to very high taxes and did not take delivery of the goods sent from Turkey at the customs. This is the biggest problem we are experiencing. That is why our trucks are being kept waiting at the border crossings, and they are not taking the products either. This will affect our future trade.'

TURKISH EXPORTERS' LOSSES COULD REACH 1.5 BILLION DOLLARS

Stating that if a solution cannot be produced for the current situation, exports of 2 billion dollars could fall to 500 million dollars, Çirkin pointed out that the problem could deeply shake the logistics sector.

Underlining that the logistics sector could be affected due to the damage it will see in its services in Europe, Çirkin described the situation with these words:

'The coming period will show our losses. If this border crossing does not work, Turkey already has an annual export of 2 billion dollars to Syria, and these exports will fall to 500 million dollars. There will be an export loss of 1 billion 500 million dollars. Nearly 300 million dollars of this figure is logistics services. The logistics sector will also suffer a loss of 300 million dollars from this business. The 300 million dollar loss that the logistics sector will see from Syria alone will also affect its services in Europe and will make our sector unprofitable there as well.'