Car produced in Turkey sold cheaper in Bulgaria: Here is the main reason for the price difference

*Sofia, Bulgaria:* 18,850 Bulgarian Lev (approximately 355,000 TL)  

*Bursa, Turkey:* 710,000 TL  

This situation reveals that the vehicle is sold for twice the price in Bursa, the city where it is produced, compared to Bulgaria, where it is imported. Erdin's post has reignited debates regarding the taxation system in Turkey.

THE MAIN REASON FOR HIGH CAR PRICES

According to experts, the main reason for high car prices in Turkey is the high rates of Special Consumption Tax (ÖTV) and VAT. When a vehicle produced in Turkey is exported to European Union countries like Bulgaria, it is sold with lower taxation. The low tax rates and export incentives applied in Bulgaria increase this price difference.

"TAX BURDEN IN AUTOMOTIVE AND ITS ECONOMIC REFLECTION"

Consumers in Turkey face ÖTV, VAT, and other additional costs on top of the vehicle price when purchasing a car. This tax burden causes even domestically produced vehicles to be sold much more expensively than in the countries they are imported to.

REACTIONS AND PROPOSED SOLUTIONS

Erdin's post found a wide echo among social media users. Users argued that domestic production should be offered to consumers in Turkey at more affordable prices, pointing out that this situation has negative effects on the economy and the domestic market. Some experts emphasize that taxation policies should be reviewed.

The fact that vehicles produced in Turkey find a place in the export market at more competitive prices increases export revenues in the automotive sector. However, this imbalance in the domestic market causes policies supporting domestic production to be questioned.

News Source: 12punto