Deniz Yavuzyılmaz reacts to government over WTO: We lost the China case, the bill will reach $100 million annually

Yavuzyılmaz stated that Turkey lost the case filed at the World Trade Organization (WTO) due to additional taxes on Chinese-origin automobiles and reacted harshly to Minister of Trade Ömer Bolat. Arguing that the decision will cost Turkey at least $100 million annually, Yavuzyılmaz drew attention to the appeal deadline of September 26, 2026.

In a post on his social media account, Deniz Yavuzyılmaz criticized the government's policies toward Chinese automotive companies, particularly the investment incentives provided to BYD, and claimed that Turkey's loss of the WTO case would create a new economic burden.

“Another scandal has emerged”

In his statement, Yavuzyılmaz recalled the tax advantage the government provided to the China-based automotive company BYD under the guise of investment incentives. Reiterating his criticism that BYD has not made an investment in Turkey, Yavuzyılmaz argued that a new development has emerged following this debate.

YENİ Party's Yavuzyılmaz stated, “Following the scandal where the company has not made an investment in Turkey to date, despite the AKP providing a massive tax advantage to the Chinese-origin automobile company BYD under the name of investment incentives, we have uncovered another disgrace.”

Turkey's additional taxes and import requirements for Chinese-origin electric and certain other vehicles were taken to the WTO by China in 2024. In the dispute numbered DS629, the WTO panel published its report on July 28, 2026. The panel concluded that some of Turkey's measures were not consistent with its obligations under GATT 1994.

WTO panel found some of Turkey's practices contrary to the rules

In China's application, in addition to the additional taxes applied to Chinese-origin electric vehicles, the import permit requirements introduced for some vehicles and the regulations allowing companies with investment incentive certificates to benefit from certain additional taxes were also subject to the lawsuit.

The panel concluded that Turkey's 40 percent additional tax on electric vehicles exceeded its tariff commitments under the WTO and that less favorable treatment was applied to Chinese-origin vehicles. Taxes on some hybrid vehicles and the import permit system were also found by the panel to be inconsistent with WTO rules.

However, it was also among the important details of the decision that some of China's claims regarding internal combustion engine vehicles were not accepted by the panel.

“The bill for Turkey is at least $100 million annually”

Yavuzyılmaz drew attention to the economic dimension of the decision and claimed that the cost Turkey might face is at least $100 million per year.

Stating that according to their calculations, this amount is approximately 4 billion 486 million TL at the current exchange rate, Yavuzyılmaz argued that China could demand that Turkey cover the said loss or resort to commercial retaliation in the same amount.

Yavuzyılmaz used the following expressions in his post:

“China will say to Turkey, either pay my loss immediately or I will carry out a commercial retaliation in this amount.”

The publication of the WTO panel decision does not mean that Turkey will lift the measures on the same day. The process regarding the implementation of the decision will proceed within the framework of the WTO's dispute settlement mechanism.

“Last day for appeal is September 26”

One of the most important calls in Yavuzyılmaz's statement was directed at the Ministry of Trade.

Arguing that the WTO decision should be appealed, Yavuzyılmaz stated that the deadline is September 26, 2026, and called on Minister of Trade Ömer Bolat, saying, “File the appeal as soon as possible.”

Immediately after his call, Deniz Yavuzyılmaz also argued that Minister Bolat should resign.

“If the tax rate is changed 5 times in two years…”

Criticizing the frequent changes in tax policies for Chinese-origin automobiles, Yavuzyılmaz claimed that the government's regulations in the automotive field are far from predictable.

Yavuzyılmaz concluded his statement with these words:

“If you change the additional tax rates for vehicles 5 times in 2 years, if you turn this business into child's play, this is what will happen.”

Turkey's tax policy toward Chinese-origin automobiles has become one of the important topics of debate in recent years, both for the automotive sector and for Turkey-China trade. With the regulations made in 2025, significant changes were also made to the additional financial obligations applied to automobiles of Chinese and US origin.

AKP lost the 'Chinese automobiles' case at the World Trade Organization!

Despite the AKP providing a massive tax advantage to the Chinese-origin automobile company BYD under the name of investment incentives;

Following the scandal that the company has not made an investment in Turkey to date??

New… pic.twitter.com/H4zYKsOkuW

— Deniz Yavuzyılmaz (@yavuzyilmazd) September 14, 2026

News Source: 12punto