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<div class="gmail-inner-article-top"><h1 class="gmail-">The Turkiye–Israel trade boom: Talk is cheap, but money talks</h1><p class="gmail-">While
denouncing Israel's actions in Gaza as a 'genocide' and 'inhumane,'
Erdogan is stealthily supplying Israel and its military forces with all
the necessary goods to keep on ticking.</p><div class="gmail-another-name"><p><a href="https://thecradle.co/authors/a-cradle-correspondent-117" style="color:rgb(164,4,4)">A Cradle Correspondent</a></p></div><div class="gmail-another-name" style="margin-top:16px"><p><span>MAR 14, 2024 - </span><font size="1"><a href="https://thecradle.co/articles/the-turkiye-israel-trade-boom-talk-is-cheap-but-money-talks">https://thecradle.co/articles/the-turkiye-israel-trade-boom-talk-is-cheap-but-money-talks</a></font></p></div></div><div class="gmail-inner-article-img"><img src="http://thecradle-main.oss-eu-central-1.aliyuncs.com/public/articles/5b21180e-e221-11ee-9e5d-00163e02c055.jpeg" alt="" width="450" height="213" style="margin-right: 0px;"><span>(Photo Credit: The Cradle)</span></div><div class="gmail-inner-article-content"><div class="gmail-row"><div class="gmail-col-md-8 gmail-col-sm-7"><div class="gmail-article-content"><span><p><span style="color:rgb(14,16,26)">Muslim-majority
countries have been especially vocal amid the global condemnation
directed toward Israel for its genocidal war on Gaza. For obvious
reasons, Muslim leaders face mounting pressure from their populations to
adopt a firmer, more assertive position on the Palestinian cause. This
pressure has only intensified as the war, now in its sixth month,
coincides with the holy month of Ramadan.</span></p><p><span style="color:rgb(14,16,26)">Among
these leaders is Turkish President Recep Tayyip Erdogan, who initially
adopted a relatively neutral stance toward Tel Aviv's war in order to
position himself as a </span><a href="https://www.reuters.com/world/middle-east/turkeys-erdogan-discusses-israeli-palestinian-conflict-with-uns-guterres-turkish-2023-10-10/#:~:text=Following%20a%20surprise%20attack%20by,Palestinians%20to%20stop%20the%20conflict."><span style="color:rgb(164,4,4)">mediator</span></a><span style="color:rgb(14,16,26)"> in the prisoner exchange between Hamas and Israel. </span></p><p><span style="color:rgb(14,16,26)">However,
the enormous Palestinian civilian death toll – now approaching 32,000
in Gaza – and mounting international condemnation of Israel's actions
have complicated Ankara's mediation ambitions. </span></p><p><span style="color:rgb(14,16,26)">Erdogan's
rhetoric shifted significantly and quickly in response to the global
outrage when, on 20 October, he publically declared that Israel's
military actions amounted to "genocide."</span></p><p><span style="color:rgb(14,16,26)">Then, during a pro-Palestine rally a week later, the Turkish president called Israel a "</span><a href="https://thecradle.co/articles-id/11283"><span style="color:rgb(164,4,4)">war criminal</span></a><span style="color:rgb(14,16,26)">," leading to the recall of ambassadors from both countries for a thorough assessment of the situation. </span></p><p><span style="color:rgb(14,16,26)"><strong>Turkiye's trade with 'war criminal' Israel</strong></span></p><p><span style="color:rgb(14,16,26)">Considering
Erdogan's critical stance, the recall of Ankara's ambassador from Tel
Aviv, and the ongoing massacres of thousands of women and children in
Gaza, Turkiye, under the rule of the Justice and Development Party (AKP)
– whose political roots are mired in Islamist ideology – might have
been expected to reassess its trade ties with Israel. </span></p><p><span style="color:rgb(14,16,26)">Overnight,
Turkiye, the only Muslim-majority NATO member state, could have imposed
economic sanctions to pressure Israel into a Gaza ceasefire. But that
did not happen.</span></p><p><span style="color:rgb(14,16,26)">Instead, not only has </span><a href="https://thecradle.co/articles-id/17708"><span style="color:rgb(164,4,4)">trade between Turkiye and Israel</span></a><span style="color:rgb(14,16,26)"> skyrocketed,
but the majority of commerce and shipping operations are being
conducted by companies affiliated with a group supported by Erdogan, the
Independent Industrialists and Businessmen's Association (</span><a href="https://www.musiad.org.tr/icerik/-meet-with-2?en"><span style="color:rgb(164,4,4)">MUSIAD</span></a><span style="color:rgb(14,16,26)">). </span></p><p><span style="color:rgb(14,16,26)">While
publicly, pro-government factions in Turkiye target and censure
individuals for patronizing Starbucks and other international franchises
that have demonstrated support for Israel, in private, they milk
profits out of Israel's war on Gaza. </span></p><p><span style="color:rgb(14,16,26)">Ergodan's public condemnations mean nothing in light of his secretive expansion of trade activities with the occupation state.</span></p><p><span style="color:rgb(14,16,26)">In
1996, Turkiye and Israel signed a Free Trade Agreement (FTA) that
mutually exempted both countries from customs duties on industrial
product imports, in a deal that significantly developed Israeli–Turkish
economic relations. </span></p><p><span style="color:rgb(14,16,26)">Despite
the various political crises that have cropped up between Turkiye and
Israel – as in the Mavi Marmara incident, when Israeli commandos stormed
a Turkish-flagged Gaza aid ship and killed aid workers – their economic
ties have continued to grow quietly in the background, particularly
since 2002, when Erdogan and the AKP came to power. </span></p><p><span style="color:rgb(14,16,26)">That
bilateral trade volume has seen a remarkable increase over the years:
data from the Turkish Exporters Assembly (TIM), Turkish exports to
Israel expanded five-fold from $1.4 billion in the early 2000s to $5.1
billion in 2023. Moreover, Turkiye is among the top four states for
Israeli imports.</span></p><p><span style="color:rgb(14,16,26)"><strong>Fueling the Israeli war machine </strong></span></p><p><span style="color:rgb(14,16,26)">Turkiye
provides 65 percent of Israel's steel imports, with Turkish
multi-sector conglomerate ICDAS – affiliated with MUSIAD – notable as a
key exporter to the occupation state. Since the onset of the Gaza war on
7 October alone, ICDAS has shipped 50,000 tons of steel to Israel. </span></p><p><span style="color:rgb(14,16,26)">A
portion of this steel supports Israel's military industry in the
production of munitions that are currently being used to decimate the
densely-populated Gaza enclave and attack neighboring Lebanon and Syria.
Notably, ICDAS has facilitated steel exports to the port of Haifa with
64 shipments in 2023 and nine more after 7 October.</span></p><p><span style="color:rgb(14,16,26)">ICDAS'
contributions extend beyond trade; the company has also been recognized
for its role in constructing a mosque in Canakkale, an effort that
earned a commendation from Mehmet Gormez, the President of Religious
Affairs. At a ceremony marking Israel's 69th anniversary, ICDAS was,
telling, honored as the top Turkish exporter to Israel.</span></p><p><span style="color:rgb(14,16,26)">In
addition, Israel sources 95 percent of its cement from Turkiye, with
notable clients that include the Israeli Ministry of Defence. According
to the Turkish Statistical Institute (TUIK), cement exports to Israel
totaled $174 million in 2023, with $6.39 million of that figure recorded
from 7 October to the present. </span></p><p><span style="color:rgb(14,16,26)">Leading
Turkish cement exporters to Israel include Akcansa, Limak, Oyak, Nuh
Cement, and Eren Holding. The latter, a member of the MUSIAD, has most
notably supplied Israel with over 200,000 tons of materials since 7
October.</span></p><p><span style="color:rgb(14,16,26)">Facing Turkish public outrage over its exports to Israel, MUSIAD </span><a href="https://www.aa.com.tr/tr/gundem/musiaddan-israil-ile-ticaret-iddialarina-iliskin-aciklama-iddialari-tuzugumuz-dogrultusunda-titizlikle-inceliyoruz/3133671"><span style="color:rgb(164,4,4)">made a statement</span></a><span style="color:rgb(14,16,26)"> on 10 February to address its member companies' trade with Israel: </span></p><blockquote><p><span style="color:rgb(14,16,26)">In
recent days, our organization and members have been put under suspicion
due to the alleged commercial activities of a few of our members with
Israel. For this reason, we are meticulously examining the allegations
that put our institution and members under suspicion in line with our
charter and are operating our internal processes. Information will be
provided when the processes are complete.</span></p></blockquote><p><span style="color:rgb(14,16,26)">Despite that promise, MUSIAD did not respond to the </span><a href="https://www.evrensel.net/abn/pdf/EVR20240304.pdf"><span style="color:rgb(14,16,26)"><i>Evrensel</i></span></a><span style="color:rgb(14,16,26)">
newspaper's requests for information on its processes, and evidence of
ICDAS' unabated steel exports to Israel has emerged. According to TIM's
data, ICDAS exported steel worth </span><a href="https://tim.org.tr/files/downloads/rakamlar/2024/1/2024-01-ulkeler-konsolide-ihracat-rakamlari.xlsx?v=638457555565947592"><span style="color:rgb(164,4,4)">$35 million</span></a><span style="color:rgb(164,4,4)"> </span><span style="color:rgb(14,16,26)">in January 2024 and </span><a href="https://tim.org.tr/files/downloads/rakamlar/2024/2/2024-02-ulkelere-gore-sektorel-ihracat-rakamlari.xlsx?v=638457555565947592"><span style="color:rgb(164,4,4)">$38.5 million</span></a><span style="color:rgb(14,16,26)"> in February.</span></p><p><span style="color:rgb(14,16,26)"><strong>Bypassing the naval blockade </strong></span></p><p><span style="color:rgb(14,16,26)">An
important indicator of the sustained economic engagement between
Turkiye and Israel – despite Tel Aviv's continued war crimes in Gaza –
is the active maritime traffic linking the ports of both countries. This
comes at a time when the </span><a href="https://thecradle.co/articles-id/21707"><span style="color:rgb(14,16,26)">Red Sea naval blockade</span></a><span style="color:rgb(14,16,26)">
of ships destined for Israeli ports by Yemen's Ansarallah-aligned armed
forces is heavily supported by Arab and Muslim populations worldwide.</span></p><p><span style="color:rgb(14,16,26)">Turkish Transport Minister Abdulkadir Uraloglu, in a conversation with journalist Kemal Ozturk, </span><a href="https://t.co/gZoGhKeuEZ"><span style="color:rgb(164,4,4)">revealed</span></a><span style="color:rgb(14,16,26)"> that
between 7 October and 31 December 2023, 701 ships embarked from Turkish
ports to those in Israel, averaging eight voyages daily.</span></p><p><span style="color:rgb(14,16,26)">This
tally encompasses 480 vessels departing directly from Turkish ports for
Israel and 221 additional ships originating from third-country ports,
which docked in Turkiye while en route to Israel.</span></p><p><span style="color:rgb(14,16,26)">Although
AKP leaders and MUSIAD member companies have upped their negative
rhetoric against Israel, Turkiye–Israel economic relations are thriving
like never before. Turkiye continues to meet Israel's critical needs for
steel, cement, vegetables, fruits, automobiles, and electrical
appliances, while Zorlu Holding meets 7 percent of Israel's electricity
needs thanks to its energy investments in the occupation state.</span></p><p><span style="color:rgb(14,16,26)">Publicly
visible political tensions between Ankara and Tel Aviv appear to have
had no impact on the commercial front. Erdogan's calculations are not
hard to discern: Turkiye is currently grappling with an economic crisis
and is heavily invested in enhancing ties with pro-Israel Washington and
EU to enable its recovery. </span></p><p><span style="color:rgb(14,16,26)">After all, the </span><a href="https://thecradle.co/articles-id/3120"><span style="color:rgb(164,4,4)">full normalization</span></a><span style="color:rgb(14,16,26)"> of Turkiye's relations with Israel in 2022 facilitated similar progress with Greece and Egypt.</span></p><p><span style="color:rgb(14,16,26)"><strong>Continuing the 'shame trade'</strong></span></p><p><span style="color:rgb(14,16,26)">In
this context, Ankara is trying to stay clear of rekindling a political
crisis with Israel, and so Erdogan directs most of his public criticism
specifically at Israeli Prime Minister Benjamin Netanyahu, whom he
perceives as nearing the end of his political career. </span></p><p><span style="color:rgb(14,16,26)">For
Ankara, political and economic objectives take precedence over
humanitarian concerns, allowing trade between Israel and Turkiye to
persist despite the popular, widespread anger over the genocide taking
place in Gaza and calls for severing bilateral relations altogether.</span></p><p><span style="color:rgb(14,16,26)">At a pro-Erdogan rally in western Sakarya province on 24 February, a banner demanding "</span><a href="https://www.duvarenglish.com/banner-reading-end-shame-of-trade-with-israel-removed-at-erdogans-rally-video-63902"><span style="color:rgb(164,4,4)">End the shame trade with Israel</span></a><span style="color:rgb(14,16,26)">"
was promptly confiscated by police officers. Despite the gathering's
support for the president and his party, this rhetoric was clearly a
step too far for Turkish political and business elites. </span></p></span></div></div></div></div>
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