OYAK, which has increased its consolidated net assets by 129 percent in the last four years to TL 118.3 billion, continues to contribute to Turkey’s economy with export record and implemented projects. OYAK, which operates in 23 countries with more than 100 group companies in mining metallurgy, cement concrete paper, automotive logistics, finance, service, chemistry, energy, agriculture and animal husbandry sectors, has more than 32 thousand employees and nearly 430 thousand members.
OYAK is making investments in the areas where Turkey is dependent on other countries partially or completely, and in addition to its contribution to the reduction of this dependency, it aims to provide strength and resistance to the economy with its localization projects. OYAK, with its new investments, will provide the opportunity to produce and even export the products which Turkey has to pay more than 650 million dollars every year.
Erdem: “There is no deviation in our 2020 plans”
OYAK General Manager Süleyman Savaş Erdem, who shares the recent investments and future goals of OYAK, stated that after 2019, when there were various difficulties on a global basis, they were working to overcome the effects of the economic difficulties that emerged with the Covid-19 outbreak.OYAK General Manager Erdem, who said “Making moves that will carry the country’s economy forward, is the joint responsibility of all actors of the economy”, continued as follows: “The world is going through a difficult period. However, it is a learning experience in many aspects as well as difficult. The process we had was an experience, on the one hand, that we questioned traditional business models, and on the other hand, had the opportunity to test our limits. I think that we have gains not only in terms of business but also in terms social solidarity and services we can offer to our country. I believe that Turkey will find great opportunities in the post-pandemic process. Despite all the difficulties in 2019, we drew a very successful graphic. We realized 2.7 percent of Turkey’s total exports. There is no backward deviation in our 2020 plans. In the coming period, we will continue our investments both in our current fields of activity and in new areas that we will take steps. We will continue to work towards increasing foreign capital inflow to the country and strengthening domestic production. ”
$ 1 billion investment in Erdemir
OYAK, which made an investment decision of $ 1.4 billion for the mine metallurgy business area in 2019, started its operations in the galvanization line and R&D center in addition to this investment. Also in 2019, it became the Finland’s majority shareholder of armored steel manufacturer Miilux OY. In this regard, OYAK undersigned one of the greatest localization projects of Turkey and decided to build the factory in Turkey in addition to the company’s plants in Finland and Poland. Thanks to this facility, which is established to meet the needs of all of Turkey’s annual steel armor between 17-20 thousand tons, the armor steel imports will be eliminated. It will also create a new and important export area for Turkey.
$ 350 million will remain in the country
OYAK will make another major investment for reducing foreign dependency in Hekimhan facility which satisfies 3 million tons of total 6.2 million ton pelet need of Turkey on its own. The Hekimhan Enrichment and Pelletizing Facility, which is planned to be completed in 55 months, is expected to reduce the foreign dependency by $ 350 million annually. The facility, which will be established with the aim of creating new resources, will be launched with an investment of 750 million dollars. The investment will take place in partnership with the Japanese JFE Steel.
Only one in Turkey: Carbon black production
OYAK also leads the production of carbon black, which has a market size of $ 14 billion worldwide. Carbon black, which is one of the main ingredients in the production of different sectors such as rubber, paint and rubber industry, will be produced in Iskenderun in cooperation with Taiwanese International CSRC Investment Holdings Co Ltd, a company of Continental Carbon, one of the world’s largest manufacturers in this field. The facility, which will meet Turkey’s annual 220 thousand tons of carbon black, will prevent imports of $300 million.
OYAK Port becomes an export base
Acting for the construction of Ro-Ro port serving the automotive sector, which is one of the important needs for Turkey, OYAK, started the construction of OYAK Port of 110 million dollars in 2019 in partnership with Nippon Yusen Kaisha (NYK Line). OYAK Port, which is planned to become operational in the beginning of 2021 and will serve as one of the few ports in the world when it is completed, will meet the demand created by the increasing export volume in the automotive industry and will serve as an export base.
New growth market in cement: Africa
OYAK, which provided the biggest foreign capital inflow of the year with a $ 640 million partnership agreement with Taiwan Cement Corporation, one of the world’s largest cement companies, has added Portugal and Cape Verde operations of Portuguese CIMPOR, one of the leading cement groups in Europe, to increase its capacity from 21.5 million tons to 32.6 million tons. OYAK has unified its 5 publicly traded companies (Adana Çimento, Bolu Çimento, Aslan Çimento, Ünye Çimento and Mardin Çimento) in 2020 as “OYAK Çimento Fabrikaları A.Ş. and reinforced its leadership in the domestic market and continues to evaluate opportunities to become a global player. OYAK Cement, which has set its target to be one of the top five players in the world in five years, invests in the Ivory Coast in West Africa and Cameroon.
Return to the strategic sector fuel oil
OYAK, which continues its investments and growth in its existing fields of activity, is evaluating its opportunities in different sectors. OYAK has returned to the fuel and mineral oil distribution sector, which directly affects more than 30 sectors and provides direct employment to 150 thousand people, in line with its sustainable growth strategy. OYAK bought TOTAL Oil Turkey and M Oil all operations including about 900 stations (including own resources and its own operating the stations), real estate, intellectual property, licenses and permits, distribution, storage and dealer licenses, stations operating sub-companies and fuel and LPG storage, filling and stocking facilities across Turkey, mineral oil factory and all operations and became one of the top five players in the industry.