Turkey however doesn't exactly have the stability, skills, or logistics necessary right now for big names to relocate. So they are likely suffering for not much gain.
They have a fairly competitive automotive, machinery, power systems and renewables, and chemical industry, and can probably expand it further.
If they return to the same economic formula Dervis and Babacan pushed, it can get back on track.
That said, a lot of the miraculous growth from 2005-13 was because of Central Anatolia catching up. The only region that hasn't caught up yet is Eastern Anatolia, though it's getting there unless the YPG/PKK screw everything up again.
Hence why I don't think their plan is going to work.
All the manufacturers have raised their prices significantly in TRY (Turkish Lira) terms- I suspect to the point that their prices are higher than usual even in USD/EUR terms.
Yes in power systems, automotive, tooling and machinery, and chemicals.
Turkish OEMs are connected with the larger CEE automotive industry, and they are a significant manufacturing of power systems components for Europe and ME. The chemical engineering industry is also fairly competitive (plastics, polymers, etc).
It's the same story for Mexico and Thailand.
Of course it does. To argue that making the real rate less negative doesn’t affect inflation is to imply Turkey could cut its rates to -100% nominal and not suffer any consequences.