Turkey has spent billions of dollars to build and expand its army by importing arms, predominantly from the US and Germany, for many years. Turkey is the world’s 6th largest defense importer after India, Saudi Arabia, UAE, China and Algeria. Turkey’s defense industry has changed significantly in less than a decade as Turkey has become more involved in co-production, co-development projects, which have also brought along export opportunities. Although the focus is on meeting national requirements through domestic solutions, the size and sophistication of upcoming projects provide opportunities for U.S. companies. In fact, he U.S. Department of Commerce’s International Trade Administration has identified Turkey as a top destination for U.S. defense exports.

TuAF requirements are met through direct purchases from domestic and foreign markets or by participation in joint production programs. These joint production programs constitute potential export opportunities, as the tendency is to give more emphasis to joint production and joint activities through R&D. Turkey has started taking steps to develop indigenous systems to meet TuAF’s needs. The modernization of TuAF will also bring export opportunities to U.S. companies. In the next decade, combat weapons and equipment currently in TuAF’s inventory will need to be modernized or replaced with systems incorporating new technologies.

The 2018 Ministry of Defense (MOD) budget is around $10.8 billion ($/TL at 4.4). Half of this budget is allocated to spending on procurement of goods and services, including modernization programs. This does not include spending by the Ministry of Interior’s Gendarmerie, the Coast Guard, defense procurements funded by the Turkish Treasury and the Undersecretariat for Defense Industry Support Fund. Along with MOD spending, the proposed 2018 budget for the Gendarmerie is $3 billion, for the Coast Guard $155 million, and for the National Police $6.3 billion.