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Turkey’s geo-economic shift: An opportunity to revitalise EU integration amid sanctions

Author

Listed:
  • Meryem Gökten

    (The Vienna Institute for International Economic Studies, wiiw)

  • Richard Grieveson

    (The Vienna Institute for International Economic Studies, wiiw)

Abstract

Since the beginning of the war in Ukraine, Turkey has adeptly navigated a balancing act between Russia and the West, leveraging its position as a credible mediator. However, Turkey’s geo-economic vulnerabilities and strong economic ties with the West have made this approach untenable, especially given the recent escalation in pressure from the United States. As the US adopts a firmer stance and Turkey starts to distance itself from Russia, the implications for the European Union’s strategy towards Turkey become increasingly important, presenting an opportunity to revitalise relationships. However, relations may sour again owing to stalled progress in relations and ongoing regional instability. Turkey's vocal stance against Israel and the war in Gaza underlines its dissatisfaction with US and EU responses, but at present the country has only limited leverage to effect change. The EU needs to adopt a proactive stance towards Turkey, moving beyond waiting for a post-Erdoğan era, and establish new forms of engagement other than EU accession. A modernisation of EU-Turkey customs rules is long overdue and would benefit both sides. Given Turkey’s geopolitical significance and NATO membership, it is crucial for the EU to maintain relations with the country to prevent it from aligning more closely with Moscow and Beijing.

Suggested Citation

  • Meryem Gökten & Richard Grieveson, 2024. "Turkey’s geo-economic shift: An opportunity to revitalise EU integration amid sanctions," wiiw Policy Notes 90, The Vienna Institute for International Economic Studies, wiiw.
  • Handle: RePEc:wii:pnotes:pn:90
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    More about this item

    Keywords

    Turkey; EU; foreign trade; customs union; sanctions; investment;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F50 - International Economics - - International Relations, National Security, and International Political Economy - - - General
    • F51 - International Economics - - International Relations, National Security, and International Political Economy - - - International Conflicts; Negotiations; Sanctions
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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