Turkish textile factories close monthly as capacity utilization falls to 60%

September 14, 2026 at 07:30 AM1 min

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Turkish textile and apparel factories are closing at a rate of one to two per month, according to Turkish Exporters Assembly Vice President Ahmet Öksüz. Capacity utilization in the sector has fallen to 60 percent, leaving 40 percent idle. The apparel production index contracted 15.1 percent while textile output shrank 1.5 percent.

Key Facts

Ahmet Öksüz, Vice President of the Turkish Exporters Assembly, said one to two factories close every month.
Capacity utilization in the sector is 60 percent, leaving 40 percent idle.
The apparel production index contracted 15.1 percent and textile output shrank 1.5 percent.
Denim producer Orta Anadolu, one of the largest companies in its field, announced it would end 73 years of production last week.
Cotton prices rose 20–30 percent, but producers cannot pass the increase to customers.

Factory Closures

Ahmet Öksüz, Vice President of the Turkish Exporters Assembly, said one to two factories close every month. He said some companies shut down completely while they still can, and lost facilities do not come back. Last week, denim producer Orta Anadolu announced it would end 73 years of production.

Capacity and Demand

Capacity utilization in the sector is 60 percent, leaving 40 percent idle. The apparel production index contracted 15.1 percent and textile output shrank 1.5 percent. Cotton prices rose 20–30 percent, but producers cannot pass the increase to customers.

Cost Pressures

Öksüz said high interest rates are a serious problem and rates must return to normal levels. He added that the exchange rate burden from the past is straining the sector. İTHİB President Ahmet Şişman said Turkish industrialists must establish a presence in Egypt and Syria.