Turkish home appliance giant Arçelik has announced a new €150 million ($173.9 million) financing agreement with the European Bank for Reconstruction and Development (EBRD), aimed at advancing its environmentally sustainable manufacturing initiatives.
The funding will be split into two strategic components:
– €83 million will be allocated to Turkey’s first externally verified green loan in the manufacturing sector. This portion will support Arçelik’s comprehensive green investment program, including the transformation of production processes, modernization of facilities, and R&D efforts focused on developing eco-friendly appliances.
– €67 million will be used to upgrade key manufacturing sites—specifically, the refrigerator plant in Eskişehir and the cooking appliances facility in Bolu—enhancing energy efficiency and operational sustainability.
This latest investment builds on a previous €150 million EBRD loan that enabled Arçelik to produce quieter, more energy-efficient refrigerators and washing machines, which have seen strong demand in international markets.
According to the company, these new initiatives are designed to help meet its 2030 climate goals and align with the broader objectives of the Paris Agreement
Tag Archives: turkey
Vestel to Lay Off 2,000 as Zorlu Holding Restructures Amid Debt Woes
Zorlu Holding, a prominent Turkish conglomerate, is undertaking a significant restructuring effort, including the sale of assets and job cuts, as it grapples with a substantial $4.9 billion debt. Bloomberg reports that the İstanbul-based group will eliminate 2,000 positions, roughly 10% of the workforce at its electronics arm, Vestel Elektronik.
The move comes amidst a sharp decline in Vestel’s financial performance. In the first quarter of 2025, Vestel reported a net loss of 5.08 billion Turkish lira ($157 million),
Russian appliance market
The ongoing global conflict significantly impacted the Russian appliance market in 2022, with a 35% contraction following the departure of major international brands. However, the market demonstrated remarkable agility, nearly fully recovering by year-end as local players filled the void. Production shifted, with some international facilities changing hands while others increased local output, strengthening ties with China.
Despite volatile exchange rates, soaring freight costs, and payment challenges, the Russian MDA/BIA market reached 18.2 million units (5.51 billion EUR) in 2022, fueled by pent-up demand. In 2023, the market saw unit and Ruble growth as conditions somewhat stabilized. However, EUR volume remained flat.
2024 brought increased payment complexities, resolved through intermediaries for China and Ruble payments for Turkey. The market continued its unit growth, maintaining stable EUR volume, showcasing unexpected resilience.
However, 2025 has begun with a sales downturn despite a better exchange rate, potentially due to global political uncertainties.
Despite sanctions, the Russian market has shown surprising stability and modest growth. Gray market imports continue to supply demand for well-known brands, and some major players are considering or have already re-entered the market.
In conclusion, the Russian appliance market has proven surprisingly resilient due to local adaptation, new trade dynamics, and persistent demand met through various channels. While future uncertainty remains, its performance highlights its adaptability
Beko Europe Shifts Production: A Predictable Move
Beko Europe has announced the closure of some European operations, relocating production elsewhere. This decision aligns with the Turkish manufacturer’s long-standing aggressive pricing strategy. A quick online search reveals washing machines priced as low as €270. Given that raw material costs are consistent globally, and Italy faces some of the highest energy costs in the world, it’s no surprise that Beko would choose to produce in Turkey, where labor costs are a fifth of those in Italy.
Beko’s move is a logical step in maintaining its competitive edge. The real oversight lies with those who now invoke goldenpower to keep unprofitable factories running. Political leaders should have steered the sale of Whirlpool’s assets towards companies with different market strategies. Instead, they are now attempting to rectify a situation that has been deteriorating for years.
In the Fabriano area, some are calling for drastic measures, but such actions are futile. What is truly needed are rational and forward-thinking industrial policies.
Beko Europe confirmed the cuts in Italy
Turkey’s Arcelik, the parent company of Beko, plans to cut nearly 2,000 jobs in Italy, reducing its workforce in the country by almost half, according to trade unions. During a meeting hosted by Italy’s industry ministry, the company announced 1,935 redundancies out of a total of 4,440 employees.
Beko Europe confirmed the job cuts, citing financial underperformance in its Italian operations due to increased competition from Asian companies and weakened demand. The company stated that factory utilisation rates were below 40%, making them unsustainable. To address this, Beko plans to invest 110 million euros ($116 million) to restructure its operations in Italy and establish a sustainable long-term presence.
However, Italy’s industry ministry deemed the plan unacceptable and stated that the government would use all available means to try to protect jobs.
Pasell’s new plant in Manisa, Turkey,
Pasell’s new plant in Manisa, Turkey, once again shows the company’s ability to follow the customer to the places where production takes place. But that’s not all. Pasell, in fact, also supports home appliance players with its know-how, gained in fifty years of activity.
For more than two decades, Pasell has demonstrated its ability to successfully undertake internationalization paths to support customers abroad as well. The Italian company, whose core business is counterweights for washing machines, has gradually extended its presence in the main European household appliance markets, flanking its production site in Forino, in the province of Avellino, with factories in Poprad (Slovakia), Radomsko (Poland ) and Istanbul (Turkey). Just in the latter Country, Pasell is opening a new plant, in Manisa. It will replace the one located in Istanbul. The reason for this choice is explained by Francesco and Roberto Amitrano, CEO and President of Pasell, respectively. In the case of Manisa, our new factory will specifically serve customers Arçelik (Beko Europe) and Vestel, two giants in the world of household appliances.
Vestel Ranks Among Turkey’s Top Three Most Valuable Brands
Vestel, a significant home appliance manufacturer operating in Turkey, has once again demonstrated its growing market influence by securing a spot among the top three in the Brand Finance study titled ‘Turkey’s Most Valuable Brands’. According to the 2023 results, the company has achieved a brand value of $917 million.
Duygu Badem Uylukcuoglu, the General Manager of Marketing at Vestel, highlighted the company’s pride in its export success, with products reaching 163 countries worldwide. The firm is focused on enhancing user experience through innovative designs and technologies, aligning with its vision to be a global technology company. Uylukcuoglu expressed, “Our experience-focused approach, the sports sponsorships we are proud to pioneer in Turkey, and our corporate social responsibility efforts work towards a more equitable future.”
Haier open shop in Turkey
The opening of the new Haier shop-in-shop at the Mediamarkt Tech Arena concept store in Istanbul! This shop-in-shop offers a unique approach to showcase Haier’s technological leadership, sophisticated design, and premium experiences.
With plans to open a Haier flagship store in the future, Haier look forward to bringing modern design, tailor-made, and highly customizable smart home technologies in Turkey over the next year
Haier launch in Turkey
Haier, the world’s number 1 white goods brand, to consumers in Turkey. They recently opened the Haier area located in Mediamarkt Tech Arena
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