Please Sign in to view recently saved searches.
Home
Media
Trade Information
Morocco Considers Revising Free Trade Agreement with Turkey to Address Trade Imbalance
25 Jun 2025
Morocco Considers Revising Free Trade Agreement with Turkey to Address Trade Imbalance
Keywords
Morocco is evaluating potential revisions to its free trade agreement (FTA) with Turkey in an effort to reduce its growing trade deficit, according to reports by Hespress and Reuters. Omar Hilale, Morocco's Secretary of State for Foreign Trade, is scheduled to visit Ankara in the coming weeks to discuss solutions for the $3 billion trade gap between the two nations.
Background: Morocco-Turkey FTA
The Morocco-Turkey FTA, signed in 2004 and enacted in 2006, was previously amended in 2020 to impose a 90% tariff on Turkish textiles and apparel-a measure designed to protect Morocco's domestic textile industry and local employment. Despite these tariffs, Moroccan manufacturers continue to import significant quantities of Turkish fabrics.
Trade Deficit Concerns
- Morocco's overall trade deficit surged by 22.8% year-on-year in the first four months of 2025, reaching $12 billion.
- Turkey is now Morocco's third-largest trade deficit partner, trailing only China and the United States.
Key Negotiation Points
1. Preferential Market Access: Morocco seeks improved terms for its agricultural and fisheries exports to Turkey.
2. Local Sourcing Requirements: Moroccan officials will push for Turkish firms operating in Morocco to increase procurement of local materials.
3. Product List Revisions: Updates to the FTA's exclusion list, particularly for goods already subject to trade protections (e.g., Turkish electric ovens, which recently faced a five-year Moroccan anti-dumping duty).
Broader Trade Policy Shift
The potential Turkey FTA revision aligns with Morocco's broader review of its trade agreements. Earlier this year, Morocco's Ministry of Industry and Trade established a "fast-track" mechanism with Egypt to boost exports, notably in the automotive sector.
Expert Insight:
"Morocco is rebalancing its trade relationships to protect key industries while securing export opportunities. The Turkey FTA talks will test this strategy."
-Trade Policy Analyst, Rabat
Next Steps
- Formal negotiations are expected to begin following Hilale's Ankara meetings.
- Outcomes could set a precedent for Morocco's approach to other bilateral FTAs.
Why It Matters:
- Economic Sovereignty: Morocco aims to reduce dependency on imports while expanding export markets.
- Sectoral Protection: Textiles and agriculture remain politically sensitive industries.
- Regional Dynamics: The talks follow Morocco's efforts to deepen trade ties with African and Arab partners.
Disclaimer: Blooming reserves the right of final explanation and
revision for all the information.