Contribution and/or dependency: Chinese hegemony on Turkey's mineral export


Başyiğit M.

RESOURCES POLICY, vol.74, 2021 (Journal Indexed in SSCI) identifier identifier

  • Publication Type: Article / Article
  • Volume: 74
  • Publication Date: 2021
  • Doi Number: 10.1016/j.resourpol.2021.102397
  • Title of Journal : RESOURCES POLICY
  • Keywords: Mineral trade, Market dependency, Market concentration, Monopsony, LATIN-AMERICA, MARKET

Abstract

The mineral trade volume between Turkey and China has grown rapidly since the beginning of the 2000s. Today, with over 30% of all Turkey's mineral exports, China has become Turkey's largest exporting partner. Considering this level of quantity, it might be risky to rely on one market. Historical market shares were determined to measure the magnitude of the dependency. Following this, market diversity analyses were conducted to understand the market structure. The results pointed out the moderate dependency of Turkish mineral export on China. A mineral-wise sub-analysis showed that the dependency is mostly one-sided and China could easily find alternative exporters or could effortlessly restructure the market share distribution. Another warning coming from China is the economic growth rate. According to the findings of this paper, China's growth rate and mineral demand are directly related. However, the growth rate is diminishing. This study aims to introduce "market dependency to China" and its adverse impacts on the mineral export market. The presented findings and recommendations of this paper add to the literature on market dependency.