The Turkish textile and apparel sector is facing significant turmoil, with continuous reports of bankruptcies and concordat agreements. Despite a rich textile heritage that predates the industrial revolution, Türkiye is currently witnessing a decline in both employment and production.
Data from the Social Security Institution (SSI) shows that in December 2024, there were 19,461 businesses involved in textile product manufacturing (14 public and 19,447 private) and 39,640 in clothing manufacturing (82 public and 39,558 private). By March 2025, these numbers had decreased to 19,217 textile companies (13 public and 19,204 private) and 37,737 clothing manufacturers (82 public and 37,655 private).
Between December 2024 and March 2025, a total of 2,147 companies closed their doors, comprising 244 textile firms and 1,903 apparel companies.
“Currently, there are approximately 3,000 factories for sale and an equal number available for rent in Türkiye,” indicating a troubling trend. The news of bankruptcy and concordat from the textile and apparel sectors keeps rolling in. Notable companies declaring concordat in 2025 include Uğur Balkuv Triko, a Turkish textile giant producing for major global brands such as Hugo Boss, Mango, and Zara, and Settriko, based in Istanbul, which caters to both domestic and international markets with brands like Boyner and DeFacto.
Bankruptcies have also affected significant manufacturers like Fabrilla Tekstil, one of Kırklareli’s largest textile companies, and Bozdamlar Tekstil, a well-known firm in Konya.
Recently, Baltalı Group, established in Denizli in 1991, announced the closure of its production facilities in Afyon Hocalar and Çal Districts due to a contraction in the textile sector. In remarks made to İbrahim Alayont from DRT TV, Baltalı Group Chairperson Derya Baltalı stated, “We have been overwhelmed by inflation, reduced demand, and exchange rate fluctuations. If orders increase, we will reopen our closed facilities, and those will be the first places we revive. Many textile and apparel manufacturers are struggling in the current market.”
Baltalı noted that about 3,000 factories are currently for sale or rent in Türkiye, with expectations that this number will rise further.
While employment in the textile and apparel sectors was above 1 million from 2020 to 2023, it has since declined to 959,395 by the end of 2024.
In March 2025, employment numbers fell by 10,690 in apparel, bringing the total to 549,561, and dropped by 17,373 in textiles, totaling 923,935.
Compared to the previous year, the industry has recorded a total employment loss of 79,584, with 60,187 jobs lost in apparel and 19,397 in textiles. Industry officials emphasize that while the average cost of an employee to employers is currently between $1,100 to $1,200, it should be reduced to around $700 to $800.
Additionally, a report by the Clean Clothes Campaign highlights that long working hours and inadequate salaries are prevalent issues faced by workers. Poor working conditions and mistreatment are also cited as factors driving young individuals away from pursuing careers in this sector.
