Turkey’s Trade Ministry said on Friday that the country is pursuing a free trade agreement with Syria amid mounting criticism over the Syrian government’s recent decision to standardize tariffs, which resulted in a significant increase in duties on imports from Turkey.
Syria’s new General Authority for Land and Maritime Transport announced on January 11 a standard tariff that will apply to all land, sea and air border crossings. While tariffs on some goods were reduced by 50 to 60 percent, tariffs on imports entering through the northern border crossings, including the Bab al-Hawa crossing with Turkey, increased by up to 500 percent. This increase has alarmed traders and residents already struggling with high levels of poverty, as many fear it will exacerbate economic challenges and drive up prices.
The development led to protests in Sarmada, a major commercial center in northwestern Idlib province, as shopkeepers closed their stores to protest the drastic tariff hikes. Social media users reported price hikes on goods such as cement, iron, flour and gasoline. The duty on a metric ton of gasoline rose from $30 to $210, while the duty on flour increased tenfold from $2 to $20 per ton.
The ministry said in a written statement on X that consultations regarding customs duties with Syria had been conducted, and as part of ongoing discussions, a face-to-face meeting is planned for next week.
The statement also noted that the two countries had shared their willingness to implement “a new and more comprehensive free trade agreement” between them.
The ministry added that Turkish companies will continue to actively contribute to the reconstruction process in Syria.
The Ekonomim news website on Friday quoted Celal Kadooğlu, an exporters’ union president, as saying that the drastic increase in duties on imports from Turkey has led to queues of trucks up to six kilometers at the border gates as companies have halted trade.
“With the purchasing power already low in Syria, the tax increase will now lead to rising inflation there as well. A difficult process awaits those living in Syria,” Kadooğlu added.
Limak Holding CEO Nihat Özdemir, who has close ties to Turkish President Recep Tayyip Erdoğan, also told Ekonomim that Syria’s decision to increase customs duties truly surprised him, especially given Turkey’s seemingly good relations with the new administration in Syria.
“[The increase] means that 27 dollars will be collected in tax on the cement we export [to Syria] at 50 dollars. … Such a high level of tax being applied to Turkey is hard to understand,” Özdemir said.
The changes in the tariffs coincide with the general reopening of the Syrian economy following the fall of Bashar al-Assad’s regime. The policy aims to stabilize the treasury and strengthen local industry. However, protests and rising tensions indicate that the implementation of this policy remains controversial across the country.