Morocco has announced plans to reassess its free trade agreement with Türkiye amid concerns over a growing trade imbalance—now approximately US $3 billion—largely driven by escalating Turkish fabric imports. The imbalance has prompted Moroccan trade minister Omar Hjira to prepare for a visit to Ankara to negotiate strategic measures aimed at narrowing the gap.
Although the original 2004 free trade agreement was updated about five years ago to include a 90 percent tariff on Turkish textile and apparel imports—designed to protect local manufacturers and preserve Moroccan jobs—the country’s apparel sector continues to rely heavily on Turkish fabrics, as local production cannot meet domestic demand.
Recent official figures reveal that Morocco’s overall trade deficit increased by 22.8 percent, reaching approximately 109 billion dirhams (US $12 billion) during the first four months of 2025. Last year, the total deficit rose to 306 billion dirhams, with Türkiye ranking as the nation’s third-largest bilateral deficit partner after the U.S. and China.
Authorities in Rabat are weighing several options, including incentives for Turkish investment in local textile manufacturing—meant to boost domestic output and balance the trade relationship—alongside possible adjustments to tariff structures. Minister Hjira’s upcoming discussions in Türkiye will focus on these proposals, though the Moroccan government has not provided an official statement on the matter.
This policy review highlights Morocco’s efforts to maintain a thriving domestic textile industry while managing its increasingly asymmetrical trade ties with Türkiye.
