Foreign trade significantly contributes to economic growth, development, and job creation in any given country. It enables nations to exceed the limits of their domestic markets and gain access to the global marketplace. As such, enterprises in a given country can reach more customers and offer them more products and services. Moreover, foreign trade promotes stronger commercial and cultural relations among countries.
Certain factors, in turn, impact trade between different countries. Social and political developments, epidemics and pandemics, economic crises, other financial developments, and armed conflicts immediately come to mind. As a matter of fact, similar developments have taken a toll on the foreign trade and economic performance of countries around the world in recent years. Particularly, the Russia-Ukraine war impacted almost all nations and regions, starting with Asia and Europe.1
The impact of the Russia-Ukraine war has varied across the world. As a country sharing maritime borders with both nations, Türkiye views Russia as an important economic partner. Whereas the country sells agricultural produce, textiles, and construction materials to Russia, its main imports include energy products, such as natural gas and crude oil, as well as steel and machinery. The total trade volume between Türkiye and Russia increased steadily over the years to reach $28.9 billion by the end of 2021. Moreover, the two countries launched several joint projects designed to meet their growing energy needs. For example, the Akkuyu Nuclear Power Plant, which remains under construction, shall meet approximately 10 percent of Türkiye’s electricity deman