Turkey least affected by US tariff: Deputy PM Şimşek

The U.S. is an important country but not an important trade partner of Turkey, Mehmet Şimşek, deputy prime minister, said on Saturday.

Speaking about the U.S.-imposed tariffs and threats, he said businesspeople in the western province of Bursa expressed their concerns to him over a possible global trade war during a meeting.

"Turkey is one of the countries least affected with regard to trade, especially automotive export, but a trade war will wreck the mood generally," he said.

Şimşek added that he hoped the U.S. tariff decision is just a negotiation tactic.

"We have the customs union with the EU, Turkey needs the EU and EU needs Turkey," he said.

"Therefore, our relations will deepen and enlarge, I believe, after the election uncertainty we will broaden the scope of the customs union."

He also said, due to Turkey's trade with the EU, if a trade war begins, its effects will be limited to Turkey.

In March, American President Donald Trump imposed a 25-percent tariff on imported iron and steel, and a 10-percent tariff on aluminum -- since then the issue has been discussed heatedly among the U.S. and its major trade partners.

After that, the EU placed a 25-percent tariff on American products and Trump threatened to impose more tariffs on all European cars.

Touching on Turkey's financial situations, Şimşek said: "We are in a period when Turkey's current deficit and inflation are removed."

He stressed that Turkey took an important step for monetary policy and the country will make structural reforms.

On Sunday, June 24, a presidential and parliamentary election will be held in Turkey.