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Home » News » Morocco to Review Free Trade Agreement with Turkiye as Trade Deficit Soars

Morocco to Review Free Trade Agreement with Turkiye as Trade Deficit Soars

The FTA between Rabat and Ankara, originally signed in 2004, was amended in 2020 to introduce a 90% tariff on Turkish textile and clothing imports to safeguard Morocco’s domestic industry and jobs.

Adil FaouzibyAdil Faouzi
Jun, 19, 2025
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Morocco is set to re-evaluate its free trade agreement (FTA) with Turkiye as it grapples with a ballooning trade deficit, largely driven by Turkish fabric imports.

Morocco is set to re-evaluate its free trade agreement (FTA) with Turkiye as it grapples with a ballooning trade deficit, largely driven by Turkish fabric imports.

Marrakech – Morocco is planning to review its free trade agreement (FTA) with Turkiye and push for more Turkish investment to offset an expanding trade deficit driven largely by Turkish fabric imports, Reuters reported, citing two sources who attended a meeting with Omar Hjira, the Moroccan minister delegate in charge of trade.

According to Reuters, among other news outlets, Hjira is set to visit Turkiye—Morocco’s sixth-biggest trading partner—in the near future to discuss measures aimed at mitigating the MAD 30 billion ($3 billion) deficit.

The sources, who asked to remain anonymous due to the sensitivity of the matter, revealed that the Moroccan government is keen on addressing the growing trade imbalance.

The Morocco-Turkiye FTA, initially signed in 2004 and entered into force in 2006, underwent amendments five years ago, including the introduction of a 90% tariff on Turkish textile and clothing imports to protect Moroccan manufacturers and jobs.

Despite these measures, Moroccan companies continue to import large volumes of Turkish fabric to meet the needs of the country’s apparel sector, which caters to both the local market and exports.

Morocco’s overall trade deficit widened by 22.8% to MAD 109 billion ($10.9 billion) in the first four months of 2025, according to official data. In 2024, the deficit expanded by 7% to MAD 306 billion ($30.6 billion), with Morocco’s deficit with Turkiye being the third-largest after the US and China.

The upcoming discussions between Rabat and Ankara officials are expected to focus on three main areas. First, Morocco will seek better access for its products to the Turkish market, particularly in the fishing and agro-industry sectors.

Second, the country will encourage Turkish companies operating in Morocco to increase their local sourcing, echoing a 2022 partnership with BIM Maroc, a Turkish retail chain, to increase the share of locally sourced agri-food products to 80% by 2025.

Third, both sides will discuss revising the list of materials excluded from the FTA, with potential adjustments to products already targeted by trade defense measures, such as Turkish electric ovens, which are subject to a five-year definitive anti-dumping duty.

These measures come as part of Morocco’s broader strategy to review its free trade agreements. Prior to Turkiye, Egypt was the focus of bilateral discussions, with the Moroccan Ministry of Industry and Trade announcing a “Fast Track” mechanism to facilitate the entry of Moroccan exports, especially in the automotive sector.

The country seeks to draw lessons from a free trade model that, without proper balance and support, can undermine its industrial sectors.

Tags: Free Trade AgreementMorocco and TurkeyTrade deficit
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