Kocaer Çelik, which makes 75% of its sales abroad, reaches 140 countries in 6 continents through its distribution channels and foreign representative offices. The Company has subsidiaries Kocaer Steel UK and Kocaer Steel Ireland, which operate as distribution channels in the iron and steel sector in the United Kingdom; Yağız Nakliyat, which operates in the logistics sector; Kocaer Enerji, which was established to operate in the field of renewable energy; and KCR Dış Ticaret, which was established to develop its overseas operations and accelerate globalization efforts.
The company, one of Türkiye's leading steel producers, announced plans to invest USD 750 million in green energy and green steel by 2030 as part of its sustainable growth strategy. Mr. Hakan Kocaer, Chairman of the Board of Directors of Kocaer Çelik, stated that these investments will make significant contributions to both the transformation of the industry in Türkiye and its competitiveness in the global market.
Strategic Investment in Green Steel and Value Added Production
Despite the contraction in the global steel industry, Kocaer Çelik continues to make a difference with its value added and boutique production approach. Reaching approximately 140 countries in line with its export-oriented strategies, the company aims to provide added value above the sector average by offering specially processed and galvanized products for projects with its steel service center.
Hakan Kocaer, Chairman of the Board of Kocaer Çelik, shared information about the investments planned by the company as part of its 2030 vision. Accordingly, he stated that the company plans to establish hybrid geothermal power plants equivalent to 900 MW of solar energy, green steel mill with a capacity of 1 million tons/year and the fourth steel section plant with a capacity of 500 thousand tons/year.
Currently operating in an integrated structure with three steel section plants, a galvanizing plant and a steel service center, Kocaer Çelik aims to increase the domestic production of import-dependent products with limited supply in the country and to achieve full integration in the field of qualified steel by 2030. Hakan Kocaer stated that the company plans to realize a total growth of USD 750 million with new investments in Türkiye and abroad.
Kocaer Çelik, which aims to advance towards carbon neutrality targets with geothermal and solar power plants within the scope of energy investments, plans to expand its product portfolio with investments in a steel mill with advanced technology suitable for green steel production and a new steel section plant. Hakan Kocaer stated that these investments will enable the factory to offer higher value-added products and increase its competitiveness in the global market. He also stated that with the green steel mill investment, they aim to reduce raw material costs by 10-12% and ensure environmental sustainability, low energy consumption and resource efficiency.
With the new steel mill investment, the company plans to produce billets and blooms in different sections and qualities, and to produce high value-added and high profit margin products in the new steel section plant to be established with the high quality raw materials provided by its own steel mill. It also aims to increase the number of service centers in Türkiye and abroad, where products are customized for the end user with additional processes such as cutting, drilling and bending. After these investments, the share of value-added products in the total portfolio is expected to increase to 70% and Kocaer Çelik will become one of the world's leading solution partners in the field of steel sections.
"We Have More Ambitious Targets in Renewable Energy"
Hakan Kocaer gave information about the company's energy investments and stated that they consider their investment in geothermal energy, which has the highest comparative advantage in terms of base load among Türkiye's renewable energy resources, among their strategic growth targets.
Emphasizing that Türkiye is the leader in Europe and ranks fourth in the world in terms of geothermal energy potential, Kocaer stated that the first phase of the geothermal power plant investment, which is carried out in the license area in Aydın Kuyucak, is underway for the 24 MW installed power investment and that the process will start with the commissioning of the capacity and will be gradually increased.
Stating that the power plant, which is planned to be operational in mid-2026, will have the most advanced environmental technologies and standards, Kocaer made the following assessment:
Work is underway for the investment, the first phase of which has an installed capacity of 24 MW, and it was stated that the process will start with the commissioning of the capacity and will be gradually increased.
Stating that they aim to be carbon neutral in Scope 2 emissions by 2030 and Scope 1 and 3 emissions by 2050 as part of their energy investments, Kocaer emphasized the importance of utilizing Türkiye's geothermal energy potential much more effectively. Stating that Türkiye is in an important position with its current geothermal electricity generation of 1691 MW, but the potential discovered by MTA is 62 thousand MW, Mr. Kocaer stated that this capacity can be utilized more efficiently with integrated usage areas such as geothermal greenhouse, residential heating and thermal tourism.
He continued, "Today, there are 155 thousand houses heated with geothermal energy in Türkiye and it is possible to increase this number to 5 million. The current electricity generation capacity of 1691 MW can reach 5 thousand MW in a few years, and the geothermal greenhouse area of 6 thousand acres can be increased to 100 thousand acres. Every kilowatt hour of electricity produced from geothermal energy means foreign currency savings for our country. Renewable energy investments are one of the most critical ways to reduce foreign dependency."
Aiming to Expand its Global Distribution Network
Continuing to strengthen its presence in overseas markets, Kocaer Çelik is preparing to make new investment moves in the MENA Region, America and Europe by adding 5 new centers to its global distribution and service network. The company continues its feasibility studies in order to carry Kocaer Steel UK and Kocaer Steel Ireland models to different geographies and increase its customer-oriented service capacity by diversifying its distribution channels.
“As Kocaer Çelik, we aim to expand our distribution network in line with our global growth strategy,” stated Hakan Kocaer, adding that the company plans to establish 5 new distribution and service centers within the framework of its 2030 vision. Kocaer Çelik, which exports to approximately 140 countries, plans not only to expand its existing export markets, but also to take a more active position in certain markets through warehouses and service centers.
Emphasizing that they aim to establish local iron and steel distribution centers by exporting not only their own production but also different products with these strategic investments, Kocaer stated that they will create a structure that offers closer and more flexible solutions to customers in order to increase their competitiveness in the global market.
Strength in Türkiye's Domestic Market Continues to Grow
Kocaer Çelik has assumed an important role in Türkiye's domestic trade market and expanded its product range to meet the increasing demands in the construction, energy and industrial sectors. Thanks to its strong distribution network and logistics infrastructure, it makes a difference in the sector by providing fast and reliable service to customers.
Hakan Kocaer, Chairman of the Board, stated that the flexible production capacity has been increased and customer-oriented solutions have been developed in order to adapt to the rapidly changing dynamics of domestic trade and continued: "We provide a strong competitive advantage in the domestic market with our quality production approach and reliable delivery times. In this way, Kocaer Çelik continues its sustainable growth and maintains its leadership in the sector."
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