Actecon Knowledge Counsel Hanna Stakheyeva talks about competition in Turkiye in 2025.
CEELM: Do you expect the competition authority to be more or less active in 2025 compared to 2024? Why?
Stakheyeva: I expect the Turkish Competition Authority to remain just as active in 2025 as it was in 2024, with no signs of slowing down. Statistics indicate a significant rise in investigations – nearly double compared to 2020 – particularly in dawn raids, which have surged by 65%. This trend is likely to continue, especially as Turkiye closely monitors and aligns with EU competition policy developments. The emphasis on digital market regulation and the introduction of the new Leniency Regulation, and Guidelines on Competition Infringements in Labor Markets are expected to drive further investigations and cases. Additionally, the relatively new technology undertaking exception will continue to sustain high merger control activity, particularly in the technology-driven sectors. These factors reinforce my view that the TCA will remain highly active.
CEELM: What legislative developments will have a significant impact on competition in Turkiye in 2025?
Stakheyeva: One to watch for is the Regulation on Fines, which has changed how the competition authority assesses fines. Previously, there were fixed percentages. Now, fines will depend on the authority’s discretion and will vary case by case. Together with the new Leniency Regulation, which may influence incentives for businesses to self-report violations, we may see a shift in enforcement dynamics. The technology undertaking exception to merger control thresholds (introduced in 2022) is another piece of legislation that impacts competition enforcement in Turkiye. It aims to ensure that M&A in the technology sector is properly scrutinized and was designed primarily to address the growing concern over “killer acquisitions.” It exempts certain transactions from the Turkiye-related turnover thresholds once the target is classified as a technology undertaking. Since the criteria for determining what qualifies as a “technology undertaking” are not always clear, many companies are still unsure about which transactions need to be notified. Additionally, new long-awaited Guidelines on Competition Infringements in Labor Markets are anticipated to impact enforcement activities. They clarify how competition law applies to labor market practices, particularly concerning wage-fixing, no-poaching agreements, and the exchange of sensitive employee information. Lastly, the draft DMA-like amendments to the Turkish Competition Law, once adopted, will directly impact big platforms and undertakings with significant market power by imposing ex-ante obligations on them, mirroring to a large extent EU rules.
CEELM: What trends do you expect to impact competition practices across Turkiye the most in 2025?
Stakheyeva: Sustainability is gaining regulatory attention, though no specific rules exist yet for assessing sustainability agreements. The TCA evaluates such agreements under the general principles of the Turkish Competition Law, balancing their competitive effects against environmental benefits. For example, in a recent case involving detergents, environmental benefits justified what initially seemed like restrictive practices. As part of the TCA’s Strategic Plan 2024-2028, green transformation is among the key areas of focus, encouraging eco-friendly collaborations among competitors. It also considers permitting non-compete clauses over five years for resellers if manufacturers commit to significant environmental investments and redefining automotive markets to reflect electric vehicle advancements and green policies. Another trend is the growing focus on data-related competition issues. Cases involving data portability and algorithmic pricing are on the rise, and the authority has already emphasized that misuse of data can be considered an abuse of dominance. Additionally, regulatory collaboration is intensifying, with the TCA and Public Procurement Authority partnering on integrating AI tools to detect anti-competitive behavior and enhance data analysis, which helps enforcement.
CEELM: What would you identify as the main competition challenges faced by companies in Turkiye in 2025?
Stakheyeva: One major challenge is the uncertainty around merger control, particularly with the technology undertaking exception to the merger control thresholds. As mentioned, companies often struggle to determine whether they need to notify the TCA due to uncertainty about what a technology undertaking is. Another big challenge for companies is navigating competition compliance in rapidly evolving digital markets. Digital platforms face heightened scrutiny, particularly regarding self-preferencing, algorithmic pricing, and data use. The lack of clear rules creates legal and operational uncertainties. Additionally, the interplay between competition and intellectual property laws in search-based advertising is a complex and debated issue. A key challenge for businesses in Turkiye is balancing the protection of trademark rights with compliance with competition law. While brand owners may seek to prevent competitors from bidding on their branded keywords, overly broad restrictions can limit consumer choice and distort competition. Negative keyword matching further complicates this by potentially reducing the visibility of rival brands and narrowing market options. Finally, expanding competition law into non-traditional areas, such as labor markets and sustainability, imposes additional compliance responsibilities for businesses. While some challenges may be addressed in future TCA guidelines, no concrete steps have been announced for 2025. Some issues may be resolved once the draft DMA amendments to the Turkish Competition Law take effect, but the timeline remains uncertain. Given this, businesses should focus on proactive compliance to navigate such regulatory uncertainties and mitigate enforcement risks.
This article was originally published in Issue 12.1 of the CEE Legal Matters Magazine. If you would like to receive a hard copy of the magazine, you can subscribe here.
