Impact of Sanctions on Trade Dynamics

After the invasion of Ukraine, over 45 countries, including the EU, the US, Canada, and several Asian nations, imposed trade sanctions on Russia, targeting dual-use goods, luxury items, and exports that could bolster Russia's industrial capacity. However, Turkey remained outside this sanctioning bloc, maintaining its traditional balancing role between Russia and the West, which offered it economic opportunities. This divergence led to an increase in Turkish exports to Russia, particularly in sectors where European firms had previously dominated the market. The implications of this situation highlight Turkey's strategic position and its ability to supply markets left vacant by other exporters.