ASELSAN Continues Growth with Powerful Supply Chain

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ANKARA: Turkish defence giant, ASELSAN, which closed 2019 with strong financial results, continued its growth in the first quarter of 2020 despite the negative conditions in the global conditions. According to a Turkish Public Disclosure Platform (KAP) release, Aselsan Board of Directors Chairman and CEO Prof Dr Haluk Görgün stated that “the coronavirus epidemic reveals the fragility of the production and supply chains on a global scale, and the importance of planning by predicting such crisis periods is once again understood”. Stating that “Aselsan has designed the supply system by predicting possible crisis scenarios,” Prof Görgün stated; “The point we have reached today is the result of continuing the nationalisation and localisation efforts which was set as a target by our President in the early 2000s and has been followed with a very strict discipline for many years. At this point, our local companies constitute a significant part of our Company’s over 5,000 suppliers. The share of the production of these companies in Aselsan products has also reached very high levels. “

Additionally, according to the release, Prof Görgün stated that “the cooperation between Aselsan and its suppliers was carried out under the theme of “Power Union”, and this structure was stratified as strategically cooperated companies, companies that are assigned for nationalisation efforts and other suppliers. Prof Görgün said: “The period we are in reveals once again the importance of this structure established by Aselsan in terms of sustainability of production. Aselsan has no dependency on Far East countries in its total supply. Limited material purchases from these regions can also be substituted very quickly both at home and abroad. Aselsan works with reserve inventory in critical materials due to the strategic nature of its products. We do not have an urgent need for procurement from the USA and other countries, and our production will not be affected by possible supply problems in the near future.”

Aselsan continued its growth trend in the first three months of 2020 and managed to receive more than $320 million of new orders. Prof Görgün said; “With the orders we receive, we continue to deepen our R&D accumulation in electronics and diversify our product portfolio. As we did last year, we managed to support our production power with strong financial results by maintaining our collection performance and maintaining our positive cash position this year. Aselsan, with its solid financial structure, competent human resources and production stakeholders, will continue on its way with all its faith and determination to meet the needs of our country in both defence and civil fields uninterruptedly.”