Turkish Cement Shares Surge Amid Syrian Rebuilding Prospects

Shares in Turkish construction and cement sectors have surged as companies prepare to benefit from Syria's anticipated reconstruction after the fall of Bashar al-Assad. Turkey's geographical location and prior trade relations position its companies advantageously in reconstruction efforts amid significant damage assessments and refugee return considerations.

Shares in Turkish construction and cement companies saw a substantial increase on Monday, driven by expectations of profiting from the rebuilding of Syria following the overthrow of President Bashar al-Assad. Turkey plans to support Syria's reconstruction and facilitate the safe return of Syrian migrants, announced Foreign Minister Hakan Fidan.

Commenting on the prospects, Yakup Toktamıs from Trive Yatirim highlighted, "With the fall of the Assad regime, the reconstruction of Syria is moving forward." Yusuf Dogan of Info Yatırım emphasized significant opportunities await Turkish companies in the construction, cement, and steel industries, given Turkey's strategic geographical location and existing trade ties.

Despite the promising outlook, analysts noted challenges in assessing the exact reconstruction needs due to the unknowns in damage extent and political futures in Syria. The World Bank has estimated $11.4 billion in damage across Syria's major cities since the 2011 conflict onset. As a result, shares in Turkey's top cement and construction sectors notably rose, with Bursa Cimento and Oyak Cimento among those reaching their highest values since mid-2023.

(With inputs from agencies.)