Turkish lira hits record low after U.S. says reviewing duty-free access

On Monday, Turkey's lira fell 2 percent to a record low of 5.1920 against the dollar
Reuters
Monday, 06 August 2018 16:13

The Turkish lira tumbled to a record low against the dollar on Monday, after the Trump administration said it was reviewing Turkey's duty-free access to the U.S. market, a move that could affect some $1.66 billion of Turkish exports.

The U.S. Trade Representative's review, announced on Friday, came after Ankara imposed retaliatory tariffs on U.S. goods in response to American tariffs on steel and aluminium.

Relations between the NATO allies have steadily worsened, strained by differences on Syria policy and an escalating row over the trial in Turkey of an American Christian pastor, exacerbating the sell-off in the lira.

The currency has lost 27 percent of its value this year. On Monday, it fell 2 percent to a record low of 5.1920 against the dollar. 

The U.S. Trade Representative's office said the review could affect $1.66 billion worth of Turkish imports into the United States that benefited from the Generalised System of Preferences programme last year, including motor vehicles and parts, jewellery, precious metals and stone products.