Erdogan warns United States risks losing Turkey as strategic partner

The lira went into free-fall sinking more than 10 percent

The lira went into free-fall sinking more than 10 percent

A financial shockwave ripped through Turkey on Friday, when its currency nosedived on concerns about its economic policies and a dispute with the US, which President Donald Trump stoked further with a promise to double tariffs on the North Atlantic Treaty Organisation ally. This is called carrying out an operation against Turkey", he said.

The lira plunged to a fresh record low of 7.24 against the dollar during in Asia Pacific trade, where markets were opening for Monday morning.

In a Twitter post on August 10, the USA president also referenced the rapid decline of the North Atlantic Treaty Organisation ally's national currency against "our very strong dollar".

"If you advance upon us by the dollar, we will look for other means to carry on our business", he added.

Turkish President Tayyip Erdogan addresses businessmen in Trabzon, Turkey on August 12, 2018.

Regarding the situation of the Turkish currency, Erdogan once again called on his fellow citizens to back the lira, which depreciated 18 percent on Friday, by selling their dollars and euros.

"I am specifically addressing our manufacturers: Do not rush to the banks to buy dollars", he said. "If there are dollars under your pillow, take these out".

He added that businesses should "know that keeping this nation alive and standing isn't just our job, but also the job of industrialists, of merchants". The two North Atlantic Treaty Organisation allies have been at odds over a wide range of issues: diverging interests in Syria, Ankara's ambition to buy Russian defense systems, and more recently, the case of Andrew Brunson, an evangelical pastor on trial in Turkey.

U.S. President Donald Trump has demanded the pastor's release, the most pressing of several disagreements between Washington and Ankara.

Speaking to the press during a visit to the northern province of Ordu, the president said that the White House will no longer have an important ally in the North Atlantic Treaty Organization (NATO) if it insists on implementing measures such as the decision to double tariffs on Turkish steel and aluminum.

In June, the United States imposed tariffs of 10 percent on aluminum imports and 25 percent on steel against many key global partners, complaining of unfair trade practices.

"You dare to sacrifice 81-million Turkey for a priest who is linked to terror groups?", he stressed. "Before it is too late, Washington must give up the misguided notion that our relationship can be asymmetrical and come to terms with the fact that Turkey has alternatives". Trump has described his detention as a "total disgrace" and urged Erdogan to free him immediately.

Earlier Saturday, Erdoğan said that Turkey was preparing to increase trade with its top trade partners such as China, Russia, Iran and Ukraine in local currencies instead of the us dollar, adding that it was also ready to do the same with European countries.

Earlier this month, a Turkish delegation went to Washington and met with American counterparts, but there was no breakthrough.

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