This is a NAVAL POSTGRADUATE SCHOOL MONTEREY CA report procured by the Pentagon and made available for public release. It has been reproduced in the best form available to the Pentagon. It is not spiral-bound, but rather assembled with Velobinding in a soft, white linen cover. The Storming Media report number is A485793. The abstract provided by the Pentagon follows: The end of the cold war has created a safer environment for most nations and reduced the need for fielding huge armed forces and vast investments for defense. However, due to her very special strategic position and historical responsibilities, Turkey still faces a range of substantial threats to its national interests, physical security, economic well being. These threats require the maintenance of a broad set of military capabilities in order to deter, and if necessary, to fight and win any future conflict. This thesis investigates the Turkish Defense Industry and Turkey's efforts to transfer military technology to establish a required technological base for a self- sufficient defense industry, which can fulfill the needs of the Turkish Armed Forces and stay competitive in a rapidly changing market place. The goal of this project is to evaluate the present Turkish Defense Industry and to present strategies that should be carefully considered in developing a sound defense industry and technological base policy.