European Union and external trade of Central and Eastern European countries

Abstract

The article identifies the structural changes in external trade of CEE countries in terms of goods and geographical structure, as well as changes due to trade policy regimes in the period of 1999-2009 - time of EU entry preparation and actual EU membership. Statistical analysis of trade shows substantial growth in external trade of CEE countries, increase in technological intensity of CEE exports, decrease in the role of “old” developed EU countries in CEE trade, but the rise in the share of developing Europe in CEE exports and imports volume in 1999-2009. Regression analysis of CEE external trade in 1999-2009 reported positive influence of such trade factors as free trade zone participation and EU membership, fuel-exporter status and negative influence of General System of Preferences. In general external trade of CEE countries in 1999-2009 fits the expectations of the gravity model of trade.