Archive:Russia-EU – international trade in goods statistics
- Data extracted in September 2017. Most recent data: Further Eurostat information, Main tables and Database. Planned article update: October 2018.
This article provides a picture of the international trade in goods statistics between the European Union (EU) and Russia. It analyses the type of goods exchanged between the two economies and the shares of each EU Member State in those exchanges.
Source: Eurostat (ext_lt_introle)
_and_cover_ratio_2007-2016_(1).png)
Source: Eurostat (ext_lt_introle)
Source: Eurostat (ext_lt_maineu)
Source: Eurostat DS-018995
Source: Eurostat DS-018995
_by_SITC_group_for_EU_imports_from_Russia,_Jan_2007_-_Jul_2017.png)
Source: Eurostat (ext_st_eu28sitc)
_by_SITC_group_for_EU_exports_to_Russia,_Jan_2007_-_Jul_2017.png)
Source: Eurostat (ext_st_eu28sitc)
Source: Eurostat DS-018995
Main statistical findings
- In 2016, Russia was the 12th largest exporter of goods in the world with a share of 2.3 % of world exports and the 15th largest importer with a share of 1.4 % of world imports.
- Among EU's trading partners, Russia was the 4th largest partner for EU imports, and the 5th largest partner for EU exports in 2016.
- EU trade balance with Russia, which has been in deficit from 2007 to 2016, peaking at just above 90 billion in 2011 and 2012 but since then dropped to 46 billion in 2016.
- Manufactured goods dominate the exports of goods from the EU to Russia with a share of almost 90 % while more than three quarters of the imports from Russia to the EU are energy products.
- In 2016 among EU Member States, Germany was the largest importer from (EUR 24 billion) and exporter to (EUR 22 billion) Russia. The Netherlands had the largest trade deficit with Russia (EUR 14 billion) while the Czech Republic (EUR 665 million) and Slovenia (EUR 536 million) had the largest trade surpluses.
EU and Russia in world trade in goods
Figure 1 shows that the four largest exporters account for almost half of the world exports. The largest is China (17 %) followed by the EU (16 %), the United States (12 %) and Japan (5 %). The same four also account for almost half of the world imports but in different order. Here the USA (18 %) leads, followed by the EU (15 %), China (12 %) and Japan (5 %). Russia is the 12th largest exporter, accounting for 2.3 % of world exports and the 15th largest importer accounting for 1.4 % of world imports.
Figure 2 focuses on the evolution of trade in the EU and Russia over the period 2007-2016. Russian exports are heavily influenced by energy prices on world markets and consequently tend to fluctuate more than EU exports. Trade flows of both economies were at a low in 2009 due to the financial crisis but picked up since then. Russian exports and imports peaked in 2012 but consequently both fell. Russian imports stabilised in 2016 while export continued to fall. Consequently Russia's cover ratio fell below 160 % for the first time since 2007. It is however still much higher than the EU's cover ratio which has been a little over 100 % since 2013.
EU deficit with Russia halved since 2011
Figure 3 shows that in 2016, Russia had a share of 4.2 % in extra-EU exports (EUR 72 billion) and 6.9 % in extra-EU imports (EUR 119 billion). This meant it was the fourth largest partner for exports from the EU between Japan (3.3 %) and Turkey (4.5 %). In EU-imports Russia had a share of 6.9 % in this case ahead of both Turkey and Japan (both 3.9 %). In both cases the top three consisted of the United States, China and Switzerland.
The EU recorded a trade deficit with the Russia from 2007 to 2016 (see Figure 4). In this time span, trade between the two economies hit a low in 2009, but quickly regained, peaking in 2012 after which there was a decline until 2016 when imports from Russia even fell below the 2009 level. Because imports declined more strongly than exports the EU's trade deficit was halved to 46 billion in 2016 compared to its peak of 93 billion in 2011.
EU imports from Russia dominated by energy products
When breaking down imports and exports by SITC groups, the main categories driving the exports to Russia are 'Machinery and vehicles’ (SITC 7), 'Chemicals’ (SITC 5) and 'Other manufactured goods’ (SITC 6&8). Together these manufactured goods accounted for around 90 % of the EU exports in 2016 (see Figure 5). In contrast in imports from Russia these three product groups accounted for less than one fifth while over three quarters of imports were 'Energy' products. More detailed statistics on trade in energy products can be found in the artilce on EU imports of energy products.
Figure 6 shows the evolution of EU imports and exports by SITC group since 2007. The EU has trade surpluses in 'Machinery and vehicles’, 'Chemicals', 'Other manufactured goods' and 'Food & drink' which cannot offset the large deficit in 'Energy' and smaller deficits in 'Raw materials' and 'Other goods'.
Figure 7a shows the unit value index for EU imports from Russia by SITC group. With 'Energy' dominating the imports it is no surprise that the index for the total is almost equal to the index for 'Energy' whose large fluctuations are dictated by energy prices on world markets. In 2017 the 'Food & drink' index (126) had the largest value while 'Energy' (73) and 'Raw materials' (88) had the lowest.
On the export side, prices for the different product groups have all risen between 13 and 16 points since 2010 with the exception of 'Chemicals' which after some fluctuations returned to 100 in 2017. (see figure 7b).
Comparing the import and export indexes reveals that the imports index was higher in Food & drink, almost equal in 'Chemicals' and lower for the other product groups, especially for 'Energy' and 'Raw materials'. On a total level the export index was 111 in in 2016 which was 33 points higher than the import index. Since the index for total imports is largely dominated by the import index for Energy this reflects that prices for exported manufactured goods have risen much more than prices for petroleum oils and natural gas which makes up the bulk of imports from Russia.
Petroleum oil is the product most traded with Russia
Figure 8 gives more details about the goods exchanged between the EU and Russia, showing the top 20 traded goods at a more detailed level (by SITC level 3). Those top 20 goods covered around 74 % of imports but only 32 % of exports. Seven of the top 20 products were in the 'Machinery and vehicles' group and five in 'Other manufactured goods'. However non of these appeared in the top 5 in which there were four energy related products (almost exclusively imports) and medicaments (almost all exports).
Another interesting way to look at data is to investigate the export/import ratio of traded goods, in order to better identify the direction taken by flows and specialisation between the two areas. These ratios can be found in the right margin of Figure 9. Most of these cover ratios are either very small or very large indicating that specialisation mainly takes place on this level of product break down and not on a more detailed level.
Germany is trading most with Russia
Figure 9a shows Member States' imports from Russia and the share of the partner Russia in national extra-EU imports. Table 9b provides similar information but concerning Member States' exports to Russia.
There are four Member States whose imports from Russia in 2016 were higher than EUR 10 billion: Germany, the Netherlands, Italy and Poland. Together they accounted a little over half of all EU imports from Russia. For several countries in the East of Europe, Russia was an important origin of extra-EU imports. Bulgaria, Estonia, Latvia, Finland, Lithuania and Poland all had shares of over 20 %.
Germany stood out as the largest exporter to Russia with EUR 22 billion, equivalent to 30 % of all EU exports to Russia. The three Baltic states Lativa (38 %), Lithuania (34 %) and Estonia (25 %) had the highest share of their extra-EU exports to Russia.
Figure 9c shows that all but five Member States had a trade deficit with Russia in 2016, which was highest in the Netherlands (EUR 14 billion). The five Member States with trade surpluses were the Czech Republic (EUR 665 million), Slovenia (EUR 536 million) , Latvia (EUR 289 million), Ireland (EUR 178 million) and Luxembourg (EUR 125 million).
Data sources and availability
EU data is taken from Eurostat's COMEXT database. COMEXT is the reference database for international trade in goods. It provides access not only to both recent and historical data from the EU Member States but also to statistics of a significant number of third countries. International trade aggregated and detailed statistics disseminated via the Eurostat website are compiled from COMEXT data according to a monthly process.
Data are collected by the competent national authorities of the Member States and compiled according to a harmonised methodology established by EU regulations before transmission to Eurostat. For extra-EU trade, the statistical information is mainly provided by the traders on the basis of customs declarations.
EU data are compiled according to Community guidelines and may, therefore, differ from national data published by the Member States. Statistics on extra-EU trade are calculated as the sum of trade of each of the 28 EU Member States with countries outside the EU. In other words, the EU is considered as a single trading entity and trade flows are measured into and out of the area, but not within it.
Data for the other major traders are taken from the Comtrade database of the United Nations. Data availability differs among countries, therefore Figure 1 shows the latest common available year for all the main traders. For the calculation of shares the world trade is defined as the sum of EU trade with non-EU countries (source: Eurostat) plus the international trade of non-EU countries (source: IMF Dots database).
Methodology
According to the EU concepts and definitions, extra-EU trade statistics (trade between EU Member States and non-EU countries) do not record exchanges involving goods in transit, placed in a customs warehouse or given temporary admission (for trade fairs, temporary exhibitions, tests, etc.). This is known as 'special trade’. The partner is the country of final destination of the goods for exports and the country of origin for imports.
Product classification
Information on commodities exported and imported is presented according to the Standard international trade classification (SITC). A full description is available from Eurostat’s classification server RAMON.
Unit of measure
Trade values are expressed in millions or billions (109) of euros. They correspond to the statistical value, i.e. to the amount which would be invoiced in case of sale or purchase at the national border of the reporting country. It is called a FOB value (free on board) for exports and a CIF value (cost, insurance, freight) for imports.
Context
Trade is an important indicator of Europe’s prosperity and place in the world. The block is deeply integrated into global markets both for the products it sources and the exports it sells. The EU trade policy is an important element of the external dimension of the 'Europe 2020 strategy for smart, sustainable and inclusive growth’ and is one of the main pillars of the EU’s relations with the rest of the world.
Because the 28 EU Member States share a single market and a single external border, they also have a single trade policy. EU Member States speak and negotiate collectively, both in the World Trade Organization, where the rules of international trade are agreed and enforced, and with individual trading partners. This common policy enables them to speak with one voice in trade negotiations, maximising their impact in such negotiations. This is even more important in a globalised world in which economies tend to cluster together in regional groups.
The openness of the EU’s trade regime has meant that the EU is the biggest player on the global trading scene and remains a good region to do business with. Thanks to the ease of modern transport and communications, it is now easier to produce, buy and sell goods around the world which gives European companies of every size the potential to trade outside Europe.
See also
Further Eurostat information
Data visualisation
Main tables
- International trade in goods (t_ext_go), see:
- International trade in goods - long-term indicators (t_ext_go_lti)
- International trade in goods - short-term indicators (t_ext_go_sti)
Database
- International trade in goods (ext_go), see:
- International trade in goods - aggregated data (ext_go_agg)
- International trade in goods - long-term indicators (ext_go_lti)
- International trade in goods - short-term indicators (ext_go_sti)
- International trade in goods - detailed data (detail)
- EU trade since 1988 by SITC (DS-018995)
Dedicated section
Methodology / Metadata
- International trade in goods statistics - background
- International trade in goods (ESMS metadata file — ext_go_esms)
- User guide on European statistics on international trade in goods
Source data for tables, figures and maps (MS Excel)
External links
- European Commission