Archive:Enlargement countries - international trade in goods statistics

Data extracted in May 2021.

Planned article update: April 2022.

Highlights

82 % of all goods exported from the candidate countries and potential candidates in 2020 originated from Turkey.

The seven candidate countries and potential candidates recorded a combined trade deficit for goods of EUR 59.6 billion in 2020.

In 2020, more than three quarters of all exports leaving North Macedonia were destined for the EU. The shares going to the EU were close to three quarters also for Albania and Bosnia and Herzegovina.

International trade in goods with the EU, 2020

This article is part of an online publication and provides information on a range of international trade statistics for the European Union (EU) candidate countries and potential candidates, in other words the enlargement countries. Montenegro, North Macedonia, Albania, Serbia and Turkey currently have candidate status, while Bosnia and Herzegovina as well as Kosovo* are potential candidates.

The article gives an overview of international trade developments for goods in the candidate countries and potential candidates, covering imports and exports, as well as the trade balance. It also presents an analysis of international trade by selected product groups (based on the Standard international trade classification (SITC)) and by selected partners, and with the EU. Other related articles cover the international trade of the Western Balkans and Turkey with the EU.

Full article

Value of exports and imports

International trade statistics track the value and quantity of goods traded between countries. They are the official source of information on imports, exports and the trade balance, the difference between imports and exports.

Long term global trends have seen trade increasing as a proportion of GDP in most countries. This has been an important element of globalisation, although far from the only one. Countries that are growing fast or are undergoing or recovering from economic difficulties may wish to run trade deficits, in which the value of imports is greater than that of exports. Countries that specialise in providing services to the rest of the world, such as tourism or business services, may also run consistent trade deficits, since services are not included in the statistics of exports and imports of goods. The balance of payments includes data on both trade in goods and in services.

Exports and imports as a percentage of GDP are often used as a measure of a country’s openness to world trade. Smaller countries tend to have higher levels of trade openness than larger ones, since there are fewer opportunities for buying and selling domestically produced goods. The relationship between trade openness and income (measured as GDP per capita) is more complicated, although low income countries generally have low trade openness.

Figures 1, 2 and 3 present the exports, imports and trade balance of the candidate countries, potential candidates and the EU as a percentage of GDP. This allows a focus on the relative importance of trade flows to the size of the economies concerned. Table 1 shows the basic data on trade of goods in million euro.

Figure 1: International exports of goods, 2010-2020
(% of GDP)
Source: Eurostat (ext_lt_intertrd), (ext_lt_intercc) and (nama_10_gdp)

In the most recent year that data is available, exports and imports of the candidate countries and potential candidates mostly increased as a percentage of GDP compared with 2010. The international trade of these countries continued to become more open over the period 2010-2020.

In detail, North Macedonia’s exports accounted for 53.7 % of GDP in 2020; in comparison, the figure was 35.7 % in 2010. Its imports were 70.5 % of GDP in 2020 and 58.2 % in 2010. Serbia’s exports were 35.2 % of GDP in 2020, up from 22.4 % in 2010. Its imports also increased, to 46.0 % of GDP in 2020 from 39.5 % in 2010. Turkey’s exports were 22.3 % of GDP in 2020, having been 14.6 % in 2010. Imports to Turkey were 29.1 % of its GDP in 2020, an increase from 23.7 % in 2010. Exports from Albania were 16.9 % of its GDP in 2020, having been 13.0 % in 2010; imports in 2020 were 37.4 % of GDP and 37.0 % in 2010.

Figure 2: International imports of goods, 2010-2020
(% of GDP)
Source: Eurostat (ext_lt_intertrd), (ext_lt_intercc) and (nama_10_gdp)

Cases where trade flows declined as a percentage of GDP included Montenegro, where exports accounted for 8.7 % of GDP in 2020 but 10.6 % in 2010; and imports 50.2 % of GDP in 2020 but 53.0 % in 2010. Bosnia and Herzegovina’s imports were 49.7 % of GDP in 2020, having been 53.7 % in 2010. However, its exports of goods as percentage of GDP have grown, accounting for 30.9 % of GDP, having been 28.0 % of GDP in 2010. In Kosovo both imports and exports as percentage of GDP decreased in 2020 compared to 2010. In 2020, exports were 7.0 % of GDP, when they had been 7.3 % in 2010. Its imports in 2020 accounted for 48.5 % of GDP, having been 53.5 % in 2010. Nevertheless, Table 1 shows that all these trade flows increased in Euro terms.

In the EU, exports to the rest of the world accounted for 14.5 % of GDP in 2020, an increase from 13.1 % in 2010. Imports from the rest of the world as a percentage of GDP were down in 2020 compared with 2010, at 12.9 % and 13.9 % respectively.

Over the period 2010-2020, none of the candidate countries and potential candidates registered a trade surplus for goods. In detail, the size of the Turkish trade deficit varied over 2010-2019 between 4.1 % of GDP in 2019 and 12.7 % in 2011. In 2020, its trade deficit stood at 6.7 % of GDP. Serbia’s smallest trade deficit in the period 2010-2020 occurred in 2016 at 6.8 % of GDP, its largest deficit in 2010 at 17.1 %. In 2020, the figure was 10.7 %. In North Macedonia, the trade deficit ranged between 16.8 % in 2018 and 25.7 % in 2012; the 2020 figure was 16.9 %. In 2012, Bosnia and Herzegovina’s trade deficit was at its largest at 28.2 % of GDP. The smallest deficit recorded during the period was 18.7 % in 2020. Between 2010 and 2020, the trade deficit of Albania ranged between 26.6 % of GDP in 2011 and 20.1 % in 2013, with the 2020 figure being 20.6 %. Montenegro’s trade deficit moved between 41.5 % of GDP in 2020 and 46.2 % in 2018. In Kosovo the trade deficit was between 40.7 % of GDP in 2015 and 47.7 % in 2011. In 2020, it was 41.5 %.

The EU ran a balance of trade surplus with the rest of the world between 2012 and 2020, while the trade balance was negative in 2010 and 2011 (-0.3 % and -0.4 % of GDP). The trade balance surplus was between 0.6 % of GDP in 2012 and 2.1 % in 2016. In 2020, the figure was 1.6 %.

Figure 3: Balance of international trade in goods, 2010-2020
(% of GDP)
Source: Eurostat (ext_lt_intertrd), (ext_lt_intercc) and (nama_10_gdp)

In 2020, exports fell from the previous year by 12.1 % in Montenegro, 10.1 % in North Macedonia, 9.7 % in Albania, 8.6 % in Turkey, 8.5 % in Bosnia and Herzegovina and 2.9 % in Serbia. In contrast, exports grew by 23.9 % in Kosovo. In the EU, the exports dropped by 9.4 %. A similar story holds for imports in 2020 compared with 2019. These fell by 19.1 % in Montenegro, 13.4 % in Bosnia and Herzegovina, 10.3 % in North Macedonia, 7.8 % in Albania, 5.7 % in Kosovo and 3.8 % in Serbia. Imports grew by 0.7 % in Turkey, with the euro value in 2020 31.0 % higher than that in 2010.

The total value of the goods exported from the EU to the rest of the world in 2020 was 34.6 % higher than its level in 2010 expressed in euro; and its imports 16.5 % higher.

Table 1: International trade in goods, 2010 to 2020
(million EUR)
Source: Eurostat (ext_lt_intertrd) and (ext_lt_intercc)

Exports of goods from Turkey accounted for 82.1 % of the total value of exports from the seven candidate countries and potential candidates in 2020, down from 85.0 % in 2010. Serbia had the second highest level of exports at 9.6 % of the total in 2020, having been at 7.0 % in 2010. The third highest share was recorded in North Macedonia at 3.4 % in 2020 and 2.5 % in 2010. It was closely followed by Bosnia and Herzegovina, with a 3.2 % share in 2020 and 3.6 % in 2010. Albania was responsible for 1.3 % of the total exports in 2020 and 1.2 % in 2010. Kosovo and Montenegro represented less than 1 % of exports in 2020, with 0.3 % and 0.2 % respectively and similar shares in 2010 (each 0.3 %). Altogether, the total value of exports from the seven candidate countries and potential candidates in 2020 was 171 billion EUR, equivalent to 8.8 % of the EU's exports to the rest of the world.

Turkey‘s shares of imports in the total of the seven candidate countries and potential candidates were 79.2 % in 2020 and 81.9 % in 2010. Serbia accounted for 9.3 % of imports in 2020 and 7.4 % in 2010; Bosnia and Herzegovina for 3.8 % in 2020 and 4.1 % in 2010. North Macedonia held 3.3 % of the imports in 2020 and 2.4 % in 2010; Albania 2.1 % of imports in 2020 and 2.0 % in 2010; Kosovo 1.4 % in 2020 and 1.3 % in 2010. Montenegro represented 0.9 % of exports in 2020 and 1.0 % in 2010. Altogether, the total value of imports to the seven candidate countries and potential candidates in 2020 was 230 billion EUR, equivalent to 13.4 % of the EU imports from the rest of the world.

Trade between the candidate countries and potential candidates and the EU

Due to its close geographic proximity and size, it is not surprising to find that the EU is a main trading partner of the candidate countries and potential candidates. Figure 4 shows the relative importance of the EU as a trading partner to the candidate countries and potential candidates in 2010 and 2020.

Exports from North Macedonia to the EU represented 77.5 % of all the goods exported by the country in 2020, while the share was 63.7 % in 2010. The goods destined for the EU in 2020 accounted for 74.7 % of all goods exported by Albania in 2020; in 2010 the share was 70.2 %. Bosnia and Herzegovina recorded a share of 72.4 % of its total exports in 2020 and 69.1 % in 2010. The goods exported from Serbia to the EU in 2020 made up 66.2 % of all its exports; the figure was 60.2 % in 2010. Goods exported to the EU accounted for 41.1 % of all the exports from Turkey in 2020 and 40.0 % in 2010. In 2020, 37.7 % of exports from Montenegro were destined to the EU, down from 55.9 % in 2010. A 34.4 % share of Kosovo’s exports were destined to the EU in 2020, compared to 45.2 % in 2010.

Figure 4: International trade in goods with the EU, 2010 and 2020
(% share of total exports/imports)
Source: Eurostat (ext_lt_intercc)

In 2020, 60.8 % of all imported goods that arrived in Bosnia and Herzegovina originated from the EU, the share having been similar in 2010 (60.3 %). Albania’s imports were sourced from the EU with shares of 57.9 % in 2020 and 65.5 % in 2010. The share of Serbia’s imports from the EU was 55.7 % in 2020 and 55.9 % in 2010. North Macedonia imported 46.3 % of their goods from the EU in 2020 and 50.0 % in 2010. Kosovo took 45.8 % of its imports from the EU in 2020, with the corresponding share for 2010 40.4 %. Montenegrin imports were 44.1 % from the EU in 2020 and 41.8 % in 2010. The smallest share of imports originating from the EU was 33.1 %, recorded in Turkey in 2020; in 2010, the share had stood at 36.5 %.

Structure of trade analysed by broad groups of goods

Figure 5 provides, for each of the candidate countries and potential candidates, a breakdown of their trade with the rest of the world in 2020 based on values in euro, analysed by broad group of goods. The main product groups shown follow the Standard international trade classification (SITC Rev.4). 'Other manufactured goods' (which cover SITC Sections 6 and 8) accounted for the highest proportion of goods both exported and imported from the candidate countries and potential candidates in 2020, with the only three exceptions being machinery and vehicles (SITC section 7) providing the largest group of exports for North Macedonia and of imports for Serbia and Turkey.

Figure 5: International trade in goods by broad groups of goods, 2020
(% share of total exports/imports)
Source: Eurostat (ext_lt_intertrd) and (ext_lt_intercc)

In Montenegro in 2020, other manufactured goods (SITC Sections 6 and 8) accounted for 27.6 % of exports; raw materials (SITC sections 2 and 4) 22.3 %; mineral fuels, lubricants and related goods (SITC section 3) 16.3 %; food, drinks and tobacco (SITC sections 0 and 1) 12.9 %; and machinery and vehicles 10.3 %. Imports mainly consisted of other manufactured goods at 31.8 % of the total; machinery and vehicles 23.1 %; food, drinks and tobacco 21.6 %; and chemicals (SITC section 5) 12.9 %.

In North Macedonia, machinery and vehicles had a 33.0 % share of total exports; other manufactured goods 27.0 %; chemicals 23.8 %; and food, drinks and tobacco 9.6 %. The structure of imports was mainly composed of other manufactured goods, 42.5 % of the total; machinery and vehicles 22.0 %; chemicals 14.3 %; and food, drinks and tobacco 9.7 %.

Albanian exports consisted of 61.7 % of other manufactured goods in 2020 and 12.1 % of food, drinks and tobacco. Imports were made up of 35.4 % of other manufactured goods; 21.7 % of machinery and vehicles; 17.0 % of food, drinks and tobacco; and 12.9 % of chemicals.

The exports of Serbia in 2020 were accounted for by 33.9 % of other manufactured goods; 27.9 % of machinery and vehicles; 19.2 % of food, drinks and tobacco; and 9.8 % of chemicals. Its imports were made up of 31.0 % of machinery and vehicles; 29.9 % of other manufactured goods; and 16.5 % of chemicals.

Turkish exports in 2020 contained 44.4 % of other manufactured goods; 29.1 % of machinery and vehicles; and 10.8 % of food, drinks and tobacco. Imports consisted of 28.8 % machinery and vehicles; 20.2 % other goods (other than SITC 1 to 8); 19.7 % other manufactured goods; and 14.4 % chemicals.

Bosnia and Herzegovina’s exports in 2020 were accounted for by a share of 50.2 % of other manufactured goods; 17.8 % of machinery and vehicles; and 10.5 % of raw materials. Imports were made up by 35.1 % other manufactured goods; 21.3 % machinery and vehicles; 16.5 % food, drinks and tobacco; 14.4 % chemicals; and 9.7 % mineral fuels, lubricants and related goods.

In Kosovo, 57.6 % of exports in 2020 were of other manufactured goods; 14.9 % food, drinks and tobacco; and 13.6 % raw materials. Other manufactured goods made up 32.1 % of imports; food, drinks and tobacco 21.8 %; machinery and vehicles 21.3 %; and chemicals 13.1 %.

EU’s exports to the rest of the world in 2020 were 39.3 % other manufactured goods; 22.4 % machinery and vehicles; 21.3 % chemicals; and 8.6 % food, drinks and tobacco. Imports consisted of 34.2 % other manufactured goods; 25.9 % machinery and vehicles; 13.6 % chemicals; and 12.9 % mineral fuels, lubricants and related goods.

Source data for tables and graphs

Enlargement countries — international trade in goods: tables and figures

Data sources

International trade statistics track the value and quantity of goods traded between countries for imports, exports and the trade balance. All statistics presented in this article as monetary values are based on current price series. Traditionally, customs records were the main source of statistical data on international trade. Following the launch of the Single Market on 1 January 1993, customs formalities between EU Member States were removed, and so a new data collection system, Intrastat, was set up for intra-EU trade. In the Intrastat system, intra-EU trade data are collected directly from trade operators, which send a monthly declaration to the relevant national statistical authorities. The data presented in this article for the EU and the candidate countries and potential candidates come from the Comext database, Eurostat’s international trade database. Trade data are reported to Eurostat by all EU countries and a significant number of non-EU countries, of which all of the candidate countries and potential candidates. EU legislation serves as a basis for compiling the intra- and extra-EU trade statistics published by Eurostat. However, European statistics, which cover the EU as a whole, and the statistics published by the individual countries, are not always directly comparable. The countries may apply a different concept at national level but they have to provide Eurostat with harmonised data according to the Community concept. The most common differences between the Community concept and the national concepts are as follows:

use of the general trade system at national level while the Community statistics are compiled according to the special trade system;
exclusion from national statistics of ‘quasi-transit’, which means of
- goods imported from a non-EU country, cleared through customs and immediately dispatched to another Member State (the Member State of final destination); or
- goods imported from another Member State (the Member State of actual export), cleared through customs and immediately dispatched to a non-EU country.

Trade values are expressed in millions or billions (1 000 millions) 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.

Eurostat collects statistical information on international trade developments with respect to the candidate countries and potential candidates; these data are used by the European Commission to prepare annual strategy documents detailing policy developments for EU candidate countries and potential candidates as well as reports on political and economic developments in candidate countries and potential candidates.

Tables in this article use the following notation:

Value in italics	data value is forecasted, provisional or estimated and is therefore likely to change;
:	not available.

Context

The EU has a common international trade policy, often referred to as the common commercial policy. In other words, the EU acts as a single entity on trade issues, including issues related to the World Trade Organisation (WTO). In these cases, the European Commission negotiates trade agreements and represents Europe’s interests on behalf of the EU Member States.

The Western Balkan countries plus Moldova are parties to the Central European Free Trade Agreement (CEFTA). CEFTA seeks to promote trade within the region by eliminating tariffs to regional trade and identifying and reducing non-tariff barriers to trade. In 2018, a protocol on trade facilitation entered into force and CEFTA parties launched negotiations on a new protocol on dispute settlement.

EU-Turkey trade relations are based on an Association Agreement from 1963 and a Customs Union agreement, which entered into force on 31 December 1995.

The economic impact of globalisation has had a considerable effect on international trade, as well as financial flows. The EU seeks to promote the development of free-trade as an instrument for stimulating economic growth and enhancing competitiveness. International trade statistics are of prime importance for both public sector (decision makers nationally, within the EU and internationally) and private users (in particular, businesses who wish to analyse export market opportunities), as they provide valuable information on developments regarding the exchange of goods between specific geographical areas.

While basic principles and institutional frameworks for producing statistics are already in place, the enlargement countries are expected to increase progressively the volume and quality of their data and to transmit these data to Eurostat in the context of the EU enlargement process. EU standards in the field of statistics require the existence of a statistical infrastructure based on principles such as professional independence, impartiality, relevance, confidentiality of individual data and easy access to official statistics; they cover methodology, classifications and standards for production.

Eurostat has the responsibility to ensure that statistical production of the enlargement countries complies with the EU acquis in the field of statistics. To do so, Eurostat supports the national statistical offices and other producers of official statistics through a range of initiatives, such as pilot surveys, training courses, traineeships, study visits, workshops and seminars, and participation in meetings within the European Statistical System (ESS). The ultimate goal is the provision of harmonised, high-quality data that conforms to European and international standards.

Additional information on statistical cooperation with the candidate countries and potential candidates is provided here.

Notes

* This designation is without prejudice to positions on status, and is in line with UNSCR 1244/1999 and the ICJ Opinion on the Kosovo Declaration of Independence.