The study is focusing on the Romanian foreign trade by approaching distinctly its two components, i.e. the final goods under definitive custom regime and the intermediate goods imported under temporary custom regime, which are subject to processing (IPT-Inward Processing Trade), followed by their exports. While the IPT flows entered a slowdown trend, due to gradual diminishing of comparative advantages of Romania, the trade deficits almost doubled as compared to two years ago. The separation of the IPT component from the foreign trade data highlights the importance of the final exports, allowing also for the assessment of related implications on the BoP current account and on the long-term external position of Romania.
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Find related papers by JEL classification: F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations F15 - International Economics - - Trade - - - Economic Integration F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
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