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Single Market Enlargement and Technical Barriers to Trade: Revisiting the Evidence

Author

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  • Hagemejer Jan

    (University of Warsaw, Faculty of Economic Sciences, Długa 44/50, 00-241 Warsaw, Poland ; CASE Center for Social and Economic Research, ul. Zamenhofa 5/1b, 00-165 Warsaw, Poland)

  • Matuszczak Łukasz

    (University of Warsaw, Faculty of Economic Sciences, Długa 44/50, 00-241 Warsaw, Poland)

Abstract

EU enlargements have given new EU member states access to the European Single Market. While tariff liberalisation was already completed at the time of enlargement, technical regulations were subject to different sectoral approaches, including harmonisation and mutual recognition. We employ a structural gravity model estimated using sectoral trade data from 1987 to 2020 to assess the trade effects of these measures. We find that trade expansion, particularly exports of the NMS to the incumbent EU members, has been stronger in the sectors covered either by the Old Approach (full harmonisation) or the New Approach (essential requirements) than in sectors covered by mutual recognition. The New Approach has been more effective when coupled with mutual recognition at the sector level than with either approach alone. Our results imply that the TBT harmonisation has had a heterogenous impact on different sectors (the most important for low-tech industries was the Old Approach, while for high-tech, it was the New Approach).

Suggested Citation

  • Hagemejer Jan & Matuszczak Łukasz, 2024. "Single Market Enlargement and Technical Barriers to Trade: Revisiting the Evidence," Central European Economic Journal, Sciendo, vol. 11(58), pages 79-96, January.
    • Handle: RePEc:vrs:ceuecj:v:11:y:2024:i:58:p:79-96:n:8
    DOI: 10.2478/ceej-2024-0008
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    More about this item

    Keywords

    European integration; EU enlargement; gravity model; technical barriers to trade; F13; F02; F52;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F02 - International Economics - - General - - - International Economic Order and Integration
    • F52 - International Economics - - International Relations, National Security, and International Political Economy - - - National Security; Economic Nationalism

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