Structural Changes in the Foreign Trade of the Republic of Moldova During the Pre-Accession Stage to the European Union

Abstract

This article explores in detail the structural changes in the foreign trade of the Republic of Moldova in the context of the pre-accession process to the European Union, with a focus on the period 2014-2023. The study focuses on three essential dimensions: the evolution of exports, imports, and the trade balance; an analysis of the geographical structure of Moldova’s trade relations; and a detailed assessment of the export and import structure by product categories. The data used for the research comes from official sources, including the National Bureau of Statistics of the Republic of Moldova, various international organizations, as well as globally recognized databases. One of the main findings of the study is the significant reorientation of Moldova’s foreign trade toward the European Union market, a trend amplified by the signing of the Deep and Comprehensive Free Trade Agreement (DCFTA). This reorientation has contributed to an increase in the volume of exports to EU countries, while also strengthening trade relations with traditional partners in Europe. However, the export structure remains relatively undiversified both geographically and in terms of product variety. Exports continue to be dominated by agricultural products and raw materials with low added value, which limits Moldova's competitiveness in international markets. Although significant progress has been made towards diversifying the products exported, these advances are moderate, and major challenges remain. The study highlights the importance of investments in technology, increasing product competitiveness through value addition, and improving trade infrastructure. These measures are essential to ensuring sustainable economic development and enhancing Moldova's presence in global markets. In conclusion, the research emphasizes that while European integration has opened up significant opportunities, deeper structural transformation is needed to foster long-term diversification and competitiveness. DOI: https://doi.org/10.53486/dri2024.02; UDC: 339.5(478): 061.1EU; JEL: F10, F15, F43