An Analysis of Trade Flows between Brunei Darussalam and the European Union

Abstract

This article analyses merchandise trade flows between Brunei Darussalam and the fifteen members of the European Union (EU) over a thirty-five-year period from 1966 to 2000, to identify significant factors influencing the levels of imports and exports between Brunei and each of the fifteen members of the EU. This analysis indicated that there were considerable fluctuations in the values of exports and imports between Brunei and the EU. However, there was a persistent negative balance of trade for Brunei throughout this period. Bilateral trade flows (both imports and exports) between Brunei and the EU members were driven mainly by the populations of Brunei and the EU countries, and the historical relationship of a few EU countries with Brunei and the Borneo region.