Regional trade integration in Central and Eastern Europe: State of play after 15 years of EU membership

Abstract

Aim/purpose – The purpose of this paper is to analyze regional trade integration of 10 Central and Eastern Europe countries (CEE-10) during the 2004-2018 period, identify regional- and country-level integration patterns and attribute them to potential causes indicated by the literature. Design/methodology/approach – The paper employed literature-based trade integration indicators to data on CEE-10 trade in goods and conducted a review of empirical studies investigating trade integration determinants in CEE. Findings – The results evidence an advancing regional trade integration with decreasing pace in recent years. The study has found all CEE countries to be more integrated with the region. Moreover, several integration patterns have been distinguished. Research implications/limitations – The study found a significant literature gap con- cerning CEE regional trade integration and its determinants. Its limitations refer to: lack of product-groups-level trade data and narrow scope of trade flows (in goods only). Originality/value/contribution – The paper’s value-added stems from a multi-perspective analysis of the CEE regional trade integration and a discussion of region- and country- -level integration patterns. Keywords: Central and Eastern Europe, regional trade integration, trade integration, global value chains, economic integration. JEL Classification: F14, F15, F60.