CEE Special Report | Trade developments in the region
CEE Economies Special Report , 30. Jan.
In response to the election of Donald Trump as the 47th US president, and with his having repeatedly commented on his plans to increase tariffs, the Trade Policy Uncertainty index has skyrocketed. Such a high level of uncertainty does not support the business environment and reduces investment and economic activity. Luckily, most of the trade activity that the region is engaged in happens within Europe. In this report, we summarize trade developments in the region. Over the last two decades, all CEE countries have become more open and increased their trade activity as a share of GDP. The general finding of the research on trade and economic activity suggests that an exogenous increase in trade has a positive, and potentially large, impact on national income.