Figure 1.
Variables used in the empirical analysis
| Variable | Description |
|---|---|
| Trade value | The dependent variable. The value of bilateral trade in goods. The value is expressed in thousands of USD. |
| RTA | The vector of discrete variables takes the value of 1 when both trade partners are in the same RTA and 0 otherwise (e.g. RTA among CEE countries; RTA between CEE and EU; other RTA combinations). |
| NA-EU | Discrete variables take the value of 1 when a New Approach in sector k occurs in trade between country j and country i in time t. Both partner countries should be EU member states. Otherwise, the variable takes the value of 0. |
| MR-EU | Discrete variables take a value of 1 when there is a Mutual Recognition in sector k occurring in trade between country j and country i in time t. Both partner countries should be EU member states. Otherwise, the variable takes the value of 0. |
| HR-EU | Discrete variables take a value of 1 when there are Harmonization Regulations in sector k occurring in trade between country j and country i in time t. Both partner countries should be EU member states. Otherwise, the variable takes the value of 0. |
| None-EU | Discrete variables take the value of 1 when no TBT is imposed in sector k in trade between country j and country i in time t. Both partner countries should be EU member states. Otherwise, the variable takes the value of 0. |
| NA-EU15-NMS | Discrete variables take a value of 1 when there is a New Approach in sector k occurring in trade between country j and country i in time t. The good originated from EU15, and the trading partner is a new EU member state. Otherwise, the variable takes the value of 0. |
| NA-NMS-EU15 | Discrete variables take the value of 1 when a New Approach in sector k occurs in trade between country j and country i in time t. The good originates from a New member state, and the trading partner is an EU15 member state. Otherwise, the variable takes the value of 0. |
| NA-NMS-NMS | Discrete variables take the value of 1 when a New Approach in sector k occurs in trade between country j and country i in time t. Otherwise, the variable is taking the value of 0. |
| MR-EU15-NMS | Discrete variables take a value of 1 when there is a Mutual Recognition in sector k occurring in trade between country j and country i in time t. The good originated from EU15, and the trading partner is a new EU member state. Otherwise, the variable takes the value of 0. |
| MR-NMS-EU15 | Discrete variables take a value of 1 when there is a Mutual Recognition in sector k occurring in trade between country j and country i in time t. The good originates from a New member state, and the trading partner is an EU15 member state. Otherwise, the variable takes the value of 0. |
| MR-NMS-NMS | Discrete variables take a value of 1 when there is a Mutual Recognition in sector k occurring in trade between country j and country i in time t. Both trade partners are New EU member states. Otherwise, the variable takes the value of 0. |
| HR-EU15-NMS | Discrete variables take a value of 1 when there are Harmonization Regulations in sector k occurring in trade between country j and country i in time t. The good originated from EU15, and the trading partner is a new EU member state. Otherwise, the variable takes the value of 0. |
| HR-NMS-EU15 | Discrete variables take a value of 1 when there are Harmonization Regulations in sector k occurring in trade between country j and country i in time t. The good originates from a New member state, and the trading partner is an EU15 member state. Otherwise, the variable takes the value of 0. |
| HR-NMS-NMS | Discrete variables take a value of 1 when there are Harmonization Regulations in sector k occurring in trade between country j and country i in time t. Both trade partners are New EU member states. Otherwise, the variable takes the value of 0. |
TBT observations distribution
| TBT | Freq. | Percent | Cum. |
|---|---|---|---|
| HR | 2,417,594 | 19.11 | 19.11 |
| HR+MRA | 187,271 | 1.48 | 20.59 |
| HR+MRP | 237,622 | 1.88 | 22.47 |
| MRA | 571,503 | 4.52 | 26.99 |
| MRP | 2,187,488 | 17.29 | 44.28 |
| NA | 3,149,899 | 24.90 | 69.18 |
| NA+MRA | 687,612 | 5.43 | 74.61 |
| NA+MRP | 140,800 | 1.11 | 75.72 |
| None | 3,072,386 | 24.28 | 100.00 |
| Total | 12,652,175 | 100.00 |
The list of TBT and industry
| Industry | NACE | Technology | TBT | Industry | NACE | Technology | TBT |
|---|---|---|---|---|---|---|---|
| Mining and agglomeration of lignite | 102 | Low-technology | HR | Ceramic goods | 262 | High-technology | None |
| Extraction of crude petroleum and natural gas | 111 | Low-technology | MRP | Bricks, tiles and construction products | 264 | High-technology | NA |
| Service activities incidental to oil and gas extraction, excluding surveying | 112 | Low-technology | MRP | Cement, lime and plaster | 265 | High-technology | NA |
| Mining of uranium and thorium ores | 120 | Low-technology | HR | Articles of concret, plaster and cement | 266 | High-technology | NA |
| Mining of iron metals | 131 | Low-technology | None | Cutting, shaping, finishing of stone | 267 | High-technology | None |
| Mining of non-ferrous metal ores, exept uranium and thorium ores | 132 | Low-technology | None | Other non-metallic mineral products | 268 | High-technology | HR |
| Quarrying of stone | 141 | Low-technology | MRP | Basic iron and steel, ferro-alloys (ECSC) | 271 | Medium-high-technology | NA+MRP |
| Mining of chemical and fertilizer minerals | 143 | Low-technology | None | Tubes | 272 | Medium-high-technology | None |
| Production of salt | 144 | Low-technology | None | Other first processing of iron and steel | 273 | Medium-high-technology | None |
| Meat products | 151 | Low-technology | HR | Basic precious and non-ferrous metals | 274 | Medium-high-technology | NA |
| Fish and fish products | 152 | Low-technology | HR | Structural metal products | 281 | Medium-high-technology | NA |
| Fruits and vegetables | 153 | Low-technology | HR | Tanks, reservoirs, central heating radiators and boilers | 282 | Medium-high-technology | NA |
| Vegetable and animal oils and fats | 154 | Low-technology | HR+MRP | Forging, pressing, stamping and roll forming of metal; powder 289x metallurgy | 284 | Medium-high-technology | None |
| Dairy products; ice cream | 155 | Low-technology | HR | Treatment and coating of metals; general mechanical engineering | 285 | Medium-high-technology | None |
| Grain mill products and starches | 156 | Low-technology | HR | Cutlery, tools and general hardware | 286 | Medium-high-technology | NA |
| Prepared animal feeds | 157 | Low-technology | HR | Machinery for production, use of mech. power | 291 | Medium-high-technology | NA |
| Other food products | 158 | Low-technology | HR | Other general purpose machinery | 292 | Medium-high-technology | NA |
| Beverages | 159 | Low-technology | MRP | Agricultural and forestry machinery | 293 | Medium-high-technology | NA |
| Tobacco products | 160 | Low-technology | HR | Machine-tools | 294 | Medium-high-technology | NA |
| Textile fibres | 171 | Low-technology | None | Other special purpose machinery | 295 | Medium-high-technology | NA |
| Textile weaving | 172 | Low-technology | None | Domestic appliances n. e. c. | 297 | Medium-high-technology | NA+MRA |
| Finishing of textiles | 173 | Low-technology | MRP | Office machinery and computers | 300 | Medium-high-technology | MRA |
| Made-up textile articles | 174 | Low-technology | MRP | Electric motors, generators and transformers | 311 | Low-technology | NA |
| Other textiles | 175 | Low-technology | NA+MRA | Electricity distribution and control apparatus | 312 | Low-technology | MRP |
| Knitted and crocheted fabrics | 176 | Low-technology | MRP | Isolated wire and cable | 313 | Low-technology | MRA |
| Knitted and crocheted articles | 177 | Low-technology | MRP | Lighting equipment and electric lamps | 315 | Low-technology | NA+MRA |
| Other wearing apparel and accessories | 182 | Medium-low-technology | None | Electronic valves and tubes, other electronic comp. | 321 | Low-technology | NA+MRA |
| Dressing and dyeing of fur; articles of fur | 183 | Low-technology | MRP | TV, radio and recording apparatus | 323 | Low-technology | HR+MRA |
| Tanning and dressing of leather | 191 | Medium-low-technology | None | Medical equipment | 331 | Medium-low-technology | NA |
| Footwear | 193 | Medium-low-technology | None | Instruments for measuring, checking, testing, navigating | 332 | Medium-low-technology | None |
| Sawmilling, planing and impregnation of wood | 201 | Medium-high-technology | None | Optical instruments and photographic equipment | 334 | Medium-low-technology | None |
| Panels and boards of wood | 202 | Medium-high-technology | NA | Watches and clocks | 335 | Medium-low-technology | None |
| Builders’ carpentry and joinery | 203 | Medium-high-technology | NA | Motor vehicles | 341 | Medium-low-technology | HR |
| Wooden containers | 204 | Medium-high-technology | None | Bodies for motor vehicles, trailers | 342 | Medium-low-technology | None |
| Other products of wood; articles of cork, etc. | 205 | Medium-high-technology | None | Parts and accessories for motor vehicles | 343 | Medium-low-technology | HR |
| Pulp, paper and paperboard | 211 | High-technology | HR | Ships and boats | 351 | Low-technology | MRP |
| Articles of paper and paperboard | 212 | High-technology | HR | Railway locomotives and rolling stock | 352 | Low-technology | MRP |
| Publishing | 221 | High-technology | HR | Aircraft and spacecraft | 353 | Low-technology | MRP |
| Printing | 222 | Medium-low-technology | None | Motorcycles and bicycles | 354 | Low-technology | MRP |
| Coke oven products | 231 | Medium-low-technology | MRP | Furniture | 361 | Low-technology | MRP |
| Refined petroleum and nuclear fuel | 232 | Medium-low-technology | HR | Jewellery and related articles | 362 | Low-technology | NA |
| Nuclear fuel | 233 | Medium-low-technology | HR | Musical instruments | 363 | Low-technology | None |
| Basic chemicals | 241 | Medium-low-technology | MRP | Sports goods | 364 | Low-technology | NA |
| Pesticides, other agro-chemical products | 242 | Medium-low-technology | HR+MRP | Games and toys | 365 | Low-technology | NA |
| Paints, coatings, printing ink | 243 | Medium-low-technology | MRP | Miscellaneous manufacturing n. e. c. | 366 | Low-technology | None |
| Pharmaceuticals | 244 | Medium-low-technology | MRA | Production and distribution of electricity | 401 | Low-technology | None |
| Detergents, cleaning and polishing, perfumes | 245 | Medium-low-technology | HR | Manuacture of gas; distribution of gaseous fuels through mains | 402 | Low-technology | None |
| Other chemical products | 246 | Medium-low-technology | MRP | Steam and hot water supply | 403 | Low-technology | None |
| Rubber products | 251 | Medium-low-technology | None | Collection, purification and distribution of water | 410 | Low-technology | HR |
| Plastic products | 252 | Medium-low-technology | NA | Motion picture and video activities | 921 | Low-technology | None |
| Glass and glass products | 261 | High-technology | NA |
Estimates of trade liberalisation in TBT among EU Member States
| VARIABLES | All sectors | All sectors | High-tech | Medium-hightech | Medium-low tech | Low tech | All sectors |
|---|---|---|---|---|---|---|---|
| (1) | (2) | (3) | (4) | (5) | (6) | (7) | |
| RTA | 0.0188*** | 0.0189*** | −.012465 | .0329128*** | .0017943 | .0252775*** | 0.0188*** |
| (0.00472) | (0.00472) | .0083309 | .0107669 | .0056227 | .0084095 | (0.00472) | |
| RTA CEE | −0.0223 | 0.0783*** | .0649999* | .1408041*** | .0972213*** | −.0167929 | −0.0379* |
| (0.0146) | (0.0199) | .0342033 | .0292653 | .0358558 | .0409532 | (0.0195) | |
| RTA CEE UE | −0.0735*** | −0.0409*** | −.1129603*** | .0039924 | −.117901*** | .0503106*** | −0.0386*** |
| (0.00830) | (0.0100) | .0149379 | .0157854 | .0179346 | .0187081 | (0.00960) | |
| NA_EU | 0.0136*** | ||||||
| (0.00460) | |||||||
| MR_EU | −0.00768 | ||||||
| (0.00816) | |||||||
| HR_EU | 0.0140*** | ||||||
| (0.00543) | |||||||
| none_EU | 0.0148*** | ||||||
| (0.00525) | |||||||
| NA-EU15-NMS | −0.0534*** | .0526952 | −.0269492 | .0155141 | −.1057659** | 0.0831*** | |
| (0.0160) | .0504126 | .0199265 | .0364956 | .049518 | (0.0190) | ||
| NA-NMS-EU15 | 0.145*** | .2508488*** | .1775791*** | .097095*** | .2936307*** | 0.0895*** | |
| (0.0188) | .0413104 | .0251493 | .0453394 | .0539502 | (0.0287) | ||
| NA-NMS-NMS | 0.0942*** | .3505328*** | .200204*** | −.1348145** | −.022882 | 0.356*** | |
| (0.0248) | .0632008 | .0332285 | .0598275 | .0734733 | (0.0356) | ||
| MR-EU15-NMS | 0.0651*** | (omitted) | .0071325 | .0985143*** | .0923532** | 0.148*** | |
| (0.0234) | .0496438 | .0290378 | .0399543 | (0.0316) | |||
| MR-NMS-EU15 | 0.0377 | (omitted) | −.0343424 | .3994119*** | −.1333244*** | 0.0560 | |
| (0.0275) | .0616616 | .039404 | .0400508 | (0.0374) | |||
| MR-NMS-NMS | 0.145*** | (omitted) | .0789878 | .2778632*** | .0426703 | −0.0996 | |
| (0.0338) | .0579968 | .046876 | .0603844 | (0.0608) | |||
| HR-EU15-NMS | 0.128*** | .0170128 | (omitted) | .0411172 | .2959768*** | 0.257*** | |
| (0.0295) | .0270469 | .0499832 | .0442682 | (0.0318) | |||
| HR-NMS-EU15 | 0.276*** | .3145475*** | (omitted) | −.064045 | .8265343*** | 0.551*** | |
| (0.0367) | .0311062 | .059602 | .0494348 | (0.0401) | |||
| HR-NMS-NMS | 0.209*** | −.0845362* | (omitted) | .0838884 | .4971171*** | 0.575*** | |
| (0.0371) | .0438424 | .0673421 | .0511993 | (0.0380) | |||
| None-EU15-NMS | 0.166*** | −.1212058*** | .1458626*** | .2292322*** | −.0202643 | 0.144* | |
| (0.0505) | .0472334 | .0405111 | .076868 | .0351835 | (0.0834) | ||
| None-NMS-EU15 | −0.122*** | −.316273*** | .0968501*** | −.2923275*** | .3317987*** | −0.211*** | |
| (0.0223) | .0605635 | .0360711 | .0332407 | .0500403 | (0.0290) | ||
| None-NMS-NMS | 0.431*** | −.1457483** | .147424*** | .6738975 | .2335274*** | 0.357*** | |
| (0.0587) | .0711817 | .052262 | .0969544*** | .0610534 | (0.0721) | ||
| NA-EU15-V4 | −0.184*** | ||||||
| (0.0207) | |||||||
| NA-V4-EU15 | 0.133*** | ||||||
| (0.0190) | |||||||
| NA-V4-V4 | −0.153*** | ||||||
| (0.0315) | |||||||
| NA-V4-NMS | −0.113*** | ||||||
| (0.0287) | |||||||
| MR-EU15-V4 | 0.0136 | ||||||
| (0.0278) | |||||||
| MR-V4-EU15 | 0.0293 | ||||||
| (0.0311) | |||||||
| MR-V4-V4 | 0.0405 | ||||||
| (0.0418) | |||||||
| MR-V4-NMS | 0.169*** | ||||||
| (0.0393) | |||||||
| HR-EU15-V4 | −0.0323 | ||||||
| (0.0397) | |||||||
| HR-V4-EU15 | 0.160*** | ||||||
| (0.0407) | |||||||
| HR-V4-V4 | −0.178*** | ||||||
| (0.0613) | |||||||
| HR-V4-NMS | 0.146*** | ||||||
| (0.0403) | |||||||
| None-EU15-V4 | 0.115*** | ||||||
| (0.0409) | |||||||
| None-V4-EU15 | −0.151*** | ||||||
| (0.0260) | |||||||
| None-V4-V4 | 0.125** | ||||||
| (0.0614) | |||||||
| None-V4-NMS | 0.412*** | ||||||
| Constant | 13.52*** | 13.51*** | 11.84421*** | 13.28023*** | 13.63611*** | 13.6876*** | 13.51*** |
| (0.00157) | (0.00158) | .0027644 | .0034178 | .0022599 | .0028308 | (0.00155) | |
| (0.102) | |||||||
| N of obs. | 12,355,183 | 12,355,183 | 1,271,213 | 2,834,200 | 3,376,816 | 4,872,954 |
Estimates for trade liberalisation in TBT among EU Member States
| HR | HR+MR | MR | NA | NA+MR | None | |
|---|---|---|---|---|---|---|
| VARIABLES | (1) | (2) | (3) | (4) | (5) | (6) |
| RTA | 0.0339* | −0.00423 | 0.0123 | 0.0806*** | 0.0954*** | −0.0163 |
| (0.0188) | (0.0164) | (0.0183) | (0.0213) | (0.0194) | (0.0201) | |
| RTA CEE | 0.404*** | 0.0614 | 0.177*** | −0.0595 | 0.164** | 0.499*** |
| (0.127) | (0.0580) | (0.0604) | (0.0501) | (0.0785) | (0.0725) | |
| RTA CEE UE | 0.395*** | −0.102** | −0.00993 | −0.0208 | 0.271*** | −0.00325 |
| (0.0789) | (0.0435) | (0.0398) | (0.0348) | (0.0388) | (0.0420) | |
| EU15 to NMS | −0.276*** | 0.182*** | 0.258*** | 0.0141 | 0.146*** | −0.0659 |
| (0.0860) | (0.0393) | (0.0474) | (0.0335) | (0.0491) | (0.0832) | |
| NMS to EU15 | 0.578*** | 0.265*** | 0.0101 | 0.141*** | 0.698*** | −0.235*** |
| (0.134) | (0.0592) | (0.0528) | (0.0376) | (0.0510) | (0.0393) | |
| NMS to NMS | 0.562*** | 0.147*** | 0.345*** | −0.0159 | 0.311*** | 0.485*** |
| (0.134) | (0.0569) | (0.0672) | (0.0514) | (0.0806) | (0.0939) | |
| Constant | 13.39*** | 15.03*** | 15.48*** | 15.09*** | 14.74*** | 14.54*** |
| (0.00944) | (0.00563) | (0.00558) | (0.00661) | (0.00758) | (0.00619) | |
| Observations | 221,83 | 354,348 | 355,499 | 342,843 | 259,306 | 353,184 |
Summary statistics
| Variable | Obs | Mean | Std. Dev. | Min | Max |
|---|---|---|---|---|---|
| Year | 12,652,175 | 2009.808 | 6.449645 | 1995 | 2020 |
| Export value | 12,652,175 | 19094.65 | 341852.5 | 1.15e-10 | 2.01e+08 |
| RTA | 12,652,175 | .2013112 | .4009801 | 0 | 1 |
| RTA-CEE-UE | 12,652,175 | .0121949 | .1097551 | 0 | 1 |
| RTA-CEE | 12,652,175 | .002402 | .0489509 | 0 | 1 |
| NA | 12,652,175 | .3144369 | .4642912 | 0 | 1 |
| NA-EU | 12,652,175 | .0226739 | .1488616 | 0 | 1 |
| NA-EU15-NMS | 12,652,175 | .0055967 | .0746018 | 0 | 1 |
| NA-NMS-EU15 | 12,652,175 | .0048632 | .0695668 | 0 | 1 |
| NA-NMS-NMS | 12,652,175 | .0036937 | .0606633 | 0 | 1 |
| NA-EU15-NMS(other) | 12,652,175 | .0037779 | .0613486 | 0 | 1 |
| NA-EU15-V4 | 12,652,175 | .0024246 | .0491801 | 0 | 1 |
| NA-V4-EU15 | 12,652,175 | .0030244 | .0549112 | 0 | 1 |
| NA-V4-V4 | 12,652,175 | .0024284 | .0492193 | 0 | 1 |
| NA-V4-NMS | 12,652,175 | .0013491 | .0367053 | 0 | 1 |
| MR | 12,652,175 | .342041 | .4743933 | 0 | 1 |
| MR EU | 12,652,175 | .0252982 | .1570292 | 0 | 1 |
| MR-EU15-NMS | 12,652,175 | .0062408 | .078752 | 0 | 1 |
| MR-NMS-EU15 | 12,652,175 | .0053653 | .0730516 | 0 | 1 |
| MR-NMS-NMS | 12,652,175 | .0040377 | .0634147 | 0 | 1 |
| MR-EU15-NMS(other) | 12,652,175 | .0041938 | .0646238 | 0 | 1 |
| MR-EU15-V4 | 12,652,175 | .0027208 | .0520903 | 0 | 1 |
| MR-V4-EU15 | 12,652,175 | .0033346 | .0576497 | 0 | 1 |
| MR-V4-V4 | 12,652,175 | .0026562 | .0514701 | 0 | 1 |
| MR-V4-NMS | 12,652,175 | .0014717 | .0383343 | 0 | 1 |
| HR | 12,652,175 | .2246639 | .4173608 | 0 | 1 |
| HR EU | 12,652,175 | .0167582 | .1283643 | 0 | 1 |
| HR-EU15-NMS | 12,652,175 | .0041769 | .0644939 | 0 | 1 |
| HR-NMS-EU15 | 12,652,175 | .0034418 | .0585656 | 0 | 1 |
| HR-NMS-NMS | 12,652,175 | .0026463 | .0513737 | 0 | 1 |
| HR-EU15-NMS(other) | 12,652,175 | .0028076 | .0529122 | 0 | 1 |
| HR-EU15-V4 | 12,652,175 | .0018074 | .0424755 | 0 | 1 |
| HR-V4-EU15 | 12,652,175 | .0020909 | .045679 | 0 | 1 |
| HR-V4-V4 | 12,652,175 | .0017252 | .0414992 | 0 | 1 |
| HR-V4-NMS | 12,652,175 | .0009456 | .0307362 | 0 | 1 |
| None | 12,652,175 | .2428346 | .428796 | 0 | 1 |
| None EU | 12,652,175 | .0193679 | .1378143 | 0 | 1 |
| None-EU15-NMS | 12,652,175 | .0047352 | .0686499 | 0 | 1 |
| None-NMS-EU15 | 12,652,175 | .003963 | .0628271 | 0 | 1 |
| None-NMS-NMS | 12,652,175 | .0029981 | .0546731 | 0 | 1 |
| None-EU15-NMS(other) | 12,652,175 | .0031353 | .0559056 | 0 | 1 |
| None-EU15-V4 | 12,652,175 | .0021295 | .0460975 | 0 | 1 |
| None-V4-EU15 | 12,652,175 | .002423 | .0491641 | 0 | 1 |
| None-V4-V4 | 12,652,175 | .0020193 | .0448908 | 0 | 1 |
| None-V4-NMS | 12,652,175 | .0010664 | .032638 | 0 | 1 |