5. Over the same period, the Romanian economy and society have moved from a totalitarian regime to a democratic society in the ongoing and more determined process of transitioning from an overly centralized system to a market economy. The financial and economic crisis, as well as the changes and political events that have occurred in several parts of the world, have had a negative impact on Romania`s foreign trade and have increased the already high social costs of the transition. 25. In the years following the last revision of trade policy, the young democracy in Romania has developed into an ever-changing society and economy. The political changes in Romania have determined important developments in the economic and social spheres. Governments with voter support have set themselves the goal of accelerating the reform and restructuring of the Romanian economy, a particular highlight highlighted by privatization. 35. The geographical structure of exports has changed considerably: most of Romania`s foreign trade is in Europe, most of the European Union. The dynamic evolution of foreign trade presented in Appendix 1 aims to maintain an active presence of Romanian products in the world. Another important feature is the steady increase in the volume of exports in all markets, with some exceptions due to short-term economic developments in the international markets. 1.
The period following Romania`s first GATT trade policy review in December 1992 was characterized by a large number of events that have a direct impact on international trade relations as well as the multilateral trading system and, arguably, on Romania`s social and economic development. Tariff policy for industrial products has remained stable. The average rates applied by the MFN remained stable at 16%, which is well below the committed level of about 35%. Their scope is limited by free trade agreements with partners in the region and GSTP preferences for developing countries. Romania`s free trade agreements with the EU and EFTA require that the remaining tariffs on non-agricultural imports from these countries of origin be abolished by 2002; This should lead to increased competition in the domestic market for sensitive products such as footwear, textiles and clothing, where the abolition of duties has been re-added. With regard to agricultural products, Romania applied tariffs on DFN tariffs related to its WTO calendar in mid-1995. Temporary reductions were made from 1997, which were largely maintained in 1998 and 1999. These reductions reduced the average tariff applied by the MFN to agricultural products to 33.9%, compared to an average linked rate of 134.1%; If the authorities consider it necessary, this loophole leaves sufficient room for manoeuvre to increase tariffs within the links and may create some uncertainty in the tariff system. The United States and Romania agreed to maintain a “satisfactory balance of market access opportunities” in trade in goods and services. The agreement provides that contracts for goods and services are based on independent commercial judgment and on normal economic considerations such as price, quality, availability, supply and payment terms.
Neither party undertakes or encourages its nationals or companies to trade or trade with companies or individuals of the other party.