WORLD TRADE  
ORGANIZATION  WT/REG220/2 
11 August 2009  
 (09-3851) 
Committee on Regional Trade Agreements  
  
 
   
 
FACTUAL PRESENTATION 
 
Enlargement of the European Union to 
27 Member States 
(Goods and Services) 
 
Report by the Secretariat 
 
 
 
This report, prepared for the considerat ion of the Enlargement of the European 
Union to 27 Member States, has been drawn up by the WTO Secretariat on its own responsibility and in full consultati on with the Parties.  The report has 
been drawn up in accordance with the ru les and procedures contained in the 
Decision for a Transparency Mechan ism for Regional Trade Agreements 
(WT/L/671). 
 
Any technical questions arising fro m this report may be addressed to 
Mrs. Catherine Hennis-Pierre (tel: +41 22 739 5640). 
 
    WT/REG220/2 
 Page iii 
 
 
  TABLE OF CONTENTS  
Page 
I. TRADE ENVIRONMENT 1  
A. MAIN ECONOMIC CHARACTERISTICS OF THE EUROPEAN COMMUNITIES AND THEIR 
TWO NEW MEMBER STATES  1  
B. MERCHANDISE TRADE  3  
C. TRADE IN COMMERCIAL SERVICES  5  
1. Trade in commercial services betwee n the EC25, Bulgaria and Romania 5  
2. Bulgaria and Romania's trade in commercial services 7  
D. OPERATIONS OF FOREIGN AFFILIATES AND FOREIGN DIRECT INVESTMENT  9  
1. Foreign affiliate statistics 9  
2. Foreign direct investment (FDI) 10  
II. CHARACTERISTICS OF THE ACT OF ACCESSION TO THE EUROPEAN UNION 13  
A. BACKGROUND INFORMATION  13  
1. Membership and dates of signature and entry into force 13  
2. WTO Notification 13  
(a) Goods 13  
(b) Services 14  
3. Terminated agreements 14  
4. Adoption of the a cquis  communautaire  in the area of trade policy 15  
5. Coverage of the Act of Acces sion, scope and definitions 16  
III. EFFECTS OF ACCESSION ON TRADE IN GOODS 18  
A. CHANGES IN IMPORT MEASURES  18  
1. Overview 18  
2. Tariff liberalization among the Parties 18  
(a) The EC's elimination of tari ffs and tariff rate quotas 18  
(b) Bulgaria's elimination of tariffs and tariff rate quotas 19  
(c) Romania's elimination of tariffs and tariff rate quotas 20  
3. Import liberalization towards third parties 21  
(a) Import liberalization by Bulgaria and Romania 21  
(b) Import liberalization by the EC25 23  
4. Rules of origin 24  
B. REGULATORY CHANGES RESULTING FROM ACCESSION  25  
1. Technical regulations, including sa nitary and phytosanitary (SPS) 
requirements 25  
2. Safeguards 26  
(a) Measures affecting intra-EC trade 26  
(b) Measures applied in trade with third parties 26  
3. Anti-dumping and countervailing duty measures 27  
(a) Elimination of existing measures in internal trade 27  
(b) Elimination of existing measures in external trade 27  
(c) Extension of existing measures to the two new Member States 27  
4. Customs procedures 29  
C. CHANGES IN EXPORT MEASURES  29  
(a) Export duties and charges and other restrictions 29  
(b) Export subsidies 30  
D. SECTOR -SPECIFIC PROVISIONS  31  WT/REG220/2 
Page iv  
 
  1. Agricultural and food products 31  
2. Iron and steel products 31  
3. Textiles and clothing products 31  
IV. EFFECTS OF ACCESSION ON TRADE IN SERVICES AND INVESTMENT 32  
A. CROSS BORDER TRADE IN SERVICES AND INVESTMENT  32  
1. Freedom to supply services 32  
2. Freedom of establishment 33  
3. Market access, national treatment, and MFN 33  
4. Transitional measures 34  
B. REGULATORY PROVISIONS  34  
1. The Services Directive 34  
2. Domestic Regulation 35  
3. Mutual Recognition 37  
V. GENERAL TRADE PROVISIONS OF TH E EU TREATY AND THE ACT OF 
ACCESSION AFFECTING TRADE 37  
1. Exceptions 37  
2. Accession 38  
3. Competition policy and State aid 38  
4. Government procurement 39  
5. Intellectual property rights 40  
6. Dispute settlement 40  
ANNEX I  41  
 
ANNEX II  43  
 
   WT/REG220/2 
 Page 1 
 
 
  ENLARGEMENT OF THE EUROPEAN UNION TO 
27 MEMBER STATES (GOODS AND SERVICES) 
Factual Presentation by the Secretariat  
 
I. TRADE ENVIRONMENT 
A. MAIN ECONOMIC CHARACTERISTICS OF THE EUROPEAN COMMUNITIES AND THEIR TWO NEW 
MEMBER STATES  
 1. On 1 January 2007, following the accession of Bulgaria and Romania, the European 
Communities formed an entity with 27 Member States (the EC27).
1  The accession represents a small 
addition to the economic weight of the EC25:  although the two new Member States (NMS2) 
contributed to enlarge the EC25 population by 6.3%, and its land area by 8%, its Gross Domestic Product GDP was expanded by only 0.9%.  In total,  the EC27 covers a land area of 4.1 million km
2 
and has a combined population of 489 million, w ith a (GDP) of €10,917 billion (Table I.1). 
Table I.1 
Selected indicators, 2007  
GDP 
(2005) Share in gross value added (2005)  
(%) Country/ 
entity Area 
('000 
km2) Population 
2005 
(million) Total 
(€ billion) Per 
capitaa Agricultureb Industryc Services External 
current 
account 
2006 
(% of GDP) Date of 
joining 
Euro-
area 
EC (27) 4,100 489.0 10,917 22,400 .. .. .. -0.8 n.a. 
EC (25) 3,894 459.5 10,817 23,400 1.9 26.5 71.6 -0.7 n.a. 
Austria 84 8.2 245 28,700 1.6 29.7 68.7 2.8 1999 
Belgium 31 10.4 298 27,600 1.0 24.0 75.0 5.5 1999 
Bulgaria 111 7.8 21 8,700 8.5 31.5 60.0 -15.7  
Cyprus 9 0.7 14 19,500 3.0 20.3 76.7 -5.9 2008 
Czech Rep. 79 10.2 98 17,100 3.0 37.7 58.3 -3.3  
Denmark 43 5.4 208 29,100 1.8 24.6 73.6 2.6  
Estonia 45 1.3 11 13,400 4.0 29.4 66.6 -15.5  
Finland 305 5.2 155 26,200 2.9 29.6 67.7 5.2 1999 
France 544 60.6 1,710 25,500 2.2 20.9 76.9 -1.3 1999 
Germany 357 82.5 2,247 25,700 0.9 29.6 69.5 5.0 1999 
Greece 132 11.1 181 19,200 5.2 20.8 74.0 -11.0 2001 
Hungary 93 10.1 81 14,300 3.9d  30.8 65.3 -6.6  
Ireland 70 4.1 160 32,100 2.5 d 36.1  60.0 -4.2 1999 
Italy 301 58.5 1,417 24,100 2.3 26.8 70.9 -2.6 1999 
Latvia 65 2.3 13 11,000 3.8 22.4 73.8 -22.3  
Lithuania 65 3.4 21 12,200 5.7 33.5 60.8 -10.8  
Luxembourg 3 0.5 29 58,000 0.4 16.3 83.3 18.0 1999 
Malta 0 0.4 4 16,200 2.4 23.4 74.2 -6.7 2008 
Netherlands 34 16.3 502 28,900 2.1 24.4 73.5 9.3 1999 
Poland 313 38.2 243 11,700 4.8 30.6 64.6 -3.2  
Portugal 92 10.5 147 16,700 2.9 24.6 72.5 -9.4 1999 
Romania 238 21.7 79 8,100 9.6 34.5 55.9 -10.5  
Slovak Rep. 49 5.4 38 12,900 3.8 34.1 62.1 -8.2 2009 
Slovenia 20 2.0 28 18,700 2.5 d 35.2 d 62.3 -2.8 2007 
Spain 505 43.0 904 23,100 3.3 29.5 67.2 -8.6 1999 
Table I.1 (cont'd) 
                                                      
1 This section partly draws on the various WTO Trade Policy Reviews of th e European Communities. WT/REG220/2 
Page 2  
 
  GDP 
(2005) Share in gross value added (2005)  
(%) Country/ 
entity Area 
('000 
km2) Population 
2005 
(million) Total 
(€ billion) Per 
capitaa Agricultureb Industryc Services External 
current 
account 
2006 
(% of GDP) Date of 
joining 
Euro-
area 
Sweden 411 9.0 288 26,900 1.1 28.2 70.7 7.2  
U.K. 244 60.0 1,791 27,300 1.0 d 24.1 d 74.9 -3.2  
a In Euro purchasing power parities. 
b Including  hunting, forestry and fishing. 
c Including Manufacturing, mining and construction. 
d 2005. 
.. Not available. n.a. Not applicable 
Source:  Eurostat.  Viewed at:  http://epp.eurostat.cec.eu.int. 
2. Bulgaria had the lowest GDP per capita am ong EC Member States, at one-third of the 
EC average (Table I.1), but its GDP per capita is  increasing steadily towards that average.  In 
particular, the contribution of the services sectors is still low when compared to  the EC average.  The 
industrial sector still accounts for approximately 26% of gross valued added (c ompared to 20% in the 
EC27), and is dominated by machinery and meta l sectors, food processing, textiles and clothing, 
chemicals, construction, electronics, and energy pr oduction. Agriculture still accounts for a relatively 
high share (9%) of gross value added that amounts to  over four times the EC average.  Foreign trade 
has played a growing part in Bulgaria’s economic  growth:  Trade in goods  (exports plus imports) 
increased from 68% of GDP in 1998 to 87% in 2002, and 122% in 2007.  
3. Romania's GDP per capita has also experienced rapid growth, from about one quarter of the 
EC15 GDP in 2000 to 40% of the EC27 average in 2007.  Important changes have taken place in the 
structure of Romania's economy, which has move d away from its reliance on trade in textiles, 
clothing and footwear, and increasingly towards high er value-added, technology intensive goods and 
services production.  For example, Romania expor ted some €700 million worth of high-technology 
products in 2005.2  However, large segments of the Ro manian economy continue to rely on the 
agriculture, hunting, fishing and forestry sector for nearly 10% of its GDP (compared to an EC27 
average of 1.9%), and agricultural labour productivity is comparatively low.  
4. Bulgaria and Romania participate in Econom ic and Monetary Union from the date of 
accession as Member States, albeit with a derogation3:  Accordingly, they are expected to adopt the 
euro as their currency after fulfillin g the Maastricht convergence criteria.4  Romania's currency is the 
Leu, trading in a 3.1-3.5 Leu per € range during 2007.  Bulgaria's currency, the Lev, has been fixed at 
1.9558 Lev per € during 2007.   
                                                      
2 Eurostat (2007), Statistics In Focus, General and Regional Statistics, "New Member States contribute 
to reducing unemployment in Europe", view ed at:  http://epp.eurostat.ec.europa.eu. 
3 Article 5 of the Act of Accession, viewed at: 
http://eur-lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=OJ:L:2005:157:0029:0045:EN:PDF 
4 http://ec.europa.eu/economy_f inance/the_euro/joining_euro9415_en.htm. The Maastricht 
convergence criteria for adopting the euro  are:  price stability (i.e. the aver age inflation rate should not exceed 
by more than 1.5 percentage point that of, at most, the th ree best performing Member St ates);  sustainable fiscal 
position (public deficit not exceeding 3% of  GDP or close to that limit, and the ratio of general government debt 
to GDP not over 60% or declining at a "sufficient pace" towards that leve l);  exchange rate  stability through 
participation in the Exchange Rate Mechanism II (ERM II), respecting the normal fluctuation margins without 
severe tensions for at least two years;  and low interest  rates (the average nominal long-term interest rate should 
not exceed by more than two percentage points that of, at most, the three best performing Member States) 
(WTO (2007), Trade Policy Review - European Communities).  Demark and the United Kingdom have an 
opt-out clause;  Sweden is expected to adopt the euro at a later stage.  WT/REG220/2 
 Page 3 
 
 
  B. MERCHANDISE TRADE  
5. The European Communities are the world's l eading merchandise trader, accounting for 16.4% 
of world merchandise exports in 2006 and 18.1% of imports.5  The share of the two new Member 
States in that trade is rather small: In 2006,  the EC25's extra-EC25 exports and imports were 
estimated at €1,079 billion and €1,293 billion r espectively (Table I.2); Bulgaria and Romania 
accounted for respectively 0.76% and 2.38% of th ese extra-EC25 exports, and respectively 0.48% and 
1.27% of extra-EC25 imports.6 
 
Table I.2  
EC25, total trade and trade with Bulgaria and Romania, 2000-06 Euros billion  
Trade flow Partner 2000 2001 2002 2003 2004 2005 2006 
Export Extra-EC25: 735.65 775.28 783.84 784.07 867.01 957.07 1,079.49 
 Of which:        
 to Bulgaria 3.16 3.94 4.16 4.50 5.42 6.51 8.16 
 to Romania 8.35 10.53 11.44 13.04 16.35 20.22 25.74 
         
 Intra-EC25 1,687.25 1,745.94 1,781.78 1,786.49 1,966.48 2,129.54 2,394.24 
         
Import Extra-EC25 899.12 892.53 860.34 864.01 969.25 1,114.86 1,293.05 
 Of which:        
 from Bulgaria 2.79 3.18 3.59 3.73 4.34 4.99 6.24 
 from Romania 6.85 8.59 9.72 10.73 12.74 13.94 16.41 
         
 Intra-EC25 1,622.08 1,672.24 1,691.24 1,714.20 1,901.67 2,053.82 2,295.36 
Source: EU submission extracted from Eurostat database. 
 
6. The value of merchandise exports from the EC25 to Bulgaria stood at €8.16 billion in 2006, 
over twice its level recorded in 2000. The expansi on has been even stronger in the case of Romania, 
to which EC-25 exports have triple d to over €25 billion.  This could reflect the important investment 
activity by the EC25 in these two countries over that pe riod, which has translated into large imports of 
capital equipment.  EC25 imports from these two countri es have also increased faster than the average 
for total extra-EC imports, but at a slower pace than exports.   
Table I.3  
Romania,  EC25 and Extra-EC25 trade, 2000-06 
Euros billion  
Partner/trade flows 2000 2001 2002 2003 2004 2005 2006 
Total imports 9.06 11.62 12.83 14.73 19.41 24.97 32.62 
EC25, of which: 5.22 6.75 7.82 9.13 11.57 14.61 19.57 
Italy 0.93 1.27 1.53 1.65 1.98 2.42 3.31 
Germany 1.12 1.56 1.88 2.22 2.88 3.53 5.02 
France 0.50 0.64 0.76 1.04 1.34 1.68 2.13 
Rest of world, of which: 3.84 4.87 5.02 5.60 7.84 10.36 13.05 
Turkey 0.21 0.29 0.43 0.62 0.89 1.35 1.75 
Table I.3 (cont'd) 
                                                      
5 WTO Trade Profiles, viewed at:  http://stat.wto.org.  The data is for the EC25. 
6 This section presents merchand ise trade as recorded by the St atistical Office of the European 
Communities (Eurostat) in its database, viewed at the following: http://epp.eurostat.ec.europa.eu/newxtweb/.   WT/REG220/2 
Page 4  
 
  Partner/trade flows 2000 2001 2002 2003 2004 2005 2006 
Russian Federation 1.13 1.28 1.32 1.54 1.72 2.22 2.84 
China 0.17 0.24 0.31 0.47 0.71 1.14 1.52 
United States 0.36 0.47 0.45 0.41 0.64 0.79 0.83 
Total exports 4.89 5.09 6.36 6.80 8.93 11.48 14.13 
EC25, of which: 2.24 2.58 3.37 3.70 4.87 5.72 7.48 
Italy 0.52 0.66 0.99 0.95 1.17 1.33 1.55 
Germany 0.42 0.41 0.49 0.64 0.86 1.02 1.51 
France 0.18 0.22 0.34 0.39 0.53 0.72 0.94 
Hungary 0.50 0.62 0.61 0.70 0.75 0.98 1.22 
United Kingdom 0.27 0.32 0.37 0.38 0.48 0.60 0.73 
Rest of world, of which: 2.65 2.50 2.98 3.11 4.06 5.76 6.64 
Turkey 0.59 0.43 0.53 0.68 1.16 1.67 1.80 
Source: EU submission extracted from Eurostat database. 
 
7. Romania's total exports and imports stood at €14.13 million and €32.62 million respectively 
in 2006 (Table I.3).  Imports have grown faster than  exports.  Romania's trade is heavily concentrated 
on the EC25, which accounts for nearly two-thirds  of imports and over twice its exports.  
Nevertheless, Romania's trade with the rest of th e world has expanded faster than with the EC25:  
imports more than tripled over 2000-06, to reach €13.05 billion, probably reflecting increases in 
prices of mineral fuels.  Imports from the EC25 reached €19.57 billion in 2006, but have increased 
more slowly over the period.  Romania's exports to  the rest of the world of €6.64 billion in 2006 
compare with €7.48 billion to EC25 countries. 
8. Romania's main EC trading partners are Italy, Germany and France (Table I.3).  Trade with 
Hungary has also expanded dynamically, partic ularly after 2003.  Romania's imports from 
EC partners are diversified, led by non-electrical ma chinery, vehicles and electrical machinery.  Of its 
imports from non-EC25 countries, one third consis ts of mineral fuels, followed by electrical 
machinery, non-electrical machinery, and vehicles. Its export structure differs substantially between 
the EC and non-EC destinations:  Exports to EC tr ading partners consist mostly of clothing, followed 
by electrical machinery.  In cont rast, with the exception of electrica l machinery, the main exports to 
non-EC countries are quite different:  inorganic ch emicals, iron and steel articles, footwear and 
vehicles.  As shown in Table I.3, Romania's main non-EC25 suppliers are the Russian Federation 
(mostly mineral fuels), Turkey, China, and Kazakhsta n (for the latter also mostly mineral fuels).  Non-
EC25 imports of machinery and electrical machiner y are mainly from China, followed by the United 
States.  Non-EC25 imports of vehicles are mainly from Turkey, followed by South Korea. 
Table I.4   
Bulgaria, EC25 and Extra-EC25 trade, 2000-06 
Euros billion  
Partner/ trade flows 2000 2001 2002 2003 2004 2005 2006 
Total imports 3.70 4.58 4.80 5.75 7.42 9.58 11.88 
EC25, of which: 2.48 3.16 3.27 3.76 4.79 5.76 7.20 
Germany 0.79 1.03 1.00 1.13 1.46 1.76 2.04 
Italy 0.32 0.40 0.50 0.53 0.68 0.86 1.12 
France 0.24 0.35 0.34 0.40 0.48 0.56 0.64 
Table I.4 (cont'd)  WT/REG220/2 
 Page 5 
 
 
  Partner/ trade flows 2000 2001 2002 2003 2004 2005 2006 
Extra-EC25, of which: 1.22 1.42 1.53 1.98 2.63 3.82 4.68 
Turkey 0.13 0.17 0.26 0.38 0.50 0.70 0.85 
China        0.06         0.08         0.13         0.22         0.33         0.52         0.72  
Russian Federation 0.11 0.13 0.11 0.16 0.16 0.20 0.26 
United States        0.16         0.17         0.14         0.17         0.21         0.33         0.31  
Total exports 2.18 2.46 2.49 2.94 3.95 4.95 6.60 
EC25, of which: 0.97 1.17 1.30 1.45 1.92 2.38 3.41 
Italy 0.16 0.24 0.25 0.29 0.39 0.58 0.61 
Germany 0.16 0.18 0.22 0.25 0.31 0.39 0.58 
France 0.08 0.10 0.09 0.12 0.13 0.18 0.26 
Rest of world, of which: 1.21 1.29 1.19 1.49 2.03 2.58 3.19 
Turkey 0.26 0.18 0.24 0.39 0.58 0.64 0.78 
Source: EU submission extracted from Eurostat database. 
 
9. Bulgaria's merchandise imports and expor ts totalled €11.9 billion and €6.6 billion 
respectively in 2006 (Table I.4).  Bulgaria's trade is  less integrated with the EC25 than Romania's, and 
has not expanded as rapidly over the 2000-06 period.  Imports from extra-EC25 countries were valued 
at €4.68 billion, whilst imports from EC25 countries reached €7.2 billion (Table I.4).  Exports to the EC25 area reached €3.41 billion, and extr a-EC25 exports reached €3.19 billion. 
10. Bulgaria's main EC trading partners in 2006 were Germany, Italy and Greece.  Imports from 
EC partners are concentrated in vehicles, and in machinery and electrical machinery (HS Chapters 87, 
84 and 85), followed by plastics and pharmaceutical products.  In cont rast its largest imports from 
non-EC25 countries consist mainly of copper ore, mine ral fuels, as well as semi-finished iron, plastic 
and aluminium products.  In exports to the EC25 member states, Bulgaria on average over 2004-06 
sold mainly clothing products (HS Chapters 61 and 62), with copper produc ts in second position and 
heavy machinery, iron and steel products following.   
11. Bulgaria's main non-EC-25 trading partners are, on the import side:  Turkey, China, the 
Russian Federation and the United States (Table I.4).  Imports of machinery (HS Chapter 84) are also 
relatively important, from China, Turkey, and the United States.  Non-EC25 imports of electrical 
machinery are mostly from China,  followed by Turkey and Japan. 
 
12. Bulgaria's main extra-EC25 exports by HS Chap ter are mineral fuels, consisting mainly of 
petroleum products, followed by copper products (mainly unrefined copper) and steel products.  
Tobacco products (HS Chapter 24) constitute Bulgaria 's largest extra-EC25 agricultural export.  The 
second largest agricultural export is win es and other beverages (HS Chapter 22). 
C. TRADE IN COMMERCIAL SERVICES7 
1. Trade in commercial services between the EC25, Bulgaria and Romania  
13. The value of trade in commercial services betw een the EC25, the NMS2 and the rest of the 
world is presented in Chart I.1.  It shows that th e value of services trade directly concerned by the 
legislative and regulatory changes brought by the enla rgement of 2007 is relatively small.  Indeed, the 
sum of the NMS2's trade in commercial services with (a) each-other;  (b) the EC25;  and (c) the rest 
                                                      
7 i.e. excluding the "Government servi ces, not elsewhere sp ecified" category. WT/REG220/2 
Page 6  
 
  of the world does not exceed €18 billion on average during 2005-06.
8  In comparison, intra-EC25 
trade in 2004-06 was considerably larger, as was the EC25's trade with the rest of the world 
(extra-EC25 trade). 
Chart I.1
Internal and external commercial services trade of the EC25 and NMS2, average 2004-06
Source :   Eurostat.EC25Intra X = 541.7
Intra M = 510.0NMS2Intra X = 0.2
Intra M =0.3
Rest of worldM = 2.9
X = 2.6X = 5.5
M =5.8
M=345.4
X = 398.0€ billion
X = Exports    
M = Imports
 
 
14. The EC25 is the world's leading services trader:  in 2006, it accounted for over 27% of global 
commercial services exports and 24% of imports.9  Its (extra-EC25) commercial services exports were 
valued at €369 billion in 2006 (Table I.5), up 6%  from €347 billion in 2005, and imported services 
were worth approximately €376  billion, up by 6.3% from 2005.10   
                                                      
8 Data is not available for Romania in 2004;  therefore the average of 2005-06 was used. 
9 WTO Trade Profiles, viewed at:  h ttp://www.stat.wto.org.  However, data presented in this section on 
trade in commercial services is recorded  by Eurostat in its International Tr ade in Services Database, viewed at 
the following website:  http://epp.eurostat.cec.eu.int. 
10 EC services exports and imports are measured re spectively as credits and debits in the current 
account of the EC's aggregate balance of  payments with non-EC countries.  The data originates from balance of 
payments statistics, and does not reflect the sector an d modal definitions of the WTO's General Agreement on 
Trade in Services (GATS).  Depending on the location of  the supplier and the consumer, the GATS defines four 
modes of supply for trade in commercial services.  In addition to the cross-border supply (Mode 1), where both 
the supplier and the consumer remain in their respect ive home territories, GATS also covers cases where 
consumers are outside their home territory to consume se rvices (Mode 2 – consumption abroad), or cases where 
service suppliers are in the territory of the consumers to  provide their services, whether by establishing affiliates 
through direct investment abroad (M ode 3 – commercial presence), or th rough the presence of natural persons 
(Mode 4).  Nevertheless, the services account of the ba lance of payments can be used to derive estimates 
covering trade in commercial se rvices for Modes 1, 2 and 4.  WT/REG220/2 
 Page 7 
 
 
  Table I.5  
EC25:  Commercial services trade by sector, 2004-06 
Billion euros and percentages 
2004 2005 2006 Share 2006 
Sector Flow EC25  Extra  
EC-25  EC25  Extra  
EC-25  EC25  Extra  
EC-25  EC25  Extra  
EC-25  
Credit 503.1 360.6 543.4 396.9 578.7 436.0 100 100 Commercial services, of which:  
Debit 475.8 320.1 511.4 347.1 543.0 369.1 100 100 
Credit 93.7 93.6 104.4 104.8 109.2 110.0 18.9 25.2 Transportation  
Debit 98.6 80.9 107.0 87.9 115.0 96.6 21.2 26.2 
Credit 163.3 62.7 167.5 66.1 177.8 72.1 30.7 16.5 Travel  
Debit 143.4 81.1 149.7 86.0 154.0 87.0 28.4 23.6 
Credit 14.9 6.5 17.6 7.3 19.8 8.6 3.4 2.0 Communications services  
Debit 14.4 7.2 16.3 8.6 19.3 10.1 3.5 2.7 
Credit 8.9 9.6 9.9 11.3 10.3 12.1 1.8 2.8 Construction   
Debit 8.2 5.9 8.8 6.2 9.0 6.7 1.7 1.8 
Credit 15.5 10.7 13.0 6.2 9.9 14.3 1.7 3.3 Insurance services  
Debit 13.0 8.4 13.2 8.4 14.6 7.2 2.7 1.9 
Credit 34.9 29.7 41.7 35.2 53.3 41.9 9.2 9.6 Financial services  
Debit 19.0 11.9 22.9 14.4 28.7 17.4 5.3 4.7 
Credit 30.3 16.4 32.2 17.3 33.8 21.1 5.8 4.8 Computer and information services  
Debit 14.5 8.1 17.1 8.7 18.9 9.7 3.5 2.6 
Credit 14.0 20.4 15.6 23.8 15.8 23.5 2.7 5.4 Royalties and license fees  
Debit 18.3 29.4 18.5 32.0 20.2 32.6 3.7 8.8 
Credit 115.5 102.9 130.1 117.7 142.1 127.8 24.6 29.3 Other business services  
Debit 129.9 77.9 142.9 86.3 155.5 96.1 28.6 26.0 
Credit 6.4 5.1 6.6 4.9 6.4 4.6 1.1 1.1 Personal, cultural and recreational 
services  Debit 6.5 6.3 7.3 6.3 7.7 5.8 1.4 1.6 
Source:  http://epp.euros tat.ec.europa.eu. 
 
2. Bulgaria and Romania's trade in commercial services  
15. Trade in commercial services is considerably sma ller in Bulgaria than in the EC25, and even 
more so in Romania.  Extra-EC25 services exports per capita averaged nearly 900 euros in the EC25 
during 2004-06, and about 1,200 euros in the case of  intra-EC25 exports.  In comparison, per capita 
exports of commercial services by Bulgaria stood at about 162 euros (extra-EC25) over the same 
period, and 309 euros for intra-EC25 exports.  For Romania, per capita Extra-EC25 exports stood at 
65 euros, while intra-EC25 exports were less than 150 euro s.  Over two-thirds of Bulgaria's exports of  
commercial services are to EC25 Member States, and over 70% in the case of Romania. 
16. Half of Bulgaria's exports of services to both EC 25 and non-EC25 countries (Table I.6) are in 
travel, which consists of expenditures by non-reside nts in Bulgaria (both fo r personal and professional 
travel).  Transportation services also account for a larger proportion of total exports and imports than 
is the case on average in EC25 countries (Table I.5).  Bulgaria also recorded strong growth in exports 
of construction, and the strongest growth for both building and civil engineering production indices among EC Member States during 2004-06.
11  In contrast, the share of all other services categories is 
significantly smaller than in EC25 countries on averag e, particularly for fina ncial services, and for 
computer and other information services, royalties and licence fees, other business services and 
personal, cultural and recreational services.   
17. In 2006, the main destinations for Bulgar ia's exports of services were Germany 
(€498 million), Greece, and the United Kingdom. 
18. Romania's trade in commercial services, with both EC25 Member States and other trading 
partners, is presented in Table I.7.  In comparison with the EC25 average sectoral breakdown, 
                                                      
11 Eurostat (2008), Statistics In Fo cus, Industry, Trade an d Services, 129/2007, "A  Decade and More of 
Monthly Construction Statistics", viewed  at:  http://epp.eurostat.ec.europa.eu. WT/REG220/2 
Page 8  
 
  Romania imports comparatively more transport services:  close to half of its imports of services from 
non-EC25 trading partners consis t of transport services, and 31% of imports from EC25 Member 
States. In the EC25, these shares are 26% and 21% resp ectively (Table I.5).  Another particularity of 
Romania's services trade is that it relies comparativ ely more (about 16% of total exports) than EC25 
Member States on exports of communication services.  Also, Romania's trade in computer and other 
information services is relatively important.  Trade in  "royalties and licence fees", and "other business 
services" represents a lower share of total trade with both EC25 and non-EC25 trading partners.  
19. In 2006, the main destinations for Roma nia's exports of services were Germany 
(€938 million), Italy, the United States and France. 
Table I.6   
Bulgaria's commercial services trade by sector, 2004-06 Million euros and percentages 
2004 2005 2006 Share 2006 
Sector Flow EC25  Extra  
EC-25  EC25  Extra  
EC-25  EC25  Extra  
EC-25  EC25  Extra  
EC-25  
Credit 2183.7 1045.9 2345.1 1206.5 2636.5 1504.9 100 100 Commercial services  
Debit 1799.6 788.9 1858.0 869.5 2279.8 885.0 100 100 
Credit 513.7 312.9 593.0 371.8 752.9 488.7 28.6 32.5 Transportation  
Debit 490.2 381.9 527.2 355.3 639.0 304.6 28.0 34.4 
Credit 1240.9 550.0 1312.9 642.9 1324.5 737.7 50.2 49.0 Travel  
Debit 860.9 239.5 785.3 268.1 892.1 279.3 39.1 31.6 
Credit 54.3 11.2 98.2 20.1 103.5 20.1 3.9 1.3 Communications services  
Debit 31.7 10.1 28.2 10.1 48.9 14.8 2.1 1.7 
Credit 58.5 40.7 52.2 30.8 82.4 55.5 3.1 3.7 Construction   
Debit 22.4 31.8 23.7 39.2 16.7 31.5 0.7 3.6 
Credit 16.1 5.9 17.4 6.6 21.9 10.3 0.8 0.7 Insurance services  
Debit 53.3 15.9 57.3 18.0 71.7 21.4 3.1 2.4 
Credit 26.0 5.3 11.2 3.6 20.3 7.0 0.8 0.5 Financial services  
Debit 19.8 6.4 20.6 6.2 38.7 19.3 1.7 2.2 
Credit 12.7 10.0 14.4 11.8 24.9 18.6 0.9 1.2 Computer and information services  
Debit 14.1 4.6 23.6 8.3 32.3 11.2 1.4 1.3 
Credit 3.6 2.2 2.5 1.6 5.7 2.6 0.2 0.2 Royalties and license fees  
Debit 16.6 7.9 41.9 23.5 37.9 17.6 1.7 2.0 
Credit 238.7 93.0 225.6 103.4 278.9 141.0 10.6 9.4 Other business services  
Debit 281.9 87.3 340.4 137.3 491.4 181.2 21.6 20.5 
Credit 19.2 14.8 17.9 13.7 21.2 23.8 0.8 1.6 Personal, cultural and recreational 
services  Debit 8.7 3.4 9.4 3.8 10.8 4.4 0.5 0.5 
Source:  http://epp.euros tat.ec.europa.eu. 
 
20. The corresponding amounts of total credits and debits recorded by Romania were 
€5.49 billion and €5.42 billion (Table I.7). Ro mania's 2006 extra-EC25 exports (€1.6 billion) and 
imports (€1.5 billion) stand at respectively 0.4% of both EC25 tota l exports and imports. 
Table I.7 
Romania's commercial services trade by sector, 2005-06 Million euros and percentage 
2005 2006 Share 2006 
 
EC25  Extra 
EC-25  EC25  Extra  
EC-25  EC25  Extra 
EC-25  
Credit 2884.4 1190.0 3872.3 1622.3 100.0 100.0 Commercial services  
Debit 3140.7 1225.1 3944.4 1479.4 100.0 100.0 
Credit 905.0 282.5 1129.7 359.4 29.2 22.2 Transportation  
Debit 985.1 597.1 1204.3 714.2 30.5 48.3 
Credit 569.5 279.2 721.5 310.0 18.6 19.1 Travel  
Debit 577.2 169.8 801.5 230.3 20.3 15.6 
Credit 389.1 150.8 625.1 257.5 16.1 15.9 Communications services  
Debit 252.1 36.7 331.0 49.6 8.4 3.4 
Credit 110.5 46.4 97.0 96.7 2.5 6.0 Construction services  
Debit 146.1 11.6 158.8 23.3 4.0 1.6 
Table I.7 (cont'd)  WT/REG220/2 
 Page 9 
 
 
  2005 2006 Share 2006  
EC25  Extra 
EC-25  EC25  Extra  
EC-25  EC25  Extra 
EC-25  
Credit 14.6 7.7 10.2 7.7 0.3 0.5 Insurance services  
Debit 85.1 20.2 91.3 21.0 2.3 1.4 
Credit 59.1 24.6 67.5 26.9 1.7 1.7 Financial services  
Debit 62.4 66.8 114.3 59.6 2.9 4.0 
Credit 180.6 87.0 243.9 129.6 6.3 8.0 Computer and information services  
Debit 232.8 50.0 267.7 65.8 6.8 4.4 
Credit 30.9 9.1 19.0 12.2 0.5 0.8 Royalties and license fees  
Debit 101.9 37.6 138.1 42.8 3.5 2.9 
Credit 576.1 277.3 907.6 408.1 23.4 25.2 Other business services  
Debit 627.2 219.3 775.1 260.4 19.7 17.6 
Credit 48.9 25.1 51.1 14.5 1.3 0.9 Personal, cultural and recreational services  
Debit 70.4 16.3 62.1 12.8 1.6 0.9 
.. Data for 2004 are not available. 
Source:  http://epp.euros tat.ec.europa.eu. 
 
D. OPERATIONS OF FOREIGN AFFILIATES AND FOREIGN DIRECT INVESTMENT  
21. Available foreign affiliates and foreign direct i nvestment statistics confirm that Bulgaria and 
Romania were already relatively integrated with EC  countries prior to enlargement. Data show that 
this integration intensified in the years immediately preceding enlargement.12   
1. Foreign affiliate statistics 
22. According to available outward foreign affilia tes trade statistics (FATS) of EC Member 
States, Germany, Austria, and Italy maintained an important commercial presence in both Bulgaria 
and Romania in 2005.13 Sales by German affiliates in Romani a reached €5.78 billion compared to 
€1.85 billion in 2003 (and 89,000 persons employed) and €1.63 billion in Bulgaria (22,000 persons 
employed). Sales by Austrian affiliates were at €1.36 billion in Bulgaria (and 14,000 persons 
employed), and €5.15 billion in Romania (74,000 persons employed). Sale s by Italian affiliates 
recorded €5.75 billion in Romania (and 137,000 persons employed) and €972 million in Bulgaria 
(27,000 persons employed) in 2005. Most of the tu rnover by these affiliates appears to be linked to 
sales of goods. No outward FATS are available for Bulgaria and Romania. 
23. Inward FATS statistics describe the activity of foreign affiliates resident in the country, and 
are available for Bulgaria and Romania.14  Eurostat statistics show that total sales of EC25 foreign 
                                                      
12 With respect to services, the Balance of Payments does not include most of the information on the 
local deliveries of services through foreign affiliates that is  required to estimate the size of mode 3.  To fill this 
gap, data available through the new Foreign Affiliates Statistics framework are necessary to analyze commercial 
presence.  In practice, such FATS data is frequently unavailable, and foreign direct investment flows and stocks 
are used as an indicator of the attractiveness of an economy for foreign service suppliers through mode 3.  The 
FATS framework analyses those foreign affiliates for wh ich foreign investors own more than 50% of the voting 
power or equity interest. Inward FATS consist of activities of foreign-owned affiliates in the compiling 
economy;  outward FATS refer to the activities of foreign affiliates of the compiling economy active abroad.  
Variables such as sales, value added, number of employees , etc. are used to describe  the affiliates’ activities. 
These variables are broken down by country of origin or destination of investments and also by type of primary 
activity.  From a GATS perspective, the size of mode 3 in a given country can be approximated through the 
sales of services by foreign-owned affiliates. 
13 Source: http://epp.eurostat.ec.europa.eu, choose  Economy and Finance, Balance of Payments, 
European Union Foreign Affiliates Statistics (Outward FATS). 
14 Source: http://epp.eurostat.ec.europa.eu, choose  Industry, trade and serv ices, Horizontal view, 
Special topics of structural business sta tistics, Foreign control of enterprises. WT/REG220/2 
Page 10  
 
  affiliates engaged in industry and services activ ities (excluding financial intermediation) doubled 
between 2003 and 2005 in Bulgaria and Romania. In  2005, they respectively represented €15.2 billion 
(80% of all foreign affiliates sales, compared to  70% in 2003) and €27.5 billion (82% compared to 
78 in 2003).  It appears that the majority of EC25 foreign affiliates sales  were of goods. In 2005, 
Bulgaria's main foreign affiliate owners a ccording to the share of sales generated by 
foreign-controlled companies, were from the Neth erlands (€4.9 billion), Austria (€2.5 billion), and 
Germany (€1.6 billion). For Romania, the main part ners were the Netherlands (€9.8 billion), France 
(€3.6 billion) and Germany (€3.6 billion).  In  2005, EC25 foreign affiliates employed some 
188,000 persons in Bulgaria and 436,000 in Romania. 
24. Available inward FATS of EC25 show that the sales of Bulgarian and Romanian owned 
foreign affiliates are negligible co mpared to the total sales of fore ign affiliates in the EC Member 
States. 
2. Foreign direct investment (FDI) 
25. Foreign direct investment (FDI) stocks have more than tripled in both Bulgaria (Chart I.2) and 
Romania (Chart I.3) in the 2003-06 period.  Eurostat's  indicator of Foreign Direct Investment intensity 
(the average per cent value of inward and outward  Foreign Direct Investment flows as a share of 
GDP, multiplied by 100), increased from 5.3 in 2003 to  9.0 in 2006 in Bulgaria , and from 3.3 in 2005 
to 4.8 in 2006 in Romania, compared to a rise fro m 1 to 1.8 in the EC 27.  Outward investment flows 
from the two new Member States remain very low, invested mainly in neighbouring countries. 
 
051015202530
2003 2004 2005 2006 2007Chart I.2
Foreign direct investment stock in Bulgaria, 2003-2007
 € billion 
Source: Eurostat.From EC 25 partners From non-EC 25 partners
 
  WT/REG220/2 
 Page 11 
 
 
  26. While the stock of inward FDI in both countries mostly originates in EC25 Member States, 
this stock has increased dramatically in 2004-2007  (Chart I.2).  The leading foreign investors in 
Bulgaria have been Austria (€2.2 billion on av erage over 2004-06, €5.3 billion in 2007), Greece 
(€0.8 billion, €2.2 billion in 2007), and the United Ki ngdom (€0.5 billion, and €2.1 billion in 2007).   
27. FDI stocks in Romania are mostly accounted for by EC25 partners;  the largest investors in 
Romania are Austria (with a stock of FDI of €7. 9 billion in 2006), followed by the Netherlands 
(€5.9 billion), and Germany (€3.5 billion). 
051015202530354045
2003 2004 2005 2006 2007Chart I.3
Foreign direct investment stock in Romania, 2003-2007
 € billion 
Source: Eurostat.From EC25 partners From non-EC25 partners
 
28. Investment in Bulgaria has b een the most dynamic component of aggregate demand following 
the decision in 2000 to join the European Union.  The increase in foreign direct investment (FDI) 
inflows to Bulgaria may also be attributed at  the microeconomic level to privatization and 
improvements in the regulatory framework and incen tive structure for foreign investors.  In recent 
years, the largest stocks of FDI in Bulgaria ha ve mainly been in services, notably transport, 
telecommunications, banking and wholesale trade (Table I.8).  The largest FDI positions in manufacturing are principally in refined petroleu m and metal products.  Agriculture accounted for 
marginal values of FDI during the same period.
15 
                                                      
15 WTO (2003), Trade Policy Review – Bulgaria, Geneva. WT/REG220/2 
Page 12  
 
  Table I.8  
Inward FDI stocks in Bulgaria, by  main sector of activity, 2003-06 
Euro millions  
 2003 2004 2005 2006 
Total  4,948 7,420 10,731 .. 
Total services  .. 4,460 6,736 .. 
Manufacturing  259 1,921 3,030 .. 
Transport, storage and communication  32 1,217 1,815 .. 
Telecommunications  455 1,059 1,635 .. 
Monetary intermediation  895 1,111 1,503 .. 
Wholesale trade  .. 1,069 1,462 .. 
Electricity, gas and water  74 737 489 .. 
Real estate  46 151 439 .. 
Business and management consultancy  238 296 406 .. 
Construction  68 140 327 .. 
Other financial intermediation  3 115 320 .. 
Business and management consultancy activities   .. 228 305 .. 
.. Not available. 
Source:  http://epp.euros tat.ec.europa.eu. 
 
29. The distribution of inward FDI stocks in  Romania remains more geared towards 
manufacturing than in EC25 countries on average, al though the share of FDI stocks in services sectors 
has increased from 45% of total FDI stocks in 2003 to 54% in 2006 (Table I.9).  The largest services 
sectors in terms of foreign direct investment in  2006 were banking and telecommunications.  The 
fastest growing services sector has been financial services.   
Table I.9  
Romania:  Inward FDI stocks by main sector of activity, 2003-06  
 2003 2004 2005 2006 
Total  9,662 15,040 21,884 34,494 
Total services  4,360 6,591 10,909 18,677 
Manufacturing  4,917 6,876 8,170 11,776 
Monetary intermediation  795 1,540 2,533 6,329 
Telecommunications  1,416 1,586 2,389 2,799 
Wholesale trade  .. .. 1,951 2,312 
Mining and quarrying  21 1,225 1,602 2,105 
Real estate  328 298 642 1,693 
Electricity, gas and water  66 83 916 1,268 
Other financial intermediation  20 62 469 1,037 
Retail trade  .. .. 619 999 
Trade and repair of motor vehicles  .. .. 709 896 
Construction  212 166 180 506 
Renting of machinery and equipment without operator  .. .. 282 429 
Transport and storage  .. .. 289 392 
.. Not available. 
Source:  http://epp.euros tat.ec.europa.eu. 
  WT/REG220/2 
 Page 13 
 
 
  II. CHARACTERISTICS OF THE ACT OF ACCESSION TO THE EUROPEAN UNION 
A. BACKGROUND INFORMATION  
1. Membership and dates of signature and entry into force  
30. The Treaty on the accession of the Republics of Bulgaria and Romania to the European Union 
was signed on 25 April 2005, and entered into force on 1 January 2007.16  The Act of Accession  
annexed to the Treaty of Accession sets out the cond itions of admission of the Republic of Bulgaria 
and Romania (the NMS2) and the acco mpanying adjustments to EC legislation.  Henceforth, under 
Article 2 of the Act of Accession, the provisions of the original treaties, mainly the Treaty establishing the European Community ("EC Treaty
"), and the Treaty on the European Union 
("EU Treaty "), became binding on Bulgaria and Romania.17   
2. WTO Notification  
(a) Goods 
31. The goods aspects of the Treaty of Accession w as notified to the WTO by the Parties on 
27 September 2006, under Article XXIV of the GATT 1994 and the Understanding on the 
Interpretation of Article XXIV of GATT 1994, as the enlargement of an existing Customs Union.18 
32. GATT Article XXIV foresees that interested Members having special rights under 
Article XXVIII (i.e. initial negotiating rights holde rs, principal suppliers and members having a 
substantial interest) may ask to enter into nego tiation for compensation with parties having entered 
into or amended a customs union, as was the case in th e successive rounds of EC enlargement, if this 
creation or amendment results in duty increases aff ecting those Members.  This process has been 
ongoing since 1994, when the EC15  communicated to the GATT Membership that it was willing to 
enter into Article XXIV negotiations following th e accession of Austria, Finland and Sweden.19  In 
this communication, the EC informed the Membership that, pending completion of its 
GATT Article XXIV procedures and the creation of a new schedule valid for the entire EC15, the 
tariff commitments in Schedule LXXX for the EC12, together with the comm itments resulting from 
the Uruguay Round, would be fully respected.  Meanwhile, in this communication the EC15 also 
announced the withdrawal of the tariff concessions in Schedule LXXX of the EC12, as well as those 
of Austria, Finland, and Sweden.20  This withdrawal became effective on 1 January 1995.   
                                                      
16 Treaty between the Kingdom of Belgium, the Czech Republic, the Kingdom of Denmark, the 
Federal Republic of Germany, the Republic of Estonia, the Hellenic Republic, the Kingdom of Spain, the French Republic, Ireland, the Italian Republic, the Republic of Cyprus, the Republic of Latvia, the Republic of 
Lithuania, the Grand Duchy of Luxembourg, the Republic of Hungary, the Republic of Malta, the Kingdom of 
the Netherlands, the Republic of Austria, the Republic of Poland, the Portuguese Republic, the Republic of 
Slovenia, the Slovak Republic, the Republic of Finland, the Kingdom of Sweden, the United Kingdom of 
Great Britain and Northern Ireland (Member States of the European Union) and the Republic of Bulgaria and 
Romania, concerning the accession of the Republic of Bulg aria and Romania to the Eu ropean Union.  Official 
information on this accession treaty was vi ewed at the following address:   
http://eur-lex.europa.eu/JOHtml.do ?uri=OJ:L:2005:157:SOM:EN:HTML 
17 consolidated version of thes e treaties can be viewed at:  
http://eur-lex.europa.eu/LexUriServ/site/e n/oj/2002/c_325/c_32520021224en00010184.pdf. 
18 WTO document  WT/REG220/N1, 2 October 2006. 
19 GATT document L/7614, 16 December 1994. 
20 Schedule XXXII-Austria, XX IV-Finland, and XXX-Sweden. WT/REG220/2 
Page 14  
 
  33. Subsequently, the EC15 proposed a new Schedule CXL in March 1996.
21  Reservations were 
raised by a number of Members, notably with r espect to the fact that the Schedule contained 
references to agricultural subsidy commitments (trigger prices).22  The certification procedures  
remain pending to date.  
34. In January 2004, the then EC15 notified the forthcoming enlargement to 25 Members, and 
informed the WTO Membership that, pending the completion of the Article XXIV and XXVIII 
GATT 1994 procedures and the creation of a new sch edule valid for the Eu ropean Communities of 
25, the commitments in Schedule CXL would be fully respected.  It also stat ed that the new members 
of the European Union would align their Schedules w ith the EC as of 1 May 2004.  The EC withdrew, 
through this communication, the tariff concessions c ontained in Schedule CXL of EC15, as well as 
the Schedules of the acceding WTO Members.23 This withdrawal became effective on 1 May 2004.  
Reservations were raised, including by Central Amer ican exporters of bananas, and the certification 
procedures remain pending to date.24 
35. In September 2006, the EC25 informed the WTO Membership of the accession of Bulgaria 
and Romania, indicating that both countries would be subject to the EC Schedule (without specifying 
which one) as of 1 January 2007.25  The EC withdrew through this communication the tariff 
concessions in Schedule CXXXIX of Bulgaria and LXIX of Romania.  This withdrawal became 
effective on 1 January 2007.  Reservations were ra ised again and the procedures remain pending to 
date. 
(b) Services 
36. The Treaty of Accession was notified to th e WTO's Council for Trade in Services under 
Article V:7 (a) of the General Agreemen t on Trade in Services in June 2007.26  Resulting from the 
enlargement of the European Communities to the Re public of Bulgaria and Romania and pursuant to 
Article V:5 of the GATS, and in accordance with th e terms of Article XXI:1(b) of the GATS, the 
European Communities and its Member States notified the Council for Trade in Services of the list of 
the modified commitments set out in the Bulgarian and Romanian GATS schedules.27  On December 
2007, eight delegations had identified themselves as be ing affected by the proposed modifications and 
hereby notified their claims of inte rest. The negotiations are still ongoing.  
3. Terminated agreements 
37. Until 1 January 2007, the basis for relations between the EC and Romania had been their 
Europe Agreement, signed on 1 February 1993, whic h entered into force on 1 February 1995.  The 
trade in goods provisions of that agreement came into force on 31 December 1993 through an Interim 
                                                      
21 WTO documents G/L/65, 14 March 1996;  G/L/65/Rev.1, 19 March 1996;  G/L/65/Rev.1/Add.1, 
10 April 1996;  G/L/65/Rev.1/Add.2, 21 October 1997;  G/L/65/Rev.1/Add.2/Corr.1;  10 February 1998;  
G/L/65/Rev.1/Add.3, 23 November 1998;  G/L/65/Rev.1/Add.4, 1 July 1999;  G/L/65/Rev.1/Add.5, 
22 February 2000. 
22 See for example WTO document G/AG/R/5, 5 July 1996. 
23 XCII-Czech Republic, CXLIV- Repub lic of Estonia, CVII - Republic of Cyprus, XLIII - Republic of 
Latvia, CL - Republic of Lithuania, LXXI - Republic of Hungary, CXVII - Republic  of Malta, LXV - Republic 
of Poland, XCVI - Republic of Slovenia, XCIII - Slovak Republic.   
24 See for example WTO document WT/GC/M/100,  27 March 2006. 
25 WTO document G/SECRET/26, 28 September 2006. 
26 WTO document S/C/N/397, 3 July 2007. 
27 WTO document S/SECRET/11, 30 October 2007.  The Schedules were for Bulgaria: GATS/SC/122; 
GATS/SC/122/Suppl.1; and GATS/SC/122/Suppl.2;  and for Romania: GATS/SC/72; and 
GATS/SC/72/Suppl.1.  WT/REG220/2 
 Page 15 
 
 
  Agreement, and were examined by the WTO Co mmittee on Regional Trade Agreements (CRTA) in 
2004.  In addition, the Europe Agreement cont ained provisions on political dialogue (Title I), 
movement of workers, establishment, supply of  services (Title IV), payments, capital, competition 
and other economic provisions, appr oximation of laws (Title V), economic cooperation (Title VI), 
cultural cooperation (Title VII), fi nancial cooperation (Title VIII), a nd institutional provisions (Title 
IX).   
38. Similarly, the Europe Agreement between Bulg aria and the EC was signed in March 1993 and 
entered into force in February 1995; it also c overed a large spectrum of issues including political, 
legal, and economic cooperation.  An Interim Agreement covering th e trade and trade-related aspects 
of the Europe Agreement had entered into force on 31 December 1993.  The Europe Agreement with 
Bulgaria was examined by the CRTA in 2003.   
39. Finally, the agreement governing trade betw een Bulgaria and Romania in 2006 was the 
Central European Free Trade Agreement (CEFTA).  Romania acceded to the CEFTA in 1997;  and 
Bulgaria in 1999.  Also, the two new Member St ates withdrew from or terminated a number of 
agreements that were not compatible with the Act of Accession.28 
4. Adoption of the a cquis  communautaire  in the area of trade policy 
40. According to Article 3 of the Act of Accession , the new Member States accede to the 
decisions and arrangements previously adopted by th e EU Council of Ministers, and they undertake to 
accede to all other agreements concluded by the present Member States relating to the functioning of the European Union or connected with the activiti es thereof.  Accordingly, Bulgaria and Romania 
apply, since 1 January 2007, all mu ltilateral, regional and bilateral ag reements concluded by the EC.  
These are listed in Table II.1. 
 
Table II.1 
European Communities:  Participation in other RTAs (n otified and non-notified in force), as of June 2009  
GATT/WTO Notification Partner/ 
Agreement Date of 
entry 
into force Type of 
agreement Year WTO Provision 
EC – Overseas Countries and Territorie s
(OCT) 01.01.71 Goods 1970 GATT Art. XXIV 
EC – Switzerland and Liechtenstein 01.01.73 Goods 1972 GATT Art. XXIV 
EC – Iceland 01.04.73 Goods 1972 GATT Art. XXIV 
EC – Norway 01.07.73 Goods 1973 GATT Art. XXIV 
EC – Syria 01.07.77 Goods 1977 GATT Art. XXIV 
EC – Andorra 01.07.91 Goods 1998 GATT Art. XXIV 
European Economic Area (EEA) 01.01.94 Services 1996 GATS Art. V 
EC – Turkey 01.01.96 Goods 1995 GATT Art. XXIV 
EC – Faroe Islands 01.01.97 Goods 1997 GATT Art. XXIV 
EC – Palestinian Authority 01.07.97 Goods 1997 GATT Art. XXIV 
EC – Tunisia 01.03.98 Goods 1999 GATT Art. XXIV 
EC – South Africa 01.01.00 Goods 2000 GATT Art. XXIV 
Table II.1 (cont'd)  
                                                      
28 A list of the agreements terminat ed as a result of the enlargement of the EC from 25 Member States 
to 27 Member States can be found in WTO document WT/REG/GEN/N/4, 2 March 2007. WT/REG220/2 
Page 16  
 
  GATT/WTO Notification Partner/ 
Agreement Date of 
entry 
into force Type of 
agreement Year WTO Provision 
EC – Morocco 01.03.00 Goods 2000 GATT Art. XXIV 
EC – Israel 01.06.00 Goods 2000 GATT Art. XXIV 
EC – Mexico 01.07.00 Goods 2000 GATT Art. XXIV 
EC – Mexico 01.10.00 Services 2002 GATS Art. V 
EC – FYROM 01.06.01 Goods 2001 GATT Art. XXIV 
EC – Croatia 01.03.02 Goods 2002 GATT Art. XXIV 
EC – Jordan 01.05.02 Goods 2002 GATT Art. XXIV 
EC – Chile 01.02.03 Goods 2004 GATT Art. XXIV 
EC – Lebanon 01.03.03 Goods 2003 GATT Art. XXIV 
EC – Egypt 01.06.04 Goods 2004 GATT Art. XXIV 
EC – Chile 01.03.05 Services 2005 GATS Art. V 
EC – Algeria 01.09.05 Goods 2006 GATT Art. XXIV 
EC – Albania 01.12.06 Goods 2007 GATT Art. XXIV 
EC – Montenegro 01.01.08 Goods 2008 GATT Art. XXIV 
EC – Bosnia and Herzegovina  01.07.08 Goods 2008 GATT Art. XXIV 
EC – CARIFORUM STATES 01.11.08 Goods & Serv ices 2008 GATT Art. XXIV & GATS Art. V 
EC – Côte d'Ivoire  01.01.09 Goods 2009 GATT Art. XXIV 
EC – San Marino 01.12.92 Goods Not notified 
Source: WTO Secretariat. 
 
5. Coverage of the Act of Accession, scope and definitions 
41. The legislation on accession is composed of two main parts that largely repeat each other, a 
Protocol of Accession  followed by the Act of Accession  (Table II.2).  The Act (as well as the 
Protocol) sets out principles and definitions, and spec ifies those conventions and agreements (listed in 
Annexes to both the Protocol and the Act) that have become binding on the NMS2 as a result of 
accession.29  The Act also specifies those trade agreemen ts with third countries that become binding 
on the NMS2.  
Table II.2 
Legislation on the Accession of  Bulgaria and Romania (the NMS2) to the European Union  
Document/section Subject Provisions concerning trade in goods and services 
Protocol Concerning the Conditions and Arrangements for Admission  of the Republic of Bulgaria and Romania to the European 
Union  
Part One (Articles 1-9) Principles and definitions Tr ade agreements, fisheries, textiles, clothing, steel 
Part Two (Articles 11-15) Adjustments to the 
Constitution Institutional adjustments by Member States 
Part Three (Articles 16-19) Permanent Provisions Legal amendments 
Part Four (Articles 20-42) Temporary  Pr ovisions Pre-accession assistance measures 
Part Five (Articles 43-62) Implementati on provisions Setting up of institutions a nd bodies, amendments to legislation 
Annex I  Conventions and protocols   
Annex II Schengen acquis  
Annex III Adaptations to acts Industrial property rights, agricultura l policy, transport policy, taxation 
Annex IV Adaptations to acts  Agricultural, veterinary and phyto-sanitary legislation 
Table II.2 (cont'd) 
                                                      
29 http://eur-lex.europa.eu/LexUriServ/LexUri Serv.do?uri=OJ:L:2005:157:0029:0045:EN:PDF.  WT/REG220/2 
 Page 17 
 
 
  Document/section Subject Provisions concerning trade in goods and services 
Annex V Other permanent provisions Company law, competition policy, agriculture, customs union 
Annex VI (incl. appendix on 
milk and meat producing 
establishments) Transitional measures, 
Bulgaria Freedom of movement for persons;  freedom to provide services; free 
movement of capital; agriculture; tr ansport policy; taxation; social 
policy and employment; Energy;  te lecommunications and information 
technology;  Environment;   
Annex VII (incl. appendix 
on milk and meat producing establishments) Transitional measures, 
Romania Freedom of movement for persons;  freedom to provide services; free 
movement of capital; Competition policy, Steel restructuring; 
agriculture; transport policy; taxa tion;  Energy;  Environment;   
Annex VIII  Rural development Temporary additional ru ral development measures; investment 
support;  early retirement support. 
Annex IX Specific commitments by 
Romania Steel, border controls, fight agains t corruption and crime, judiciary 
reform competition policy 
Act Concerning the Conditions of Accession of the Republic of Bu lgaria and Romania and the Adjustments to the Treaties on 
Which the European Union is Founded  
Part One (Articles 1- 8) Principles Trade ag reements, fisheries, textiles, clothing, steel 
Part Two (Articles 9-19) Adjustments to the Trea ties Institutional adjustments by Member States 
Part Three (Articles 20-22) Permanent Provisions Legal amendments 
Part Four (Articles 23-42) Temporar y  Provisions Temporary  Provisions 
Part Five (Articles 43-62) Implementati on  provisions Setting up of institutions and bodies, amendments to legislation 
Annex I  Conventions and protocols    
Annex II Schengen acquis  
Annex III Adaptations to acts Industrial property right s, agricultural policy, transport policy, taxation 
Annex IV Adaptations to acts  Agricultural,  veterinary and phyto-sanitary legislation 
Annex V Other permanent provisions Company law,  competition policy, agriculture, customs union 
Annex VI (incl. appendix on 
milk and meat producing 
establishments) Transitional measures, 
Bulgaria Freedom of movement for persons;  freedom to provide services; free 
movement of capital; agriculture; tr ansport policy; taxation; social 
policy and employment; Energy;  te lecommunications and information 
technology;  Environment;   
Annex VII (incl. appendix 
on milk and meat producing 
establishments) Transitional measures, 
Romania  Freedom of movement for persons;  freedom to provide services; free 
movement of capital; Competition policy, Steel restructuring; 
agriculture; transport policy; taxa tion;  Energy;  Environment;   
Annex VIII  Rural development Temporary additi onal rural development measures;  investment 
support;  early retirement support. 
Annex IX Specific commitments by 
Romania Steel, border controls, fight agains t corruption and crime, judiciary 
reform competition policy 
Final Act Text of the Final Act  
Source:  Official Journal of the European Union , L 157 Volume 48, 21 June 2005, English version, viewed at:  
 http://eur-lex.europa.eu/JOHtml.d o?uri=OJ:L:2005:157:SOM:EN:HTML. 
42. No overall implementation period is  explicitly stipulated in the Act of Accession.  However, 
transition periods are provided for certain provisi ons, for example with resp ect to the issues of the 
freedom of movement of workers and the freedom  to provide services involving temporary movement 
of workers.  These transitional arrangements are li mited in time and scope.  The Act of Accession is 
of an indefinite duration and does not contain any withdrawal  or termination clauses.   
43. Although the Act of Accession does not contain defini tions of natural or juridical persons of a 
Member State, in the EC Treaty, such definitions ar e part of the scope of application of the Treaty's 
provisions: Chapter 2 of Title III (Right of establishment), including Article 43 (Freedom of 
establishment) enables EC economic operators (whe ther a natural person who is a national of a 
Member State or a juridical person of a Member State) to carry on an economic activity in one or more Member States.  Juridical persons of a Member State are either EC nationals, or companies formed in accordance with the law of a Member State and having their registered office, central 
administration or principal place of business within the European Community.  The nationality of the 
person owning or controlling a juridical person does not play any role in the determination of the 
origin of a juridical person under the Treaty.   
44. Products covered by the Act of Accession ar e those originating in Member States 
(including Bulgaria and Romania since 1 January 2007)  as defined in the EC's legislation on rules of WT/REG220/2 
Page 18  
 
  origin (see below), as well as products from third c ountries after having entered one of the Members 
of the Union.
30  The EC Treaty (Title I, Chapter 1), and corresponding EC legislation on rules of 
origin (see below), stipulate their free circulation. 
45. Services covered by the Act of Accession and the EC Treaty are those provided the 
Community by EC economic operators.  Freedom of investment in the Community is provided by 
Chapter 2 of Title III of the EC Treaty ("Right of  establishment"), including Article 43 ("Freedom of 
establishment"), which enables EC economic operato rs to carry on an economic activity in one or 
more Member States. 
III. EFFECTS OF ACCESSION ON TRADE IN GOODS 
A. CHANGES IN IMPORT MEASURES  
1. Overview 
46. The effects of Accession on trade are two-fold:  internal to the EC market, affecting the 
conditions of trade among the EC25, Bulgaria and Ro mania; and external, affecting the conditions of 
trade of the new EC Member States with third count ries.  The internal changes have resulted from the 
removal of all remaining duties and charges, and other quantitative restrictions to merchandise trade 
within the enlarged customs union.  The external changes to the cu stoms union resulted from the fact 
that Bulgaria and Romania abolished their indi vidual trade regimes to incorporate the EC's 
Commercial Policy, including the Customs Code of the European Communities, and its Common External Tariff.
31  This has affected trade, mainly with neighbouring countries including those with 
whom Bulgaria and Romania had preferential arra ngements that were replaced by the EC trade 
regime.32 
2. Tariff liberalization among the Parties 
47. All tariffs and tariff quotas have been eliminated in internal trade.  Th is constituted substantial 
internal liberalization, as prior to accession the EC had maintained tariff rate quotas (TRQs) on 
imports from Bulgaria and Romania and vice versa;  and the latter maintained TRQs on imports from 
each other under the CEFTA. 
(a) The EC's elimination of tariffs and tariff rate quotas 
48. The EC tariff schedule applicable to imports  from Bulgaria and Romania in 2006, under the 
respective Europe Agreements, was not duty-free (Tab le III.1).  On imports from Bulgaria, in 2006 
600 tariff lines or 6.27% of total tariff lines were still dutiable.  Most of these duties (that were 
eliminated after accession) were applied to prep ared agri-food and live animals and animal products 
(HS sections IV and I).  For example, wines were dutia ble at rates of up to €32 per hectolitre,  dairy 
products at rates of up to €221 per 100 kg, prepared foods at rates of €303 per 100 kg on corned beef,  
12.8+ 303.4 EUR/100 kg on boneless beef, and there were high duties on mushrooms 
(18.4%+ 222 EUR/100 kg), and tobacco (up to 52%). 
                                                      
30 See the website of the European Commission at: 
http://ec.europa.eu/taxation_customs/ customs/customs_duties/rules_origin /preferential/article_783_en.htm. 
31 Council Regulation (EEC) No 2913/92 of 12 October 1992 establishing the Community Customs 
Code, viewed at the following website: 
http://eur-lex.europa.eu/Lex UriServ/LexUriServ.do?uri= CELEX:31992R2913:EN:HTML 
32 The general incidence calculations, under paragraph 5(a) of Article XXIV, of the EC-27 common 
external tariff prepared by the WTO Secretariat has been circulated in WTO document, WT/REG220/3.  WT/REG220/2 
 Page 19 
 
 
  Table III.1 
EC25 Tariff elimination following accession of Bul garia and Romania and corresponding average trade  
Duty phase-out period  Number  
of lines % of total lines in 
the EC's Tariff 
Schedule Value of EC imports 
from Bulgaria/Romania 
(€ million) 
2004-2006 % of total EC imports 
from Bulgaria/Romania
2004-2006 
EC imports from Bulgaria     
Duty free in 2006 9,242 93.9 4,962.6 96.6 
Dutiable in 2006 600 6.1 173.7 3.4 
Duty free on 1 January 2007 9,842 100.0 5,136.3 100.0 
EC imports from Romania     
Duty free in 2006 8,995 91.4 14,067.4 99.0 
Dutiable in 2006 847 8.6 139.6 1.0 
Duty free on 1 January 2007 9,842 100.0 14,207 100.0 
Source:  WTO Secretariat estimates based on data provided by the EC. 
 
49. Similarly, most of the 847 EC duties on imports  from Romania that were eliminated after 
accession were found in wine (up to €32/hl), live animals and animal products (such as corned beef 
(16.6%), anchovies (15%), sardines (22.2%), dairy (e.g. milk powder, up to €2.2/kg), cereals, but also 
tobacco (up to 75%) and sorbitol. 
50. In addition to tariffs, the EC also maintain ed tariff rate quotas (TRQs) on imports from 
Bulgaria and Romania, which provided duty-free access for a certain volume, exceeding which the 
MFN tariff applied.  In the case of Bulgaria, a to tal of 167 tariff lines were affected by TRQs on 
imports, under several decisions or regulations, including under Council Regulation N° 1676/2004.  
Those maintained under this Regula tion are presented in (Table AII.1).33 These were eliminated as a 
result of accession on 1 January 2007. 
51. Prior to 2007, the EC also maintained TRQs  on imports of processed agricultural products 
from Romania, corresponding to 176 tariff lines.  These were eliminated as a result of accession on 1 
January 2007. 
(b) Bulgaria's elimination of tariffs and tariff rate quotas 
52. Bulgaria's import regime vis-à-vis  the EC was, prior to accession, defined by their Europe 
Agreement;  the corresponding tariff schedule in 2006 comprised 987 dutiable tariff lines (out of 10,043 lines) at the HS 9-digit level, all covering food  products (Table III.2).  Most of the duties that 
were eliminated as a result of accession were found in meat and dairy, fruit and vegetables, cereals, 
prepared food, wines and tobaccos.  For exampl e hams and shoulders of  pork (HS 020322110) were 
subject to duties of 40% or €622/ tonne, whichever was higher. Cucumbers (HS 070700051) were subject to duties of 80% + €378/tonne.  Wine in containers of over 2 litres (HS 220890380) was 
subject to duties of €0.75 per litre of pure alcohol plus €4.5 per hectolitre, but not less than 40%.  
Table III.2 
Bulgaria's tariff elimination commitments under the Agreement and corresponding average trade  
Duty phase-out period Number
of lines% of total lines in 
the Bulgaria's Tarif f 
ScheduleValue of Bulgaria's
imports from 
EC/Romania
(€ million)
2004-2006% of total EC imports 
from EC/Romania
2004-2006
Bulgaria's imports from EC 
Duty free in 2006 9,056 90.2 5,752.5 97.3
Dutiable in 2006 987 9.8 160.8 2.7
Table III.2 (cont'd)
                                                      
33 Commission Regulation (EC) No 1678/2004 of 24 September 2004, OJ L 301, 28 September 2004.   WT/REG220/2 
Page 20  
 
  Duty phase-out period Number
of lines% of total lines in 
the Bulgaria's Tarif f 
ScheduleValue of Bulgaria's
imports from 
EC/Romania
(€ million)
2004-2006% of total EC imports 
from EC/Romania
2004-2006
Duty free on 1 January 2007 10,043 100.0 5,913.2 100.0
Bulgaria's imports from Romania 
Duty free in 2006 9,436 94.0 442.4 99.0
Dutiable in 2006 607 6.0 4.5 1.0
Duty free on 1 January 2007 10,043 100.0 446.9 100.0
Source:  WTO Secretariat estimates based on data provided by the EC. 
 
53. Under the CEFTA, Bulgaria also levied duties on 607 lines for imports from Romania, albeit 
at generally lower rates.  These duties, were  in Chapters 20, 21, and 22 (fruit and vegetable 
preparations, other food preparations, wines), and up to 55% on certain wines (Table III.2 resulting in 
substantial liberalization after accession. 
54. Bulgaria's TRQ system comprising some 72 pr oduct groups, also applied to imports from the 
EC prior to accession.34  Certain of the volumes under these TRQs were largely reserved for the EC, 
such as those on frozen bovine carcasses, fr esh cheese, rice, or prepared meat.35  In the context of the 
Europe Agreement, TRQs for imports of processed  agricultural products from the EC have been 
gradually abolished since 2002.   
55. Bulgaria's trade regime with Romania also pr ovided for TRQs prior to 2007, in place on some 
16 items imported from Romania, in Chapters 04, 07, 15, 20 and 22.   
(c) Romania's elimination of tariffs and tariff rate quotas 
56. Romania's import regime vis-à-vis  the EC25 was, prior to accession, defined by their Europe 
Agreement.  The corresponding tariff schedule in 2006 comprised 1,289 dutiable tariff lines at the 
8-digit level (out of a total of 9,512 lines).  Tabl e III.3 shows duty elimination in terms of tariff lines 
and trade, as applied by Romania to the EC.  Most of the duties that were eliminated after accession 
were also in the agri-food sector:  rates of up to 333% on hams and pork cuts , up to 248% on milk and 
cream products, 140% on flowers, 240% on durum wheat and other cereals, 170% on fructose, and 
high rates also on nuts (88%), wines (60%) and tobacco  (242%). In addition, duties were also levied 
on products such as chemicals and steel products (20%).  
Table III.3 
Romania's tariff elimination commitments under the Agreement and corresponding average trade  
Duty phase-out period  Number 
of lines% of total lines 
in the 
Romania's 
Tariff ScheduleValue of Romania imports from 
Bulgaria/EC 
(€ million) 
2004-2006 % of total Romanian 
imports from 
Bulgaria/EC 
2004-2006 
Romania's imports from Bulgaria     
Duty free in 2006 8,082 85.0 271.72 88.3 
Dutiable in 2006 1,430 15.0 36.03 11.7 
Duty free on 1 January 2007 9,512 100.0 307.76 100.0 
Romania's imports from EC     
Duty free in 2006 8,223 86.4 13,751 90.2 
Dutiable in 2006 1,289 13.6 1,493.17 9.8 
Duty free on 1 January 2007 9,512 100.0 15,244.2 100.0 
Source:  WTO Secretariat estimates based on data provided by the EC. 
                                                      
34 WTO document G/AG/N/BGR/11, 14 June 2004.  See also WTO(2003), Trade Policy Review – 
Bulgaria. 
35 WTO document G/AG/N/BGR/1, 2 February 2000.  WT/REG220/2 
 Page 21 
 
 
  57. Romania also maintained tariff rate quotas (T RQs) on EC imports on about 300 tariff lines, 
mostly in HS Chapters 02, 04, 18, 19, and 22.   Hence for many products imported from the EC, 
Romania's duty-free treatment was for specified volumes of imports.36   
58. Romania's import regime vis-à-vis  Bulgaria was, prior to accession, defined by the CEFTA, 
which Romania had joined in 1999;  in its tariff schedule, there remained in 2006 1,430 dutiable tariff 
lines, also at the 8-digit level (Table III.3), or 13.6% of total lines and 98% of total imports.  These 
lines covered industrial as well as agri-food products.  Finally, Romania also maintained TRQs on 
imports from Bulgaria in 2006, that were eliminated upon enlargement.   
3. Import liberalization towards third parties 
(a) Import liberalization by Bulgaria and Romania   
59. Substantial import liberalization has resulted from enlargement, as Bulgaria and Romania's 
relatively more protective national tariff regimes vis-à-vis  third parties were replaced on 1 January 
2007 by the EC's Common External Tariff (CET).  The number of duty-free lines increased from 480 lines in the 2006 Romanian tariff (or 5% of all lin es), and 1,201 in the Bulgarian tariff (12% of all 
lines), to 2,379 lines under the EC 2007 tariff (or 24.5% of all lines).  On the other hand, while 
Romania's 2006 tariff was entirely ad valorem , and Bulgaria had only 381 non- ad valorem  tariffs;  the 
number of non- ad valorem  lines (including specific, compound and mixed duty rates) has increased to 
985 in the EC 2007 tariff, or over 10% of all lines, with a corresponding loss of transparency. 
60. As can be seen from Table III.4, the changes in Bu lgaria's market access are substantial, with 
the average tariff declining by nearly one half to  7%.  Tariff reductions are substantial across all 
sectors, and involve the elimination of many tari ff peaks (above 15%), notably in agri-food sectors, 
and in textiles, clothing and footwear.  The sector  with the largest imports from third countries – 
machinery – recorded a reduction in the average ta riff of nearly a third, from 6.6% to 2.5%. 
 
Table III.4 
Bulgaria: MFN tariffs before and after accession, by HS section  
2006 2007 MFN 
average 
% Value of imports 
million €  
average 2004-06 
From HS section and description  
No. of 
Lines Duty-
free NAVa No. of 
Lines Duty-
free NAV 2006b 2007c EC25 R.O.Wd 
I Live animals and animal 
products 822 50 167 803 78 357 22.5 22.7 70.6 98.1 
II Vegetable products 585 51 35 531 125 170 19.0 15.4 72.5 91.6 
III Animal or vegetable fats 
and oils 125 7  124 21 10 12.2 9.3 26.4 12.3 
IV Prepared food etc. 842 4 178 834 93 389 30.0 17.6 180.4 150.8 
V Minerals 249 107  244 158 3 3.2 1.0 171.4 605.9 
VI Chemical and products 1,320 120 1 1,272 341 27 7.0 4.4 710.1 248.6 
VII Plastics and rubber 360 29  351 67  9.0 4.7 442.4 178.9 
VIII Hides and skins 155 36  150 43  6.2 3.0 9.8 13.1 
IX Wood and articles 188 60  213 99  7.3 2.3 64.3 33.2 
X Pulp, paper etc. 224 75  220 220  7.6 0.0 175.2 66.8 
XI Textile and textile articles 1,242 45  1,190 45 1 16.4 7.9 175.0 165.2 
XII Footwear, headgear 111   113 2  16.9 8.0 14.3 41.8 
XIII Articles of stone 261 1  258 34 8 13.3 4.0 150.6 86.9 
XIV Precious stones, etc. 65 43  63 48  3.6 0.7 1.7 3.3 
Table III.4 (cont'd) 
                                                      
36 A list of the tariff quotas applied by Romania to the EC in 2006, which were subsequently abolished 
as a result of accession, is provided in WTO(2005), Trade Polic y Review - Romania. WT/REG220/2 
Page 22  
 
  2006 2007 MFN 
average 
% Value of imports 
million €  
average 2004-06 
From HS section and description  
No. of 
Lines Duty-
free NAVa No. of 
Lines Duty-
free NAV 2006b 2007c EC25 R.O.Wd 
XV Base metals and  
products 1,001 189  999 511  7.3 1.9 525.8 555.4 
XVI Machinery 1,554 256  1,477 305  6.6 2.5 1,549.9 906.1 
XVII Transport equipment 314 19  287 32  6.9 4.7 1,347.2 304.6 
XVIII Precision equipment 360 99  339 90 20 4.9 2.5 118.8 83.8 
XIX Arms and ammunition 28 1  27 5  7.0 2.2 0.0 0.0 
XX Misc. manufactured 
articles 230 2  218 55  10.8 2.6 106.5 65.9 
XXI Works of art, etc. 7 7  7 7  0.0 0.0 0.2 0.1 
Total 10,043 1,201 381 9,720 2,379 985 12.3 7.0 5,913.2 3,712.4 
 
a NAV:  non- ad valorem  rates;  for tariff lines with ad valorem  equivalents, these are included in the calculation of the tariff 
averages. 
b Under Bulgaria's 2006 national MFN applied tariff.   
c Under the EC's 2007 tariff;   
d ROW:  Rest of World.  
Source:  WTO estimates based on data provided by the EC authorities/ WTO-IDB Section. 
 
61. Excluding the non- ad valorem  rates (381 out of 10,043 lines), Bulgaria's 2006 tariff contained 
12% of duty-free lines; under the EC 2007 tariff, th is share has increased to 27% (Chart III.1.  
Similarly, the share of (non-duty-free) rates be low 10% has increased from 47% to 60.4%.  And the 
number of higher duties has decreased substantially.  Table AII.2 shows the change in tariffs on some 
of those products that carried the highest ra tes when imported into Bulgaria in 2006. 
Chart III.1 Percentage share of ad valorem tariff lines per tariff range
-10.020.030.040.050.060.070.0
Duty-free 0 < rate ≤ 10 10 < rate ≤ 15 15 < rate ≤ 20 20 < rate ≤ 50 Above 50Share of total linesRomania MFN 2006
Bulgaria MFN 2006
EC MFN 2007
Source: WTO Secretariat, based on data from European Commission and WTO-IDB Section.
 
62. Romania's national tariff regime vis-à-vis  third parties was also replaced on 1 January 2007 
by the EC's CET.  As can be seen from Table III.5,  the changes in Romania' s market access were also 
substantial:  protection of the agri-food sector has been  more than halved;  most other sectors recorded 
tariff reductions of close to 70%; and the machinery sector, where total Romanian imports were the  WT/REG220/2 
 Page 23 
 
 
  largest in 2004-06, has seen its tariff protecti on decrease from 13.2% to 2.5%.  Romania's MFN 
import duties for clothing and textiles have dropped a full 14% to between 6% and 8%. 
Table III.5 
 Romania: MFN tariffs before and after accession, by HS section  
2006 2007 MFN 
average % Value of imports 
million €  
average 2004-06 HS section and description 
No. of 
Lines Duty-
free No. of 
Lines Duty-
free NAV 2006a 2007b From 
EC25 From Rest 
of world 
I Live animals and products 470 1 803 78 357 133.4 22.7 340.26 234.81 
II Vegetable products 543  531 125 170 69.6 15.4 224.59 272.30 
III Animal / vegetable fats, oils 125  124 21 10 86.6 9.3 29.94 28.12 
IV Prepared food etc. 834  834 93 389 145.8 17.6 480.80 392.05 
V Minerals 247 25 244 158 3 5.8 1.0 349.27 4,017.59 
VI Chemical and products 1,285 108 1272 341 27 18.3 4.4 1,841.92 569.82 
VII Plastics and rubber 351 4 351 67  19.0 4.7 1,229.87 364.23 
VIII Hides and skins 155  150 43  34.3 3.0 101.84 34.21 
IX Wood and articles 188 2 213 99  11.1 2.3 222.67 48.92 
X Pulp, paper etc. 224 4 220 220  12.9 0.0 470.69 85.87 
XI Textile and textile article s 1,228  1190 45 1 26. 5 7.9 442.85 300.94 
XII Footwear, headgear 111  113 2  24.5 8.0 51.74 82.49 
XIII Articles of stone 251 1 258 34 8 14.7 4.0 443.76 135.20 
XIV Precious stones, etc. 63  63 48  10.9 0.7 - - 
XV Base metals and  products 998 65 999 511  15.7 1.9 1,590.74 810.33 
XVI Machinery 1,537 216 1477 305  13.2 2.5 4,191.44 1,957.24 
XVII Transport equipment 280 4 287 32  25.3 4.7 2,562.54 625.12 
XVIII Precision equipment 357 50 339 90 20 11.4 2.5 338.37 196.43 
XIX Arms and ammunition 28  27 5  10.0 2.2 - - 
XX Misc. manufactured articles 230  218 55  17.0 2.6 330.89 140.74 
XXI Works of art, etc. 7  7 7  3.0 0.0 - - 
Total 9,512* 480 9,720 2,379 985 37.4 7.0 15,244.19 10,296.40 
 
a Under Romania's 2006 national tariff. b Under the EC's 2007 tariff;  for tariff lines with ad valorem  equivalents, these are included in the calculation of the tariff 
averages. 
- No imports * Includes 105 missing tariff lines. 
 
Source: WTO estimates based on data provided by the EC authorities. 
 
63. Romania's 2006 tariff contained only ad valorem  rates.  Only 5% of all rates were duty-free, 
and a large proportion (56%) of tariffs exceeded 15% (Chart III.1).  Over 1,300 tariff lines (14% of 
the total) carried rates of over 50%;  Table AII.3 shows the changes in some of these rates as a result 
of enlargement.   
(b) Import liberalization by the EC25 
64. No major change has taken place in the EC's  CET as a result of accession.  The EC has 
indicated that tariff decreases occurred for about 20 tariff lines as a result of NMS2 negotiations;  and 
that no tariff increase has occurred. As indicated in  Annex I, the average MFN EC tariff has remained 
unchanged between 2006 and 2007, while the averag e of dutiable (i.e. non-duty-free rates) has 
declined from 9.4% to 9.3%.  The share of duty-fr ee lines decreased from 25.2% of all lines to 24.5%, 
mostly because of the change to the HS2007 Nome nclature which led to an increase in the total 
number of tariff lines.  
65. Pending the finalization of the negotiations  provided for in GATT Article XXIV.6 
(see above), the duties and charges under the existin g CET have been extended to the new Member 
States.  Because of the high number of non- ad valorem  tariff rates in the EC tariff (985 lines or over 
10% of total lines), and because of the change in HS nomenclature that occurred in 2007, it was not 
possible to ascertain for which tariffs, if any, the rate has increased as a result of enlargement.   WT/REG220/2 
Page 24  
 
  66. Certain changes were made to the EC tariff ra te quota (TRQs) regimes to facilitate accession 
of the NMS2, with changes in in-quota volumes and in-quota duties.
37  For example in the case of 
sugar, additional transitional tariff quotas are to  be applied until the e nd of September 2009 to 
specified refiners supplying to Bulgaria and Roma nia in order to avoid disruption of such supplies.38  
The amount of the import duty applicable to impor ts under the TRQs was fixed at a level which 
"ensures fair competition" in the Community's sugar market, but is not prohibitive for imports into 
Bulgaria and Romania.39  
67. Also, so as not to disrupt imports into Bulgar ia and Romania of strawberries, chards and 
cardoons originating in Switzerland under preferen tial trade arrangements between Switzerland, 
Bulgaria and Romania, an additional duty-free TRQ volume for each of these products was opened 
for Switzerland until 2009.40   
4. Rules of origin 
68. The Act of Accession does not contain any provisi ons on rules of origin as such.  As a result 
of accession, however, imports from third (non-EC) countries by Bulgaria and Romania have ceased 
to be made subject to the latter's national rules, which were abolished, but became instead subject to 
EC rules of origin.41 
69. The EC Treaty  (Title I, Chapter 1), and corresponding EC legislation on rules of origin, 
stipulate the free circulation of products origin ating in Member States (including Bulgaria and 
Romania since 1 January 2007), and of products co ming from third countries after having entered one 
of the Members of the Union.42  The EC's non-preferential rules of origin are contained in Articles 22 
to 26 of Council Regulation No. 2913/92; they determ ine whether a product is considered to originate 
in a Member State or in third countries.43 
70. The EC's preferential rules of or igin are used to determine the origin of products traded under 
one of its preferential regimes;  these rules are contained mainly in Commission Regulation (EC) 
No 2454/93 of 2 July 1993, as well as in individua l agreements with preferential trading partners.44   
71. With respect to non-agricultural products in pa rticular, since January 1997, both  Bulgaria and 
Romania had been participating with the EC and with EFTA countries in the System of European 
                                                      
37 According to the EC these changes were made due to the great dependency of Bulgarian and 
Romanian full time refiners on traditional sour ces of raw cane sugar from third countries. 
38 Regulation (EC) 1832/2006, and Regulation (EC)508/2007, viewed at  
http://eur-lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=OJ:L:2007:122:0001:01:EN:HTML 
39 For each of the marketing years 2007/2008 and 2008/2009, tariff quotas for a total of 528,384 tonnes 
(Bulgaria:  198,748 tonnes, Romania: 329,636 tonnes) in white sugar equivalent for the import from any 
third country of raw cane sugar for refining falling within HS code 17011110 at a duty of EUR 98 per tonne. 
40 Decision n°2/2008 of the Joint Committee on agriculture set up by the agreement between the EC 
and the Swiss confederation on trade in ag ricultural products, OJ L228 of 27.8.2008,  viewed at  
http://eur-lex.europa.eu. 
41 Romania's notified its non-preferential rules of origin legislation to the WTO in 1995;  and Bulgaria 
in 1997 (WTO document G/RO/N/1/Add.1, 22 June 1995 and WTO document G/RO/N/17, 10 April 1997). 
42 See the website of the European Commission at: 
http://ec.europa.eu/taxation_customs/ customs/customs_duties/rules_origin /preferential/article_783_en.htm. 
43 These regulations can be viewed at the following address: 
http://eur-lex.europa.eu/LexUriServ/LexUriServ .do?uri=CONSLEG:1992R2913:20070101:EN:PDF 
44 These regulations can be viewed at the following address: 
http://eur-lex.europa.eu/LexUriServ/LexUriServ .do?uri=CONSLEG:1993R2454:20080101:EN:PDF  WT/REG220/2 
 Page 25 
 
 
  Cumulation of Origin.45  Accordingly, both Bulgaria and Romania already applied prior to accession 
the same rules to all the regional trading partners included in the system, and these rules were already 
fully aligned with those of the EC.  Thus, it is unlikely that accession has brought major regulatory 
changes regarding rules applied in practice to Bu lgarian or Romanian imports of non-agricultural 
products from most European and Mediterranean third countries.46   
72. Changes may however have occurred in access by suppliers from other countries.  For 
example, while Romania had not notified UNCTAD of any Generalised System of Preferences (GSP) Scheme, Bulgaria's GSP scheme , based on regional value, differed from the EC GSP scheme.
47   
B. REGULATORY CHANGES RESULTING FROM ACCESSION  
1. Technical regulations, including sanita ry and phytosanitary (SPS) requirements 
73. Under Article 249 of the EC Treaty , any regulation, including all technical regulations, shall 
have general application. It sha ll be binding in its entirety and di rectly applicable in all Member 
States. Moreover, in accordance with the "Cassis de Dijon Principle", products meeting the 
requirements of one country within the EC can freely move between Member States, unless specifically exempted by recourse to Articles 28-30 of the EC Treaty.  Under the Act of Accession
, 
the NMS2 must put into effect the measures necessary for them to comply, from the date of accession, 
with the provisions of directives and decisions w ithin the meaning of Article 249 of the EC Treaty , 
unless another time-limit is provided for.  
74. The Act of Accession  foresees transitional arrangements in veterinary, phytosanitary and food 
safety rules, which the Commission can take during a period of three years after accession. These measures aim to prevent, for example, non-complia nt food establishments from selling their products 
in the internal market during the transitional pe riod. During this period, such establishments are 
allowed only to produce goods bearing a specific la bel and only for the national market. After the 
transition period, they have to comply with the EC rules or close down.  These measures apply mainly to meat, poultry and milk and milk producing establishments (see Annex VII to the Act). 
75. In practice, compliance with EC sanitary and ph yto-sanitary requirements has been one of the 
main challenges for Bulgaria and Romania: In its monitoring report on the state of preparedness for 
EC membership of Bulgaria and Romania, issued in September 2006, the EC Commission reported that neither countries complied with several aspect s of the Community's food safety regime, notably 
the acquis on classical swine fever and tran smissible spongiform encephalopathies (TSE).
48  A list of 
Bulgarian and Romanian agri-food establishments which were not allowed to sell their products in the 
other Member States during a period of three y ears was set up, based on transitional measures 
provided for in Article 42 of the Act of Accession.  These establishments are subject to regular review 
with the aim of establishing compliance.  In add ition, specific transitional measures based on the Act 
of accession may be adopted in the milk sector due to the discrepancy between the treatment capacity 
                                                      
45 WTO document WT/REG1/N/1, 20 August 1998. Bu lgaria again notified its  preferential rules of 
origin (applied to the EC, EFTA, CEFTA, Macedonia and Turkey) in  2000 (WTO document G/RO/N/27, 
24 February 2000). 
46 WTO document WT/REG1/N/1, 20 August 1998. 
47 The EC GSP Scheme is described at the following website, viewed at: 
http://ec.europa.eu/taxation_customs/customs/customs _duties/rules_origin/preferential/article_781_en.htm 
48 Commission of the European Communities (2006), "Final Communication from the Commission, 
Monitoring report on the state of preparedness for EU membership of Bulgaria and Romania, 26.9.2006, viewed 
at the following website: 
http://eur-lex.europa.eu/LexUriServ/LexUri Serv.do?uri=COM:2006:0549:FIN:EN:HTML. WT/REG220/2 
Page 26  
 
  of compliant establishments and the availability of  compliant raw milk.  These measures will prevent 
the sale of some products made from this non-comp liant raw milk in the other Member States. 
76. In the area of animal health, transitional measures concerning classical swine fever have been 
taken and eradication plans have been approve d. A review of these measures was planned for 
September 2007.  The Commission has also invoked an  additional safeguard to limit intra-community 
trade in horses from Romania.
49 
2. Safeguards  
(a) Measures affecting intra-EC trade 
77. Safeguard measures to counter a surge in impor ts do not exist in intra-EC trade. Although 
Articles 36-40 of the Act of Accession establish an "economic safeguard" and an "internal market 
safeguard" which any EC Member State can invoke for three years after Bulgaria's and Romania's 
accession to the EC, the enforcement of these trans itional safeguards shall not be invoked as a means 
of arbitrary discrimination or a disguised rest riction on trade between Member States.   
78. The economic safeguard can be invoked to address serious economic difficulties in the 
current or new Member States after accession;  the measures may involve derogations from the rules 
of the EC Treaty and the Act of Accession "to such an extent and for such periods as are strictly 
necessary in order to attain the objectives" (Article 36).  The internal market safeguard can be invoked 
when a new Member State causes, or risks causing, a serious breach of the functioning of the internal 
market;  the Commission can take appropriate measures, such as excluding the State from the benefits of certain internal market legislation.  This safe guard encompasses the intern al market in the broad 
sense, i.e. not only the four freedoms, but also th e sectoral policies (e.g. competition, agriculture, 
transport, telecommunications, energy, consumer and health protection, environment etc.) insofar as 
they have cross-border effects.   
(b) Measures applied in trade with third parties 
79. The EC-wide regime on safeguard measures ("SG  measures") applied in accordance with the 
WTO Agreement on Safeguards took effect in Bulgaria and Romania as of 1 January 2007.
50  All 
existing national legislation in Bu lgaria and Romania concerning SG measures lapsed on that date.51  
There has been no change in the EC regime conc erning SG measures as a result of enlargement.  
Bulgaria had only one WTO SG measure in place at the time of its accession, on crown corks which  
lapsed accordingly.52 Romania did not have any WTO SG measure at the time of accession.  As at 
1 January 2007, according to the Parties, the EC25 had no SG measure in place. 
80. The EC has not resorted, including since the accession of Bulgaria and Romania, to any 
specific safeguard measures on imports from China applied in accordance with Section 16 of the 
                                                      
49 See Commission Decision 2007/269/EC of 23 April 2007 on protective measures with regard to 
equine infectious anaemia in Romania;  and European Commission (2007),  "Report from the Commission to 
the European Parliament and the Council on Romani a's Progress on Accompanying Measures Following 
Accession", viewed at http://ec.europa.eu/dgs/secretariat_general/cvm/docs/romania_report_20070627_en.pdf 
50 Council Regulations (EC) No.  519/94 of 7 March 1994, No.  3285/94 of 22 December 1994, 
No. 452/2003 of 6 March 2003 (OJ L 69, 13.3.2003, p.8), notified under WTO document 
G/SG/N/1/EEC/1/suppl.1, 14 April 2003;  and Council Regulation (EC) No. 427/2003 of 3 March 2003 
(OJ L 65, 8.3.2003, p.1).   
51 WTO document G/SG/N/1/EEC/1/Suppl.3 of 7 February 2007. 
52 WTO document G/SG/N/10/BGR/1, 14 January 2003, and supplements.  WT/REG220/2 
 Page 27 
 
 
  Accession Protocol of China.  However, import su rveillance and voluntary export restraints are in 
place on bilateral textiles trade (see below). 
81. "Special Safeguard Measures" (SSGs) on sp ecified agricultural products applied in 
accordance with Article 5 of the WTO Agreement on Ag riculture, were also extended to Bulgaria and 
Romania, who had not, prior to that date, made use of the WTO SSG mechanism.  According to the 
Parties, the EC has made its price-based special safeguard (SSG) system operational for a number of 
poultry products, sugar, and molasses.  The vol ume-based special safeguard was not invoked in 
2006/2007;  However, the system was made operationa l for some products in the fruit and vegetables 
sector.53 
3. Anti-dumping and countervailing duty measures 
82. Upon accession, Bulgaria and Romania repe aled all their national anti-dumping and 
countervailing duty legislation, and adopted the common EC framework for, respectively, anti-dumping and countervailing measures on imports from third countries.
54  This framework applies 
only to third countries, as anti-dumping or countervaili ng duty measures are not applicable in intra-EC 
trade. 
(a) Elimination of existing measures in internal trade 
83. Only two anti-dumping measures were in place between the three parties prior to accession, 
implemented by the EC:  on imports of urea from Romania, in place since 200255;  and on imports of 
seamless pipes and tubes of iron or steel from Romania, in place since 2006.56  A price undertaking by 
Romania on exports of this product to the EC also lapsed upon accession.57 
(b) Elimination of existing measures in external trade 
84. No measures were in place under Bulgaria 's or Romania's national anti-dumping and 
countervailing duty legislation at the time of accession on 1 January 2007.  
(c) Extension of existing measures to the two new Member States 
85. The common EC framework for anti-dumping and countervailing measures on imports from 
third countries applies since 1 January 2007 to th e NMS2.  As at 1 January 2007, measures that 
became applicable to imports into Bulg aria or Romania are listed in Table III.6.58 
                                                      
53 WTO documents G/AG/N/EEC/54, 14 February 2008, and G/AG/N/EEC/60, 26 March 2009. 
54 Council Regulations (EC) No 38 4/96 of 22 December 1995(OJ L 56 , 6.3.1996, p.1,  notified under 
G/ADP/N/1/EEC/2 of 2 July 1996); No 2026/97 of 6 October 1997 (OJ L 288, 21.10.1997, p.1, notified under 
G/SCM/N/1/EEC/2 of 19 January 1998);  and No 452/2003 of 6 March 2003, Official Journal of the EU L 69, 13.3.2003, p.8, notified under g/ADP/N/1/EEC/2/Suppl.4 and G/SCM/N/1/EEC/2/Suppl.4). 
55 Council Reg. (EC) No 92/2002, 17.01.2002. 
56 Council Reg. (EC) No 954/2006, 27.06.2006. 
57 http://trade.ec.europa.eu/doclib/ docs/2007/april/tradoc_134456.pdf. 
58 WTO document G/ADP/N/153/EEC, 20 March 2007. WT/REG220/2 
Page 28  
 
  Table III.6  
Definitive anti-dumping duties applicable by  Bulgaria and Romania as of 1 January 2007 
Origin Products 
Algeria Urea and ammonium nitrate solutions  
Australia Polyethylene terephthalate  
Belarus Polyester filament tow (extension of staple fibre) Potassium chloride 
 Polyester staple fibres Urea and ammonium nitrate solutions 
  Urea 
Brazil PET (polyethylene terephthalate) film    
China, P.R. Barium carbonate Okoumé plywood 
 Bicycles Para-cresol 
 Bicycle parts Plastic sacks and bags 
 Castings Polyester filame nt fabrics (finished) 
 Chamois leather Polyester staple fibres 
 Colour television receivers Polyethylene terephthalate 
 Coumarin Powdered activated carbon 
 Ferro molybdenum Ring binder mechanisms 
 Footwear with uppers of leather Silicon carbide 
 Furfuraldehyde Silicon 
 Furfuryl alcohol Sodium cyclamate 
 Glyphosate Stainless steel fasteners and parts thereof 
 Granular polytetrafluoro-ethylene (PTFE) Steel ropes and cables 
 Hand pallet trucks and their e ssential parts Sulphanilic acid 
 Lamps (integrated electronic compact fluorescent) Tartaric acid 
 Lever arch mechanisms Trichloroisocyanuric acid 
 Lighters (non-refillable and refillable) T ube and pipe fitting, of iron or steel 
 Magnesia (deadburned) Tungsten carbi de and fused tungsten carbide 
 Magnesia bricks Zinc oxides 
 Magnesium oxide (caustic magnesite) Zinc oxides mixed with silica (extension to zinc oxides) 
Croatia Seamless pipes and tubes of iron or steel Urea 
Faroe Islands Trout (large rainbow)  
India Coumarin  Polyester textur ed filament yarn (PTY) 
 Graphite electrode system s Steel ropes and cables 
 PET (polyethylene terephthalate)  Sulphanilic acid 
 PET (polyethylene terephthalate ) film Synthetic fibre ropes 
Indonesia Coumarin  Sodium cyclamate 
 PET (polyethylene terephthalate)  Stainless steel fasteners and parts thereof 
 Ring binder mechanisms Tube and pipe fitting, of iron or steel 
Israel PET (polyethylene terephthalate) film    
Japan Television camera systems  
Korea, Rep. of Colour television receivers Re frigerators (side-by-side) 
 PET (polyethylene terephthalate)  Tube  and pipe fittings, of iron or steel 
 Polyester staple fibres  
Laos Ring binder mechanisms (extension from same 
imports from China)  
Libya Urea Colour television receivers 
Malaysia Colour television receivers PET (polyethylene terephthalate)  
 Coumarin  Tube and pipe fittings, of iron or steel 
 Glyphosate  
Moldova Steel ropes and cables  
Morocco Steel ropes and cables  
Norway Salmon (farmed)  
 Trout (large rainbow)  
Pakistan Bed linen (cotton-type)  
 Lamps (integrated electronic compact fluorescent)  
Philippines Lamps (integrated electronic compact fluorescent)  
 Tube or pipe fittings, of iron or steel  
Russia Ammonium nitrate  Silicon 
 Grain oriented flat-rolled produc ts Steel ropes and cables 
 Granular polytetrafluoro-ethylene (PTFE)  Urea and ammonium nitrate solutions 
 Potassium chloride Tube and pi pe fittings, of iron or steel 
 Seamless pipes and tubes of iron or steel Urea 
Saudi Arabia Polyester staple fibres  
South Africa Steel ropes and cables  
Sri Lanka Tube and pipe fitting,  of iron or steel  
Chinese Taipei Compact disk recordables (CD-Rs) PET (polyethylene terephthalate)  
 Glyphosate Stainless steel fasteners and parts thereof 
 Lighters (non-refillable and refillable) T ube and pipe fitting, of iron or steel 
Thailand Colour television receivers  
 Coumarin   
 Plastic sacks and bags Steel ropes and cables 
Table III.6 (cont'd)  WT/REG220/2 
 Page 29 
 
 
  Origin Products 
 PET (polyethylene terephthalate)  Tube  and pipe fitting, of iron or steel 
 Stainless steel fasteners and parts thereof Welded  tubes and pipes, of iron or non-alloy steel 
Turkey Steel ropes and cables Welded tubes a nd pipes, of iron or non-alloy steel 
Ukraine Ammonium nitrate Urea and ammonium nitrate solutions 
 Seamless pipes and tubes of iron or steel Urea 
 Steel ropes and cables Welded tubes a nd pipes, of iron or non-alloy steel 
United States Ethanolamines Trichloroisocyanuric acid 
 Grain oriented flat-rolled products   
Vietnam Bicycles Ring binder mechanisms (ext. from same from China) 
 Footwear with uppers of leather Stainl ess steel fasteners and parts thereof 
 Lamps (integrated electronic compact fluorescent) Zinc oxides (extension from zinc oxides China) 
 
Source:  WTO document G/ADP/N/153/EEC, 20 March 2007. 
86. As noted, imports into Bulgaria and Romania al so became subject to the EC's mechanism of 
countervailing duties (Table III.7). 
Table III.7  
Products covered by EC countervailin g duty measures on 1 January 2007 
Origin Product 
Brazil PET film (polyethylene terephthalate)   
Antibiotics (broad  spectrum)   
Bedlinen (cotton-type)   
Compact disk recordables (CD-Rs)   
Graphite electrode systems   
PET (polyethylene terephthalate)   
PET film (polyethylene terephthalate)  
Polyester textured filament yarn (PTY)   India 
Sulphanilic acid   
Indonesia Ring binder mechanisms   
Israel PET film (polyethylene terephthalate)   
Korea, Rep. of DRAMs    
 
Source:  WTO document G/SCM/N/153/EEC , 1 March 2007. 
 
4. Customs procedures  
87. As part of the internal market, all customs pr ocedures applicable to trade between the EC25 
and Bulgaria and Romania, and among the latter, were abolished as of 1 January 2007.  As part of the 
acquis of the European Communities' Customs Uni on, Bulgaria and Romania must implement the 
Community Customs Code , which compiles the rules, arrangements and procedures applicable to 
goods traded between the EC and non-member countries.59  In addition, Bulgaria and Romania have 
acceded upon accession to several conventions and prot ocols on the use of information technology for 
customs purposes.60  
C. CHANGES IN EXPORT MEASURES  
(a) Export duties and charges and other restrictions 
88. Within the European Union, as noted, there are no duties or other restrictions on trade. In 
preparation for accession, Bulgaria and Romania ha rmonized their customs procedures with those of 
                                                      
59 Information on the Community Customs Code is available at the following address: 
http://europa.eu/scadplus/leg/en/lvb/l11010.htm. 
60 Annex I to the Act of Accession, viewed at: 
http://eur-lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=OJ:L:2005:157:0221:0223:EN:PDF. WT/REG220/2 
Page 30  
 
  the EC, under the Europe Agreements (EA) which re quired the elimination of any duties, taxes or 
other charges on goods exported among the Parties. 
89. Prior to accession, Bulgaria had no export duties,  taxes or charges, with the exception of 
temporary restrictions on exports of agricultural products.
61  Romania did not maintain export 
restrictions, as the elimination of export bans a nd quotas, and of licensing measures had taken place in 
stages during the 1990s.  
90. Since January 2007, Bulgaria and Romania ha ve implemented the common EC policy:  The 
EC does not apply taxes, charges or levies on ex ports for commercial purposes.  Export bans and 
other restrictions can be introduced for reasons su ch as security or safety, public morality, or for 
cultural purposes.  They are imposed by the European Council, upon recommendation by the 
Commission based upon a request by a Member State.   The EC currently prohibits arms exports 
within the scope of the Common Foreign and Secu rity Policy (CFSP), which supplements the arms 
export licensing schemes applied by its Member St ates, and under its legisl ation governing dual-use 
items.  Bulgarian and Romanian exports of arms are now subject to the CFSP.   
(b) Export subsidies  
91. Bulgaria notified the WTO in 2003 that it did not grant any export subsidies in 2000 and 
2001.62  No information is available for more recent years.  The Romanian authorities did not report 
any subsidies conditional upon export, covering th e 2000-06 period, either to agricultural or 
non-agricultural products.   
92. The EC maintains a system of export refunds; the value of export subsidies notified to the 
WTO exceeded €2 billion in 2003-04, accounting for ove r 90% of total export subsidies granted by 
WTO Members. EC agricultural export subsidies were applicable for exports to Bulgaria and 
Romania under Commission Regulation (EC) No 800/1999 until accession.  Those on certain processed agricultural products exported to  Bulgaria were abolished in May 2006.
63 
93. Since accession, Bulgarian and Romanian exporters  of agricultural products are eligible for 
EC export refunds, based on the provisions  laid down for some 18 product groups.64  The refunds 
consist of the difference between the (fixed) Guar anteed Common Price and the world market price 
obtained for the sale of the products.  Export refunds are granted by the management committee for the product concerned.  In recent years, the followi ng products have received most export subsidies: 
dairy products (butter, skim milk powder, cheese) , sugar, wheat and wheat flour, coarse grains, rice, 
beef, pig meat, poultry, eggs, wine, fresh a nd processed fruits and vegetables, alcohol, and 
"incorporated products", i.e. products incorporatin g the products above.  As noted in Chapter I, 
Bulgaria is a relatively large expor ter of tobacco and wine products. 
                                                     
 
61 In October 2003, for instance, Bulgaria introduced a one-year restriction on exports of all wheat and 
rye products, to prevent shortages (WTO document, G/AG/N/BGR/10, 24 September 2003). 
62 WTO document G/AG/N/BGR/6, 14 March 2003. 
63 Corrigendum to Decision No 1/2006 of the EU-Bulgaria association Council 2006/1001/EC of 
31 May 2006 concerning the improvement of the trad e arrangements for proce ssed agricultural products 
provided in Protocol 3 to the Europe Agreement (Official Journal of th e European Union L 409 of 30 December 
2006), viewed at: 
http://eur-lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=OJ:L:2007:036:0034:0065:EN:PDF. 
64 Commission Regulation (EC) No 800/1999 of 15 April 1999 lays down common detailed rules for 
the application of the system of export refunds on agricultural products.  This regulation (OJ L 102, 17.4.1999) 
was viewed at: 
http://eur-lex.europa.eu/LexUriServ/LexUriServ.do? uri=OJ:L:1999:102:0011:0052:EN:PDF, p. 11. It 
was last amended by Regulation (EC) No 671/2004 (OJ L 105, 14.4.2004, p. 5).  WT/REG220/2 
 Page 31 
 
 
  D. SECTOR -SPECIFIC PROVISIONS  
1. Agricultural and food products 
94. As for other products, Bulgaria and Romania have essentially applied all the agricultural 
acquis, including the Common commercial policy, from the first day of accession, as there was no transition period specified for agricultural products .  The Common commercial policy includes tariffs 
and tariff quotas, standard import values
65, price-based and volume-based special safeguards, and 
export refunds (see above). 
95. Since 2000, Bulgaria and Romania had benefite d from a number of adjustment programmes, 
such as the Special Accession Programme for Ag riculture and Rural Development (SAPARD).  
SAPARD funded support to the structural adjustme nt of Bulgarian and Romanian agriculture and 
rural development, and helped th e two countries to implement the  acquis communautaire  concerning 
the Common Agricultural Policy (CAP) and related matters.66 
96. The provisions specific to agriculture and food products that are contained in the Act of 
Accession concern the following products and policy instruments: 
 - Spirit drinks, aromatized wines, aromatized wine-based drinks and aromatized wine 
  product cocktails;   
 - Raw tobacco, processed fruit and vegetabl e products, wine, flax and hemp grown for 
  fibre (Annex III);  - Sugar, raw tobacco, seeds fibre (Annex IV);  - Public stocks held for market-support po licy purposes, compatibility of aid schemes 
with competition legislation (Annex IV); 
 - Restrictions on land purchases in Bulgaria; milk production requirements in Bulgaria 
  (Annex VI);  and  - Restrictions on land purchases; restructuri ng and conversion of vineyards in Romania 
 (Annex VII). 
 2. Iron and steel products 
97. The Act of accession contains sector-specific provisions on the restructuring of steel 
industries in Romania.  The Act specifies the nature of State aid for restructuring that may be granted 
or paid to specified Romanian steel companies until the end of the restructuring period on 31 December 2008, (Annex VII of the Act of Accession). 
3. Textiles and clothing products 
98. Since 1 January 2007, Bulgaria and Romania ha ve applied the EC's import regulations on 
textiles and clothing products, which consists of  a quota and/or surveillance regime on imports of 
textile and clothing products from certain third countries.
67  In the case of China, these consist of 
                                                      
65 See Official Journal L275, 19 October 2007;  and  
http://eur-lex.europa.eu/Lex UriServ/LexUriServ.do?uri= CELEX:31994R3223:EN:HTML 
66 Information on the SAPARD for Bulgaria and Romania was viewed at the following websites: 
http://ec.europa.eu/agriculture/external/enlarge/countries/bulgaria/index_en.htm;  and 
http://ec.europa.eu/agriculture/external/enlarge/countries/romania/index_en.htm. 
67 Notice to importers, Official Journal C 295, 05/12/2006, viewed at: 
http://eur-lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=OJ:C:2006:295:0002:01:EN:HTML. WT/REG220/2 
Page 32  
 
  "agreed levels" on the part of China and import surveillance of specified products.
68  In particular, 
China has agreed to export levels in the followi ng product categories until end 2008:  cotton fabrics, 
T-shirts, pullovers, trousers, blouses, bed linen, dresses,  brassieres, table and kitchen linen, and flax or 
ramie yarn. In 2008, eight of the ten categories were put under double checking surveillance for one 
year. 
99. EC25 quotas on imports of textile and clothing pro ducts from Belarus, China, Russia, Serbia, 
Ukraine, and Uzbekistan were extended to  Bulgaria and Romania on 1 January 2008.69    
IV. EFFECTS OF ACCESSION ON TRADE IN SERVICES AND INVESTMENT 
100. One of the major liberalizing effects by acces sion has been the granting of unconditional 
rights for Bulgarian and Romanian companies to invest, and supply services in any EC Member State, 
and reciprocally.  The relevant provisions on the liberalization of trade in services are contained 
mainly in Annexes VI (Transitional measures – Bulg aria) and VII (Transitional measures Romania) of 
the Act of Accession  of Bulgaria and Romania to the EC Treaty, in particular in sections concerning 
the freedom of movement for persons, the freedom  to provide services, and the free movement of 
capital. 70   
A. CROSS BORDER TRADE IN SERVICES AND INVESTMENT  
1. Freedom to supply services 
101. The principle of the freedom to supply services is set out in the EC Treaty , in Chapter 3 of 
Title III (Services), and in particular in Article 49: " (..) restrictions on freedom to provide services 
within the Community shall be prohibited in r espect of nationals of Member States who are 
established in a State of the Community other than  that of the person for whom the services are 
intended". 
102. Article 49 allows economic ope rators to offer services on a temporary basis in another 
Member State, without establishment, and can be likened to the supply of services through modes 1, 2 
and 4.71  The concept of mode 2 (supply of a service in  the territory of one Member to the consumer 
of any other Member) does not as such exist in th e EC Treaty.  However, insofar as EC citizens 
(i.e. nationals of one member State)  have the right  to move and reside freely within the territory of 
the Member States (Article 18), nationals may not  be prohibited from consuming services in any 
Member State. 
103. Article 49 also applies to persons who are posted temporarily in another Member State to 
provide services on behalf of thei r employer, and may cover large seg ments of the mode 4 category of 
"contractual service suppliers" (CSS).  Temporary workers posted to another Member State are 
                                                      
68 OJ L 275, 8.11.1993, p. 1. Regulation as last amended by Commission Regulation (EC) 
No 1217/2007 (OJ L 275, 19.10.2007, p. 16), viewed at: 
http://eur-lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=OJ:L:2007:275:0016:0018:EN:PDF 
69 See Commission Regulation (EC) No 139/2008 of 15 February 2008, viewed at: 
http://eur-lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=OJ:L:2008:042:0011:0042:EN:PDF. 
70 This information was viewed at the following address: 
http://eur-lex.europa.eu/JOHtml.do ?uri=OJ:L:2005:157:SOM:EN:HTML 
71 The European Court of Justice (ECJ) has characteriz ed establishment as the pursuit of an economic 
activity through a fixed establishment for an indefinite period (Case C-221/89  Factortame [1991] 
paragraph 20), and the freedom to provide services by the absence of a stable and continuous participation in the 
economic life of the host Me mber State (Case C-131/01 Commission v Italy [2003] , paragraph 23).  WT/REG220/2 
 Page 33 
 
 
  subject to certain of the host-country provisions , namely those regarding that Member State's 
employment conditions, such as minimum wage and holiday.72   
104. In addition to Articles 43 and 48, which are di rectly applicable and provide for national 
treatment, Articles 44, 52, 94 and 95 empower the Comm unity to adopt legislation needed to remove 
other restrictions on the right of establishment or on the temporary provision of services, as well as to 
approximate the laws, regulations and administ rative actions of the Member States for the 
establishment and functioning of the internal market.  Article 46 permits measur es by Members States 
that provide for special treatment of foreign nati onals from other Member States or third countries on 
grounds of public policy, public security or public health.   
2. Freedom of establishment 
105. The notion of "freedom of establishment" is one of the fundamental principles of the internal 
market.  Chapter 2 of Title III ("Right of establishment"), including Article 43 ("Freedom of establishment") enables economic opera tors (whether a natural person who is a national of a Member 
State or a legal person of a Member State) to ca rry on an economic activity in one or more Member 
States:  " (..) restrictions on the freedom of establishment of nationals of a Member State in the 
territory of another Member State shall be prohibited".   
106. As such activity may go beyond the supply of ser vices, it has a broader scope of application 
than GATS mode 3.  Article 48 extends treatment  under the establishment provisions to companies 
formed in accordance with the law of a Member State and having their registered office, central 
administration or principal place of business within the Community.  As noted, the nationality of the 
persons owning or controlling a juridical person does not play any role in the determination of the 
origin of a juridical person under the EC Treaty.  The EC Commission has indicated, in this respect, 
that the definition of EC companies in Article 48 of the EC Treaty ensures the compatibility of both 
the EC Treaty and the Act of Accession with GATS Article V (6). 
107. This principle of unrestricted establishment h as eliminated, in trade between the EC25 and 
Bulgaria and Romania, and among the latter, the rest rictions on investment that may still be applied 
by EC Member States to their third-country part ners, such as limitations on the number of branches, 
on the legal type of establishment (e.g. only limited partnerships), and on the composition of the board 
of directors, authorization requirements for invest ment, minimum capital requirements, restrictions on 
companies owned by non-resident legal or natural persons, etc.
73   
3. Market access, national treatment, and MFN 
108. The EC Treaty  does not contain an MFN provision per se  (i.e. an automatic extension to all 
Member States of benefits that may be accorded to third parties). Such a provision would have been at 
odds with the basic principle of a single inte rnal market with a common commercial policy. 
109. The Act of Accession , and through it the EC Treaty , binds market access in services trade 
between the EC25 and Bulgaria and Romania:  the EC25 bound full market access and national 
treatment in the four modes of supply envisaged by  the GATS (albeit with transition periods for the 
liberalization of mode 4) for all Bulgarian a nd Romanian services and service providers, and vice 
                                                      
72 Directive 96/71/EC of the European Parliament an d of the Council of 16 December 1996 concerning 
the posting of workers in the framework of the provision of services (OJ L 18, 21.1.1997, p. 1).  The scope of 
this Directive does not extend to self-employed workers. 
73 Such limitations are described in the EC's Draft Consolidated Schedule (S/C/W/273, 9 October 2006, 
and Suppl.1). WT/REG220/2 
Page 34  
 
  versa; and Bulgaria and Romania bound the same tr eatment towards each other.  EC accession thus 
created a situation of unfettered competition among the 27 member States, in terms of both market 
access and national treatment, with certain explicitly specified exceptions.   
110. In comparison, under the GATS which applied to  most services trade between the NMS2 and 
the EC25 prior to 2007, not all sectors were covere d by specific commitments, and in many sectors, 
the entries relating to modes 1 and 2 were sch eduled as "unbound" or subject to limitations 
(see below).
74 
4. Transitional measures 
111. Annexes VI and VII of the Act of Accessi on contains transition periods for certain 
derogations that are specific to Bulgaria and Ro mania, respectively;  these derogations mainly 
concern the freedom of movement of workers a nd allow the EC15 to apply national measures for a 
maximum period of 7 years following the date of  accession, thereby regulating access to their labour 
markets by Bulgarian or Romanian nationals.  A standstill clause applies, whereby current access 
conditions to EC15 labour markets cannot become more r estrictive than at the time of the signature of 
the Accession Treaty.  EC15 Member States must give preference to Bulgarian and Romanian 
nationals over non-EU labour.   
112. In addition, there is also the possibility to derogate from the freedom to provide services 
involving temporary movement of workers as defined in Article 1 of Directive 96/71/EC for Austria and Germany.  As long as these two states apply restrictions on the free movement of Bulgarian or Romanian workers, they may also - and do - appl y derogations from the free provision of services 
involving posting of workers from Bulgaria or Romania, in order to address serious disturbances or 
the threat thereof in certain sectors: constructi on, industrial cleaning and activities of interior 
decorators.   
113. With respect to the free movement of capital,  both Bulgaria and Romania have reserved the 
right to maintain, for five years, restrictions on the acquisition of land for secondary residences by 
non-residents or by legal persons formed under th e law of another Member State or EEA State. 
B. R
EGULATORY PROVISIONS  
1. The Services Directive 
114. Over the years, a large body of case law by the European Court of Justice (ECJ) has been 
established, which provides guidance on the interpre tation of the provisions on services trade in the 
EC Treaty , while applying only to individual cases.  The Services Directive75, adopted on 
12 December 2006, seeks to consolidate much of this  case law and turn it into general obligations for 
Member States, with the objective of making progress towards a genuine internal market for services.  
Many aspects of the Services Directive are theref ore informed by ECJ case law.  The Services 
Directive will have to be implemented by  all Member States by 28 December 2009.76 
                                                      
74 Their relevant Schedules of Specific Commitments were:  Bulgaria (WTO documents GATS/SC/122 
of 21 May 1997, GATS/SC/122/Suppl.1 of 11 April 1997, GATS/SC/122/Suppl.2/Rev.1 of 18 November 
1999); and Romania (WTO documents GATS/SC/72 of 15 April 1994, GATS/SC/72/Suppl.1 of 11 April 1997, 
75 Directive 2006/123/EC of th e European Parliament and of the European Council of 
12 December 2006 on Services in the Internal Market, L376 of 27 December 2006, p.36.  Viewed at: 
http://eur-lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=OJ:L:2006:376:0036:0068:EN:PDF 
76 See Handbook on Implementation the Services Di rective, European Commission 2007, viewed at  
http://ec.europa.eu/internal_market/services/ docs/services-dir/guides/handbook_en.pdf  WT/REG220/2 
 Page 35 
 
 
  115. Several services are excluded from the scope of the Services Directive .  These are: 
non-economic services of general interest; financial services, electronic communication services and 
networks;  transport services; services of tempor ary work agencies; healthcare and pharmaceutical 
services;  audiovisual and radio broadcasting servi ces; gambling activities; activities connected with 
the exercise of official authority; certain soci al services; private security services; and services by 
notaries and bailiffs appointed by an official act of government.77  However, major services such as 
financial services and telecommunication services have been largely liberalized by other directives. 
116. The Services Directive  contains six substantive areas, addressing administrative 
simplification; freedom of establishment for providers ; free movement of services; quality of services; 
administrative cooperation; and convergence programmes.  Chapter II on "administrative 
simplification" requires Member States to simp lify administrative procedures necessary for access to 
or exercise of a service activity and to set up points of single contact for service suppliers, which allow for completion of procedures at a distance and electronically, and which facilitate the accessibility of information on national requirements and procedures.
78   
2. Domestic Regulation 
117. Chapter III of the Services Directive  applies to all requirements relating to the establishment 
of an EC service supplier, whether imposed  at national, regional, or local level.79  Member States must 
review existing authorization schemes to ensure th at they are non-discriminatory, justified by an 
overriding reason relating to the public interest, and proportionate.  Where a supplier is already 
established in one Member State and wishes to estab lish in another, the authorities must take into 
account all equivalent or essentially comparable requi rements which have already been complied with 
by the initial authorization.80  Authorizations will generally ha ve to be granted for unlimited time 
periods81 and apply throughout the national territory, including by setting up agencies, branches, 
subsidiaries, or offices.82 
118. Limitations of the number of authorizations ar e only permissible if they are motivated by the 
scarcity of available natural resources or technical  capacity, or if justified by an overriding reason 
relating to public interest.83  In such cases, a specific selecti on procedure must ensure impartiality, 
transparency and conditions of open competition.  Authorization procedures to be based on objective, 
transparent rules to safeguard that the applications will be dealt with in an impartial way.  Member 
States will have to ensure that procedures are ne ither dissuasive, nor unduly complicated, and do not 
delay the provision of the service. Moreover, pro cedural rules should be easily available and easily 
understandable. 
119. Applications for authorization must be acknowledged and processed as quickly as possible 
(Article 13(3) and (5)), and if incomplete, the app licant must be promptly notified of the need to 
supply additional documents or information.  Author ization must be granted as soon as the relevant 
conditions are met (Article 10(5)). Where an applicati on is rejected the applicant must be informed of 
the reasons for the rejection as quickly as possible.  In accordance with Article 13(4), Member States 
must provide that – in case an applicant has not r eceived any response within the set time period – the 
authorization will be deemed to ha ve been granted to the provider. 
                                                      
77 See Article 2 (2) (a)-(l). 
78 See Articles 5-8.  This obligation applies to measur es applied at central, regional, or local level. 
79 It also includes rules enacted by professional bo dies and other associations in the exercise of the 
legal autonomy to regulate access or exerci se of a service activity, see Article 4(7). 
80 See Article 10(3). 
81 See Article 11. 
82 See Article 10(4). 
83 See Article 12. WT/REG220/2 
Page 36  
 
  120. Article 14 establishes a list of requirements which Member States cannot impose for access to 
or exercise of a service activity.  It prohibits all discrimination based directly  or indirectly on grounds 
of (EC) nationality or, as regards companies, the location of the registered office, including any nationality or residence requirements for a provider or his staff.  Further, EC suppliers must be permitted to establish in more than one Member State; they must not be prohibited to be entered in the 
registers of professional associations of more than one Member State.  Requirements
 limiting the 
choice of the service provider between principal and secondary establishment are prohibited.  In 
addition, Article 14 prohibits conditions of reciprocity and economic needs tests; the involvement of competing operators in the decisions of compet ent authorities; obligations to obtain financial 
guarantees or insurance from operators established in the same Member State; and requirements to 
have been pre-registered for a given period of time or to have previously exercised the activity for a 
given period in the territory of the Member Stat e where the service provider wants to establish.   
121. In addition to the prohibitions above, Article 15 requires Member States to evaluate certain 
requirements that constitute severe restrictions to th e freedom of establishment, and consider whether 
these can be replaced by less restrictive means.  Th e Member States will have to evaluate, in relation 
to each of the requirements identified in their legislation, whether the requirement is 
non-discriminatory, justified by an overriding reason relating to the public inte rest and proportionate.  
A list of such requirements includes quantitative and te rritorial restrictions; legal form requirements, 
shareholding requirements; requirements reservi ng the provision of certain services to specific 
providers; bans on having more than one establis hment in the territory of the same member, 
obligations to have a minimum number of empl oyees; obligations to apply fixed minimum or 
maximum tariffs; obligations to supply other services  jointly with those of the service provider.   
122. Chapter IV addresses the free movement of services.  Article 16 provides for the freedom to 
provide cross-border services without unjustified rest rictions, except for derogations provided for in 
Article 17.  Requirements on the provision of services can only be imposed if necessary for the protection of public policy, security, and health, or the environment.   
123. Such requirements must be applied in a non- discriminatory manner, must be suitable for 
attaining the objective pursued, and must not go beyond what its necessary to attain that objective.  
Paragraph 2 of Article 16 contains a list of re quirements which in principle cannot be imposed on 
providers or recipients of services.  The examples in clude obligations to have an establishment in the 
territory where the service is provided; authoriza tion or registration requirements; bans on setting up 
infrastructure; application of contractual arrangements which restrict supply by self-employed 
persons; obligations to possess specific identity documents, requirements affecting the use of 
equipment, and restrictions on services recipients.   
124. Article 18 permits case-by-case derogations relating to the safety of services, concerning a 
concrete and specific situation and with regard to the provision of a specific service by a provider;  it 
is an exceptional mechanism however, and not a general way to derogate from Article 16.  
125. Chapter V on "quality of services" stipulates sev eral information obligations for service 
providers, and encourages certain voluntary measures.  Article 22 strengthens the ability of recipients 
of services to obtain information while avoiding excessive burdens for suppliers.  Article 23 
encourages Member States to require professional liab ility insurance or some other form of financial 
guarantee for services providers established their territory, and whose services present a direct and 
particular risk for the health or safety of the reci pient, the latter's financial security, or to a third 
person.  However, this does not apply where a serv ice supplier is already covered by equivalent or 
comparable insurance in one Member State, and that  insurance covers the terr itory of another Member 
State in which the supplier wishes to operate.    WT/REG220/2 
 Page 37 
 
 
  126. Pursuant to Article 24, Members will have to  remove "all total prohibitions" on commercial 
communications (such as advertising) by the re gulated professions, but have to ensure that 
commercial communications comply with professional  rules which aim to guarantee the independence 
and integrity of the professions as well as professional secrecy.  Article 25 requires Members to remove requirements obliging service providers to exercise specific activities exclusively and 
requirements restricting the exercise of activities join tly or in partnership. However, restrictions on 
multidisciplinary activities can be justified wher e they aim at ensuring the independence and 
impartiality of the regulated professions to the exte nt that they are necessary to guarantee compliance 
with the rules governing professional ethics and c onduct.  Article 26 provides for a framework for 
voluntary quality-enhancing measures. 
127. Finally, Chapter VI on "Administrative Coope ration" obliges Members to provide each other 
mutual assistance, in particular to reply to inform ation requests, and to carry out, as necessary, factual 
checks, inspections and investigations. 
3. Mutual Recognition 
128. Article 47 of the EC Treaty
 mandates the Council to issu e directives for the mutual 
recognition of diplomas, certificates, other eviden ce of formal qualifications, and conditions of access 
for these natural persons to the professions. 
129. In 2005, the European Council and the Europ ean Parliament enacted a Directive 2005/36/EC 
on the recognition of professional qualifications.84  The Directive consolidates and modernizes the 
acquis. In particular, it provides for harmonizati on of minimum training requirements for doctors, 
dentists, nurses, midwives, pharmac ists, veterinarians and architects.  On the basis of these 
requirements, it grants automatic recognition of th e diplomas in question.  The Services Directive  is 
consistent with and does not affect Directive 2005/36/EC .  
130. Furthermore, Directive 2005/36/EC  provides for general rules applying to all other regulated 
professions.  Under these rules, access to a profession shall be granted to a professional who is fully 
qualified for the profession in question in another Member State.  However, if the duration or the 
content of training of a (EC-internal) migrant is di ffering substantially from those required in the host 
Member State, compensatory measures can be imposed on the migrant, i.e. either an adaptation period 
or an aptitude test. 
131. Finally, Directive 2005/36/EC  facilitates the provision of services and provides for closer 
administrative cooperation between the competent au thorities of the Member States.  It does not, 
however, affect the operation of existing directives related to lawyers (98/5/EC and 77/279/EEC) and 
to self-employed commercial agents (86/653/EEC). 
V. GENERAL TRADE PROVISIONS OF THE EU TREATY AND THE ACT OF 
ACCESSION AFFECTING TRADE 
1. Exceptions 
132. In Chapter 2 of the EC Treaty, Article 45 wh ich provides for the right of establishment, 
states:  "The provisions of this ch apter shall not apply, so far as any given Member State is concerned, 
to activities which in that State are connected, ev en occasionally, with the exercise of official 
                                                      
84 Directive 2005/36/EC of the European Parliament and of the Council of 7 September 2005 on the 
recognition of professional qualifications , viewed at the following address: 
http://eur-lex.europa.eu/LexUriServ/LexUriSe rv.do?uri=OJ:L:2005:255:0022:0142:EN:PDF. WT/REG220/2 
Page 38  
 
  authority".  As an exception, this provision has b een interpreted restrictively, requiring that such 
activities are directly and specifically connected  with the exercise of official authority.
85  According to 
Article 46 it is possible to derogate from the intr a-EC freedom of establishment on grounds of public 
policy, public security or public health.  These excep tions are also applicable to the intra-EC freedom 
to provide services via Article 55 of the EC Treaty.  
2. Accession 
133. The EC Treaty is open to accession by European States (Article 49):  "Any European State 
which respects the principles set out in Article 6(1) may apply to become a member of the Union.  It 
shall address its application to the Council, wh ich shall act unanimously after consulting the 
Commission and after receiving the assent of the Eur opean Parliament, which shall act by an absolute 
majority of its component members.  Article 6(1) sp ecifies that the Union is founded on the principles 
of liberty, democracy, respect for human rights an d fundamental freedoms, and the rule of law, 
principles which are common to the Member States.  
3. Competition policy and State aid 
134. The fundamental principles in competition law in the EC are stipulated in Articles 4, 16, 36, 
73, and 81-89 of the EC Treaty.  Pursuant to Artic le 4 of the Treaty, EC Member States are required 
to adopt economic policies "in accordance with the principle of an open market economy with free 
competition".  The EC's competition policy aims to  improve consumer welfare and to enhance the 
competitiveness of European industry. This rests on four main areas: anti-trust rules, merger 
regulation, liberalization of monopolistic economi c sectors, and the control of state aid.  
135. The NMS2 take over and implement the EC's acquis in competition policy upon accession.  
The Act of accession defines as "existing aid" a numb er of existing aid schemes, subject to regular 
reporting obligations on the part of the NMS2 (A ct of Accession, Annex V).  All other measures 
which constitute State aid shall be considered as ne w aid subject to the application of EC competition 
law, with exceptions for the fisheries and trans port sectors, and for disadvantaged areas.  The new 
Member States shall, where necessary, amend these aid measures in order to comply with the 
guidelines applied by the Commission at the latest by the end of the third year from the date of 
accession (i.e. 2010).  After that date, any aid found to  be incompatible with those guidelines shall be 
considered as new aid.86  
136. Prior to accession, the Europe Agreements contai ned obligations for Bulgaria and Romania to 
adopt EC rules regarding state aid in full.  According to Article 87 (1) of the EC Treaty any aid granted by a Member State or through State res ources in any form whatsoever which distorts or 
threatens to distort competition by favouring certa in undertakings or the production of certain goods 
shall, in so far as it affects trade between Member States, be incompatible with the common market.  
Under Article 88 (1), the Commission must, in coope ration with Member States, keep under constant 
review all existing systems of aid.  Paragraph (2) of Article 88 further establishes that the Commission 
shall propose to Member States any appropriate me asures required by the progressive development or 
by the functioning of the common market.  If the State concerned does not comply with this decision 
within the prescribed time, the Commission or any ot her interested State may refer the matter to the 
Court of Justice. 
                                                     
 
85 Case 2/74 Reyners [1974] ECR 631, paragraph 45, and Case C-42/92 Thijssen [1993] ECR I-4047, 
paragraph 8. 
86 The EC Commission has published the complete lis t of measures which it accepted as existing aid 
within the meaning of Article 88(1), viewed at the following internet address: 
http://ec.europa.eu/comm/competition/state_aid/register/.  WT/REG220/2 
 Page 39 
 
 
  137. The Act of Accession contains specific measur es applicable to Romania.  These provisions 
include the phasing-out of EC-incompatible fiscal ai d to small and medium-sized enterprises, and to 
offshore companies; the conversion of incompatib le fiscal aid to large companies into regional 
investment aid; and the provision of state aid for en vironmental protection and for the restructuring of 
shipbuilding and steel industries. The expiry date for these transitional arrangements ranges from 
2007 to 2010.  The Act of Accession calls for continuous monitoring, by the EC Commission, of the 
progress by Romania in the area of competition policy. The Romanian State aid monitoring authority is responsible for ensuring the application of St ate aid control and a correct application of the 
compatibility criteria.  No similar provision is stipulated for Bulgaria.  
4. Government procurement   
138. The EC's public procurement regime applies to  Bulgaria and Romania since 1 January 2007. 
This regime consists of a direc tive on public supplies, works, and services;  plus another directive 
which concerns the procurement entities (including  publicly owned entities and private entities with 
special or exclusive rights) operating in the wate r, energy, transport, and postal services (utilities 
directive);  both are complemented by two remedies directives.
87  Common rules relate to:  (i) the 
definition of the type of public purchaser and the scope  of contracts subject to the directives;  (ii) the 
definition of the type of contract award procedure public purchasers should normally use; (iii) technical specifications, whereby preferences  are to be given to Community standards and 
discriminatory technical requirements are banned from the contract documents;  (iv) advertisement, 
i.e. tender notices must be published in the Official Journal of the EC, comply with specific 
requirements concerning deadlines, and be drawn up in accordance with pre-established models;  
(iv) participation, establishing objective criteri a for qualitative selection and for the award of 
contracts; and (v) obligations as regards statistical  reporting to permit the Commission to monitor the 
functioning of these rules. Both Bulgaria and Romania have fully implemented EC procurement legislation. 
139. The scope of application in each of the directives is established by minimum thresholds for 
contracts, while below-threshold contracts are c overed by the provisions and principles of the EC 
Treaty.  The thresholds have been established at  €133,000 for procurement of supplies or services by 
central entities and €206,000 for public supply and pub lic service contracts by sub-central entities, 
and €5,150,000 for public works contracts for both centr al and sub-central entities.  The thresholds for 
entities operating in the water, energy, transport and postal ser vices sectors are €412,000 for 
procurement of supplies or services and €5,150,000 for procurement of works.  Neither Romania nor 
Bulgaria was a Member of the WTO Agreemen t on Government Procurement (GPA) prior to 
accession to the EU. As from the accession of these countries to the EU on 1 January 2007, and as the 
                                                     
 
87 See Directive 2004/18/EC of the European Parliament and of the Council of 31 March 2004 on the 
Coordination of Procedures for the Award of Public Works Contracts, Public Supply Contracts and Public 
Service Contracts;  Directive 2004/17/EC of the European Parliament and of the Council of 31 March 2004 Coordinating the Procurement Procedures of Entities Oper ating in the Water, Energy, Transport and Postal 
Services Sectors;  Council Directive 92/13/EEC of 25 February 1992 Coordinating the Laws, Regulations and 
Administrative Provisions Relating to the Application of  Community Rules on the Pr ocurement Procedures of 
Entities Operating in the Water, En ergy, Transport and Telecommunicati ons Sectors;  Council Directive 
89/665/EEC of 21 December 1989 on the Coordination of the Laws, Regula tions and Administrative Provisions 
Relating to the Application of Review Procedures to the Award of Public Supply and Public Works Contracts;  
and the Directive 2007/66/EC of the European Parliament and of the Council of 11 December 2007 Amending 
Council Directives 89/665/EEC and 92/13/EEC with Regard to Improving the Effectiveness of Review Procedures Concerning the Award of Public Contracts (to be implemented by Member States into national law 
before 20 December 2009). WT/REG220/2 
Page 40  
 
  EU is a Party to the GPA
88, the Romanian and Bulgarian public procurement market are henceforth 
subject to the disciplines of the GPA.89  Consequently, suppliers of goods and services from GPA 
Parties may tender in Romania and Bulgaria  for contracts above specified thresholds90, in accordance 
with the commitments assumed by the EC.  Reciprocally, upon accession, goods, services and suppliers from Romania and Bulgaria gained EC  origin status for the purposes of the GPA. 
5. Intellectual property rights  
140. The intellectual property rights regime in the EC is governed by both Community-wide 
legislation and legislation of Member States.  Re ciprocally, Member States' legislation takes into 
account Community legislation, as well as commitments  under international agreements, including the 
European Patent Convention, World Intellectua l Property Organization (WIPO) conventions and 
treaties, and the WTO TRIPS Agreement.  
141. As a result of accession, the NMS2 are to provide an identical level of protection of 
intellectual, industrial and commercial property right s to that existing in the EC25, using effective 
means of enforcement.  Both countries have acced ed to all the relevant WIPO conventions and 
treaties, including the Copyright Treaty the Co nvention for the Protection of Producers of 
Phonograms against Unauthorized Duplications of their Phonograms;  and the International 
Convention for the Protection of New Varieties of Plants. 
142. Annex III to the Act of Accession adapts existing EC provisions relating to industrial property 
rights to take into account NMS2 accession.  In par ticular, it extends the protection of trademarks and 
community designs to Bulgaria and Romania, and it creates supplementary pr otection certificates for 
medicinal and plant products by the NMS2 territories.  
6. Dispute settlement  
143. The Court of Justice of the European Communitie s has jurisdiction to review the legality of 
framework decisions and decisions in actions br ought by a Member State or the Commission  
(Article 35 of the EC Treaty), including to rule on  any dispute between Member States.  The Court of 
Justice and the Court of First Instance of the European Communities shall ensure that in the 
interpretation and application of the EC Treaty the law is observed (Article 220). Any natural or legal 
person may, under the same conditions, institute pr oceedings against a decision  (Article 230). 
                                                     
 
88 Council Decision 94/800/EC, 23 December 1994.  The EC's commitments cover the procuring 
entities listed in Annexes 1, 2 and 3 of Appendix I of its Schedule.  These include central government entities, sub-central government entities, and other entities such as those supplying utilities.  The contracts are subject to 
minimum thresholds. Selected services and construction se rvices are specified in positive lists (Annexes 4 and 5 
of Appendix I).  See WTO document GPA/W/35/Rev.1, 8 July 1999. 
89 WTO document GPA/90, 11 December 2006. 
90 GPA/W/299/Add.4, 29 January 2008.  WT/REG220/2 
 Page 41 
 
 
  ANNEX I 
  
1. A comparison of MFN and preferential tariffs applied between the parties before the 
enlargement from EC25 to EC27 and the post enla rgement MFN tariff by total, agricultural 
(WTO definition) and non-agricultu ral products, is presented in Tables AI.1-AI.3 below, respectively 
for Romania, Bulgaria and the EC25. 
2. Romania's overall MFN tariff in 2006 was 37.4% with a significantly higher average for 
agricultural products at 121.1%, compared to 16.4% for non-agricultural products.  Its overall average 
tariff on imports from Bulgaria was lower at 13 %, with 66.2% for agricultural and 0.3% for 
non-agricultural products.  Its tariff vis-à-vis  EC25 was still lower at 3.8%, with 22.1% for 
agricultural and 0.4% for non agricultural products.  As a result of becoming a Member States of the 
EC, Romania's overall average MFN tariff has now declined to 7.0%, and while there remains a 
difference between the tariff on agricultural imports at 18.8% and non agricultural imports at 4.2%, there has been significant liberalization as a result of enlargement. 
Table AI.1 
Romania:  Indicators of tariff rates on imports from Bulgaria and EC25  
ALL PRODUCTS Agricultural products Non-agricultural products 
Average applied 
tariff Average applied tariff Average applied 
tariff Origin 
Overall Dutiable Share of 
duty-free 
tariff 
lines (%) Overall Dutiable Share of 
duty-free 
tariff lines 
(%) Overall Dutiable Share of 
duty-free 
tariff 
lines (%) 
2006 MFN 37.4 39.4 5.0 121.1 121.2 0.1 16.4 17.5 6.3 
EC 25 3.8 49.4 86.4 22.1 72.7 49.8 0.4 11.2 95.7 
Bulgaria 13.0 98.0 85.0 66.2 109.5 36.9 0.3 13.3 97.2 
2007 MFN 
(EC 2007)  7.0 9.3 24.5 18.8 23.3 17.4 4.2 5.7 26.3 
 
Note: For tariff lines with ad valorem  equivalents, these are included in th e calculation of the tariff averages. 
 
Source:  WTO Secretariat estimates based on data prov ided by the EC authorities/WTO-IDB Section. 
 
3. Before becoming a Member State of the EC, Bulgaria's overall applied MFN tariff was 
12.3%, with the average MFN applied tariff on agricultural products higher at 24.2%, than on 
non-agricultural products, at 9.1%.  Its overall applied tariff on imports from the EC25 was 
considerably lower at 2.6% and lower still with Ro mania at 1%.  In comparison, its average applied 
tariffs on agricultural imports were 12.3% from th e EC25 and 4.6% with Romania;  the average 
applied tariff on non-agricultural products vis-à-vis  both partners was zero.  As a result of becoming a 
Member State of the EC, Bulgaria's overall applied MFN tariff declined to 7.0% in 2007, with 18.8% 
for agriculture and 4.2% on non-agricultural products.   
Table AI.2 
Bulgaria:  Indicators of tariff rates on imports from Romania and EC25  
ALL PRODUCTS Agricultural products Non-agricultural products 
Average applied 
tariff Average applied tariff Average applied 
tariff Origin 
Overall Dutiable Share of 
duty-free 
tariff 
lines (%) Overall Dutiable Share of 
duty-free 
tariff lines 
(%) Overall Dutiable Share of 
duty-free 
tariff 
lines (%) 
2006 MFN 12.3 13.9 12.0 24.2 26.3 8.1 9.1 10.5 13.00 
EC 25 2.6 28.0 90.2 12.3 29.5 54.0 0.0 15.0 99.97 
Romania 1.0 16.4 94.0 4.6 16.4 71.8 0.0 5.0 99.97 
2007 MFN 
(EC 2007)  7.0 9.3 24.5 18.8 23.3 17.4 4.2 5.7 26.3 
Note: For tariff lines with ad valorem  equivalents, these are included in the calculation of the tariff averages.   
 
Source:  WTO Secretariat estimates based on data prov ided by the EC authorities/WTO-IDB Section.  WT/REG220/2 
Page 42  
 
  4. Before enlargement to 27 Member States, th e EC25's overall applied MFN tariff was 7%, 
with the average tariff on agricultural products at 18.4%, double that on non-agricultural products at 4.2%.  Its average applied tariffs on imports from Bulgaria and Romania were considerably lower, 
0.1% and 0.23%, respectively.  The average ap plied tariff on agricultural products was also 
considerably lower at 0.6% and 0.7%, respectivel y for Bulgaria and Romania;  in comparison the 
average tariff on non-agricultural products for impor ts from these countries was negligible (zero for 
Bulgaria and 0.1% for Romania).  The EC's overa ll average applied MFN rate remained unchanged at 
7% in 2007 with tariffs on agricultural and non-agri cultural imports at 18.8% and 4.2%, respectively. 
Table AI.3 
EC25:  Indicators of tariff rates on imports from Bulgaria and Romania 
ALL PRODUCTS Agricultural products Non-agricultural products 
Average applied 
tariff Average applied tariff Average applied 
tariff Origin 
Overall Dutiable Share of 
duty-free 
tariff 
lines (%) Overall Dutiable Share of 
duty-free 
tariff lines 
(%) Overall Dutiable Share of 
duty-free 
tariff 
lines (%) 
2006 MFN 7.0 9.4 25.2 18.4 23.3 19.0 4.2 5.7 26.9 
Bulgaria 0.10 13.04 93.9 0.6 13.0 70.9 0.0 - 100.0 
Romania 0.23 7.3 91.4 0.7 14.2 69.8 0.1 5.0 97.1 
2007 MFN 
(EC 2007)  7.0 9.3 24.5 18.8 23.3 17.4 4.2 5.7 26.3 
 
Note: For tariff lines with ad valorem  equivalents, these are included in th e calculation of the tariff averages. 
 
Source:  WTO Secretariat estimates based on data prov ided by the EC authorities/WTO-IDB Section.  
  WT/REG220/2 
 Page 43 
 
 
  ANNEX II 
 
Annex Tables  
  
Table AII.1  
EC:  Duty-free tariff quotas on imports from Bulg aria under Council Regulation N° 1676/2004, 2006 
HS tariff Description MFN duty Annual tariff quota 
volumes (tonnes) 
0405.20.30 Dairy spreads 9% + EA 240 
1704.90 99 Sugar confectionery, not containing cocoa 9% + EA (MAX 18.7%) + ADSC 140 
1806.10.90 8% + 41.9 €/100 kg 
1806.20.80 Chocolate and other food prep. containing cocoa 
8.3% + EA (MAX 18.7%) + ADSC 
1806.20.95  8.3% + EA (MAX 18.7%) + ADSC 60 
1806.90.90 Other chocolate 8.3% + EA (MAX 18.7%) + ADSC 60 
1901.90.99 Malt extract;  food preparations  7.6 + EA 120 
1905.90.90 Bread, pastry, cakes, biscuits and other  9% + EA (MAX 20.7%) + AD F/M 240 
2106.90.98 Food preparations n.e.s. 9% + EA 600 
2202.90.91 Waters 6.4% + 13.7 €/100 kg 
2202.90.95  5.5% + 12.1 €/100 kg 
2202.90.99  5.4% + 21.2 €/100 kg 3000 
2905.43.00 Acyclic alcohols 9.6% + 125.8 €/100 kg 
2905.44.11  7.7% + 16.1 €/100 kg 
2905.44.19  9.6% + 37.8 €/100 kg 
2905.44.91  7.7% + 23 €/100 kg 
2905.44.99  9.6% + 53.7 €/100 kg  120 
3505.10.10 Dextrins and other modifi ed starches 9% + 17.7 €/100 kg  
3505.10.90  9% + 17.7 €/100 kg  3000 
3505.20.10 Glues 8.3% + 4.5 €/100 kg (MAX 11.5%) 
3505.20.30  8.3% + 8.9 €/100 kg (MAX 11.5%) 
3505.20.50  8.3% + 14.2 €/100 kg (MAX 11.5%) 
3505.20.90  8.3% + 17.7 €/100 kg (MAX 11.5%) 120 
3809.10.10 Finishing agents, dye carriers 8.3% + 8.9 €/100 kg (MAX 12.8%) 
3809.10.30  8.3% + 12.4 €/100 kg (MAX 12.8%) 
3809.10.50  8.3% + 15.1 €/100 kg (MAX 12.8%) 
3809.10.90  8.3% + 17.7 €/100 kg (MAX 2.8%) 600 
3824.60.11 Sorbitol 7.7% + 16.1 €/100 kg 
3824.60.19  9.6% + 37.8 €/100 kg  
3824.60.91  7.7% + 23 €/100 kg  
3824.60.99  9.6% + 53.7 €/100 kg  120 
Note: EA:  Agricultural component of duty;  ADSC:  Additional duty on sugar component.  MAX:  specific component not higher tha n 
ad valorem  duty specified in brackets. 
Source:  Council Regulation N° 1676/2004, OJ  L301, 28/9/2004, and WTO IDB. 
 
 
 WT/REG220/2 
Page 44  
 
  Table AII.2 
Bulgaria:  Selected tariffs above 50% and corresponding changes following enlargement 
Percentage unless otherwise specified 
Bulgaria 2006 EC 2007 
TL Description 
AV Duty Rate AV Duty 
Rate Specific Duty Rate 
040410020 Whey  64   7 €/100 kg 
040410040 " 64   135.7 €/100 kg 
040410060 " 64   167.2 €/100 kg 
040410260 " 64   0.07 €/kg + 16.8 €/100 kg 
040410280 " 64   1.31 €/kg + 22 €/100 kg 
040410320 " 64   1.62 €/kg + 22 €/100 kg 
040210110 Milk and cream  64   125.4 €/100 kg 
040210910 " 64   1.19 €/kg + 27.5 €/100 kg 
040221110 " 68   135.7 €/100 kg 
040510110 Butter 68   189.6 €/100 kg 
040510300 " 68   189.6 €/100 kg 
040510500 " 68   189.6 €/100 kg 
040690291 Cheese 74   151 €/100 kg 
040690292 " 74   151 €/100 kg 
040690299 " 74   151 €/100 kg 
040690310 " 74   151 €/100 kg 
040690991 " 74   221.2 €/100 kg 
070190100 Potatoes 60 5.80   
070190900 " 60 11.50   
070310192 Onions 55 9.60   
070320002 Garlic 68   9.6 + 120 €/100 kg 
070960101 Peppers 75 7.20   
080610101 Grapes 74   See Annex 2 
080711001 Water melons 74 8.80   
160231110 Turkey meat 55 8.50   
160232110 Chicken meat 75   86.7 €/100 kg 
160232300 " 75 10.90   
160239210 Prepared meals 75   86.7 €/100 kg 
180620101 Chocolate 74   8.3 + EA MAX 18.7 + AD S/Z 
190219100 Pasta 60   7.7 + 24.6 €/100 kg 
190531110 Biscuits 60   9 + EA MAX 24.2 + AD S/Z 
190590450 " 56   9 + EA MAX 20.7 + AD F/M 
210210100 Culture yeast 63 10.90   
210320000 Tomato ketchup and other tomato sauces 74 10.20   
220300010 Beer 55 0.00   
220300100 " 55 0.00   
220900110 Vinegar 55   6.4 €/hl 
230990310 Animal feed 64   23 €/t 
240110600 Tobacco 60  11.2 MIN 22 €/100 kg MAX 56 
€/100 kg 
240310100  74.9 74.90   
240310900  74.9 74.90   
AV: Ad valorem . 
 
Source:  WTO Secretariat, based on data pr ovided by the European Commission. 
  WT/REG220/2 
 Page 45 
 
 
  Table AII.3 
Romania:  Selected tariff rates above  50% and changes following enlargement 
Percentage unless otherwise specified 
Romania 
2006 EC 2007 Romania 
2006 EC 2007 
Tariff 
Line Ad valorem  
duty Rate Ad valorem  
duty Rate Non- ad valorem  
duty rate Tariff  
Line 
 Ad valorem  
duty Rate Ad 
valorem  
duty 
Rate Non- ad valorem   
duty rate 
01029090 270 0   15060000 160 0   
01039290 270  0   15079090 160 9.6   
01041030 225    80.5 €/100 kg 15099000 160   134.6 €/100 kg 
01063990 75  0   15100090 160   160.3 €/100 kg 
02013000 288   12.8 + 303.4 €/100 kg 15122990 180 9.6   
02023090 315    12.8 + 304.1 €/100 kg 15149990 160 9.6   
02032990 333  0   15159099 85 9.6   
04013099 128  182.8 €/100 kg 15179099 170 16   
04029999 128  1.81 €/kg + 18.5 €/100 
kg 16010099 180   100.5 €/100 kg 
04039099 100  8.3 + 26.6 €/100 kg 16029098 180 16.6   
04049089 120  1.62 €/kg + 22 €/100 kg 17019990 180   41.9 €/100 kg 
04059090 200  231.3 €/100 kg 17029099 170   0.4 €/100 kg 
04069099 270  221.2 €/100 kg 17039000 170   0.35 €/100 kg 
04070090 135  7.7   17049099 120   9 + EA MAX 18.7 + 
AD S/Z 
04089980 120  35.3 €/100 kg 18069090 206   8.3+ EA MAX 18.7 + 
AD S/Z 
04090000 160  17.3   19024090 248   6.4 + 9.7 €/100 kg 
04100000 90  7.7   19049080 160   8.3 + 25.7 €/100 kg 
05040000 100 0   19059090 200   9 + EA MAX 20.7 + 
AD F/M 
05059000 85 0   20019099 75 16   
05069000 100 0   20029099 225 14.4   
06039000 140 10   20039000 135 18.4   
07019090 180 11.5   20049098 128 17.6   
07039000 90 10.4   20057090 128 12.8   
07052900 60 10.4   20060099 106 20   
07070090 80 12.8   20079998 200 24   
07129005 135 10.2   20089999 88 18.4   
07142090 128   6.4 €/100 kg 20099098 150 17.6   
08024000 60 5.6   21023000 120 6.1   
08030090 70 16   21039090 120 7.7   
08061010 200   See Annex 2 21042000 120 14.1   
08071900 90 8.8   21050099 220   7.9 + 54 €/100 kg 
MAX 17.8 + 6.9 
€/100 kg 
08082090 200 7.2   21069020 220   17.3 MIN 1 €/% 
vol/hl 
08094090 90 12   22019000 98 0   
08104090 80 9.6   22029099 120   5.4 + 21.2 €/100 kg 
08119095 85 14.4   22030010 280 0   
08129010 120 12.8   22043098 315   See Annex 2 
08134030 200 6.4   22059090 247   0.9 €/% vol/hl 
10019099 240   95 €/t 22060089 298   5.76 €/hl 
10020000 240   93 €/t 22072000 234   10.2 €/hl 
10030090 240   93 €/t 22089099 220   1 €/% vol/hl 
10040000 120   89 €/t 22090099 105   3.84 €/hl 
10059000 240   94 €/t 23025000 105 5.1   
10064000 120  128 €/t 24013000 80  11.2 MIN 22 €/100 
kg MAX 56 €/100 kg 
11010090 240   172 €/t 24029000 100 57.6   
11029090 240   98 €/t 24039990 120 16.6   
11032090 135   98 €/t 29054499 60   9.6 + 53.7 €/100 kg 
11043090 135   75 €/t 33013000 60 2   
11052000 135 12.2   33021010 220   17.3 MIN 1 €/% 
vol/hl 
11063090 75 8.3   35019090 150 6.4   
11072000 200   152 €/t 35029090 75 7.7   
11081990 135   166 €/t 35030080 75 7.7   
11090000 160   512 €/t 35040000 75 3.4   
Table AII.3 (cont'd) WT/REG220/2 
Page 46  
 
  Romania 
2006 EC 2007 Romania 
2006 EC 2007 
Tariff 
Line Ad valorem  
duty Rate Ad valorem  
duty Rate Non- ad valorem  
duty rate Tariff  
Line 
 Ad valorem  
duty Rate Ad 
valorem  
duty 
Rate Non- ad valorem   
duty rate 
12060099 160 0  35052090 75  8.3 + 17.7 €/100 kg 
MAX 11.5 
12102090 170 5.8  38091090 85  8.3 + 17.7 €/100 kg 
MAX 12.8 
12129920 105   4.6 €/100 kg 38246099 70   9.6 + 53.7 €/100 kg 
12130000 80 0   41019000 175 0   
14012000 80 0   41022900 175 0   
15010090 225 11.5   41033000 150 0   
15020090 120 3.2   50010000 60 0   
15030090 120 6.4   51013000 270 0   
15050090 160 0   51033000 270 0   
 
Source: WTO Secretariat, based on data from the European Commission. 
 
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