Moldova

EU trade relations with Moldova. Facts, figures and latest developments.

• Moldova

• Negotiations and agreements
• Trade policy

The Association Agreement between the European Union and the Republic of Moldova was signed in June 2014 and has been in full effect since July 2016.

Since the Agreement's provisional application since September 2014 Moldova has benefitted from a Deep and Comprehensive Free Trade Agreement (DCFTA) with the EU.

This preferential trade system has allowed Moldova to benefit from reduced or eliminated tariffs for its goods, an increased services market and better investment conditions.

The Priority Action Plan (PAP) (see infographic) for enhanced cooperation of the EU-Moldova DCFTA in 2023-2024 lays down a set of concrete actions to accelerate and monitor the full implementation of the DCFTA, providing Moldova with further access to the EU Single Market.

Trade picture

• The EU is Moldova's biggest trade partner, accounting for 53.7% of its total trade in 2023, followed by Ukraine (13.1%) and China (8.1%). Moldova's proportion of trade with Russia has fallen significantly and now represents only 3.7% of Moldova’s total trade.
• 65.4% of Moldovan exports are destined for the EU market.
• Moldova ranks 65 th among the EU's trade partners, with a total turnover of around €7.2 billion in 2023.
• The EU's exports to Moldova in 2023 amounted to €4.8 billion, a modest increase of about 2% from 2022. Key EU exports are machinery and appliances, products from the chemical or related industries, and transport equipment.
• The EU's imports from Moldova decreased slightly (-7%) from the high levels achieved in 2022, representing €2.4 billion in 2023. The EU's main imports from Moldova are machinery and appliances, mineral products, and products from the chemical or related industries.

The EU and Moldova

EU-Moldova relations entered a new strategic phase when EU member states in the European Council granted Moldova the status of EU candidate country on 23 June 2022. On 14 December 2023, the Council decided to open accession negotiations with Moldova.

In the meantime, EU-Moldova trade relations are determined by the free trade area set up by the DCFTA part of the Association Agreement.

The DCFTA sets up a free-trade area between the EU and Moldova in line with the principles of the World Trade Organisation.

The DCFTA allows for:

• The removal of import duties for most goods traded between the EU and Moldova
• Provides for broad mutual access to trade in services for both partners
• Both EU and Moldovan companies can create a subsidiary or a branch office on a non-discriminatory basis. This means they receive the same treatment as domestic companies in the partner's market when setting up a business.

An important part of the DCFTA is aligning Moldovan trade-related laws to selected EU legislative acts. The aim of Moldova's adoption of EU approaches to policy-making is to improve governance, strengthen the rule of law and provide more economic opportunities by widening the EU market to Moldovan goods and services.

Temporary measures in support of Moldovan exports to the EU

The EU has adopted a regulation which provided temporary full trade liberalisation for Moldovan agricultural products for one year. The measures were first introduced in July 2022, and have been extended until 24 July 2025.

The regulation is just one of the measures adopted by the EU as part of its solidarity with the region in the context of the Russian war of aggression in Ukraine.

Moldova and European Neighbourhood Policy

Moldova is a partner country of the Eastern Partnership within the European Neighbourhood Policy. In 2014, the EU and Moldova agreed an Association Agenda, which outlined the priorities for reform in Moldova and was based on the commitments included in the 2014 Association Agreement. The reform progress in Moldova is documented by the EU in the annual implementation reports.

Committees and Dialogues

The EU and Moldova meet regularly to discuss issues and best practices and oversee the proper functioning of the Agreement.

Trading with Moldova

• Importing into the EU from Moldova
  • EU trade defence measures on imports from Moldova
  • Monitoring data on imports from Moldova into the EU subject to trade liberalisation measures
  • Trade defence measures in force in Moldova