Romania’s trade deficit (chart) narrowed for the fourth consecutive quarter in the first three months of 2026, declining by 9.3% year-on-year to €7.7bn, according to data published by the statistics office INS.

Based on the latest available GDP data, the trade deficit fell to 2.0% of GDP in Q1 2026, down from 2.4% in the same period of 2025.

Over the four quarters ending in March 2026, Romania’s cumulative trade deficit contracted by 9.4% year-on-year to €31.95bn, equivalent to 8.4% of GDP, down from 10.0% one year earlier.

Imports declined by 1.7% year-on-year to €31.5bn during Q1, reflecting weaker domestic consumption and subdued economic activity amid ongoing fiscal consolidation measures.

Exports, by contrast, increased modestly by 1.1% year-on-year to €23.8bn. However, the 12-month export-to-GDP ratio dropped to 25.6% calculated as of March 2026, down from 26.4% calculated one year earlier, witnessing slower economic activity.

A significant contribution to the import contraction came from lower purchases of mineral fuels, oil and natural gas, which fell by 14.2% year-on-year as two Romanian refineries underwent technical shutdowns during part of the quarter.

Food imports, another major contributor to Romania’s structural trade imbalance, edged down by 0.2% year-on-year in Q1.

Several sectors supported export growth. Food exports rose by 5.2% year-on-year to €1.77bn, while exports of raw materials and low-processed goods increased by 3.4% to €3.66bn.

Exports of transport equipment, mainly automobiles, advanced by 2.9% year-on-year to €11.1bn, remaining Romania’s largest export category.

The continued narrowing of the trade deficit comes amid weaker domestic demand following VAT increases introduced in August 2025, tighter fiscal conditions and slower consumer spending growth.

At the same time, softer imports and still resilient exports have contributed to easing pressure on Romania’s current account balance after years of large external deficits.