Since the collapse of the COMECON trading zone, the Czech Republic has successfully re-orientated its trade to its traditional trading partners to the point where trade with the advanced economies accounts for the largest share. In the first half of 1996 trade with advanced market economies accounted for 63.9% of total exports and 70.6% of total imports. Trade with Germany has increased dramatically, making Germany the Czech Republic's most important trading partner, accounting for 36.0% of Czech exports and 30.2% of import. By contrast, the country's second largest partner, Slovakia, accounts for 14.2% of exports and 9.8% for imports, having greatly decreased since the division of Czechoslovakia. This trend is expected to continue. Other important trading partners include Austria, Italy and Poland.

Total exports for the first half of 1996 amounted to $11.1 billion and imports $13.8 billion. This trade imbalance is financed primarily by foreign currency reserves.

The most important export commodities are iron, steel, textiles, cars and electrical engineering. Import were comprised mostly of electrical engineering, iron and steel, office equipment and data processing machines, raw materials, paper and paper products and cars.


SITC 0.1.4 = Food and live animals, beverages and animal and 
             vegetable oils and fats
SITC 2.3   = Cruder materials, mineral fuels
SITC 5     = Chemicals
SITC 6     = Manufacturer goods classified by material#
SITC 7     = Machinery and transport equipment
SITC 8     = Other manufactured products
SITC 9     = Commodities and transaction e.s.


Territorial structure of exports of the CR (share in %)






                    DME     DC     OC      ET      SR      CEFTA
     1993           54.3    8.5    2.2     35      21.5    26.4
     1994           59.7    7.3    0.9     32.1    16.3    22.9
     1995           60.1    6.0    0.8     33.1    16.2    23.7
     Jan-June 1996  63.9    6.0    0.6     29.5    14.2    22.4


Source: The Czech Republic in the international economy (January 96-
        Ministry of Industry and Trade)
        Czech Foreign Trade in Statistics (June 96-Ministry of 
        Industry and Trade)


                          Jan - Dec 1995
                  Trade turnover           100%
                  Export                   44.9%
                  Import                   55.1%


                    DME      DC      OC      ET      SR      CEFTA
     1993           60.7     4.9     0.7     33.7    17.5    21.4
     1994           64.6     5.4     0.7     29.3    14.2    18.5
     1995           65.1     5.0     1.1     28.4    13.1    17.5
     Jan-June 1996  70.6     5.0     1.1     23.3    9.8     14.6

DME   = Developed market economies
ET    = Economies in transition
DC    = Developing countries
SR    = The Slovak Republic
OC    = Other countries(countries with state trading system, without    
        specification)
CEFTA = Central Europe Free Trade Agreement


Source:  The Czech Republic in the international economy (January 96-
         Ministry of Industry and Trade)
         Czech Foreign Trade in Statistics (June 96-Ministry of
         Industry and Trade)





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