Aspects of European competitiveness – in the light of the Hungarian Presidency

Authors: Tamás Csontos, Andrea Éltető, Magdolna Sass

In: HUN-REN CERS, Institute of World Economics, Working Paper Nr. 280 (2024) December 2024

Abstract

Competitiveness is a complex concept that can be applied at various levels, such as micro-, meso-, and macro-levels. Comparative analysis of countries can be relevant in certain areas, such as foreign trade and foreign direct investments. These fields primarily reflect the Central and Eastern European region’s strong integration into global value chains. Foreign direct investments have also been perceived as an indicator of competitiveness, although in different ways across industries and economies. This study concentrates on the two domains of foreign trade and FDI, often overlooked in the recent extensive reports on the European single market and competitiveness. Trends and data from 2005 to 2023 are analysed, comparing the USA, China and the EU. Our findings prove the loss of position of the EU but also point to the heterogeneity of the European regions and countries. Finally, we analyse the Budapest Declaration on the New European Competitiveness Deal.