Overview of best prospect sectors, major infrastructure projects, significant government procurements and business opportunities.
Last Published: 7/25/2019

Romanians are generally very welcoming of Americans and very favorable towards products and services from the U.S.  Despite Romania’s challenges, several underlying attributes of its economy allow it to keep positive momentum in terms of economic growth and, ultimately, opportunities for trade.  As an EU member state, Romania not only offers a sizable domestic market but also a comparatively low-cost foothold for accessing the entire EU market.  The country’s location - bordering the Black Sea in Southeast Europe - provides a view beyond Europe and shortens the distance for export sales to Turkey, the Balkans, the Middle East, Ukraine, and Moldova. 
The U.S. Commercial Service Romania believes that the best prospects for U.S. companies in Romania are in the following sectors, each of which is explored in greater detail later in this report:

  • Agricultural Machinery and Equipment
  • Defense
  • Energy, Oil & Gas, Renewable Energy
  • ICT (Information & Communications Technology)
  • Transportation (Road & Rail, Technical Equipment)
  • Agricultural Products

-- The European Union and EU Funding

Romania has been a member of the European Union since January 2007.  The country has benefited from EU funds in two subsequent programming periods, namely 2007-2013 and 2014-2020.
For the first programming period, the EU allocated approximately €19.2 billion ($21.12 billion) for Romania.  The eligible sectors ranged from areas such as transport and rural development, education and social inclusion, to energy and environment.  The funds were slowly utilized during the first few years, but, eventually, the absorption rate reached almost 90%.  However, this high absorption rate was largely because the EC agreed to roll-over uncompleted funding to the 2014-2020 cycle.  In infrastructure, for example, the absorption rate would have been below 70% without this roll-over provision. 
Several measures have been taken in order to improve the absorption rate, such as decreasing the procedural timeframe needed to process reimbursement claims.  In addition, the government adopted a simplified procedure for awarding contracts for goods and services.  Despite these measures, the absorption rate for the current period remains under 10%.  Romania is missing a tremendous opportunity by not effectively accessing EU funding.
For the current programming period in 2014-2020, the EC has allocated €43 billion ($ 57.1 billion in 2014) to Romania, distributed across the following programs:
  • Competitiveness Operational Program (€1.33 billion/$1.76 billion from the European Regional Development Fund): focuses on strengthening research, development, and innovation (RDI); supporting economic competitiveness and the development of business; and enhancing access to information and communication technologies (ICT), all for a competitive digital economy.
  • Human Capital Operational Program (€4.22 billion/$5.6 billion from the European Social Fund and the Youth Investment Initiative): represents an important source of investment in employment, education, and social inclusion, with a focus on youth, Roma integration, and rural population.
  • Large Infrastructure Operational Program (€9.41 billion/$12.5 billion from the  European Regional Development Fund and the Cohesion Fund): addresses the development challenges in the fields of transport infrastructure, sustainable urban transport, environment, and energy and risk prevention.
  • Regional Operational Program (€6.7 billion/$8.9 billion from the European Regional Development Fund): aims at promoting smart, sustainable, and inclusive growth in all regions of Romania.
  • Administrative Capacity Operational Program (€0.55 billion/$0.73 billion from the European Social Fund): aims to improve the efficiency, transparency, and accessibility of Romania’s public administration and judicial system.
  • Technical Assistance Operational Program (€0.21 billion/$0.278 billion from the European Regional Development Fund): covers support for the management of European Structural and Investment Funds.
  • Other programs include the National Rural Development Program (€8 billion/$10.628 billion), Fisheries Operational Program (€0.17 billion/$0.22 billion) and Territorial Cooperation Programs (€0.45 billion/ $0.59 billion).

Additionally, the European Investment Bank came to an agreement with the Government of Romania and the European Commission in early 2016 to implement an SME Initiative in Romania.  It is expected that €0.5 billion ($0.555 billion) of new SME financing will be provided under this initiative.
To ensure that U.S. companies get the full benefits of the trade agreements the United States has negotiated, the U.S. Government has developed a trade compliance initiative that includes the establishment of the Interagency Trade Enforcement Center (ITEC).   U.S. trade agencies work closely and diligently with the business community to ensure that the EU and its member states comply with their bilateral and multilateral trade obligations, all while minimizing market access problems affecting U.S. firms.

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.