Lithuanian main foreign trade partners

Abstract

Changes in trade also affected intra-industry trade. The growing expansion of intra-industry trade in the world trade is important for the individual countries economies and for the export and import structure. These double-sided trade exchanges occur between the most similar counties in technologically, economics and markets structure. This kind of trade concludes the largest part of world trade share. Some economists think that the intra-industry trade is based on monopolistic competition and economies of scale, which point that any countries located close to each other will trade with each other in similar products the more intensively, the more they are similar to each other both with regard to economic development and geographical resources. Various indices are used to assess the intensiveness of the intra-industry trade. Calculations provided in the article are carried out by applying the Grubel-Lloyd index, which is the most frequently used for this purpose. The largest foreign trade partner countries were selected for the analysis as follows: Russia, Germany, Latvia and Poland.