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Croatia’s Economic Integration in EU’s Regional Supply Chains: Panel Data Quantile Regression

Authors: Davor Mance; Dora Šekimić; Borna Debelić;

Croatia’s Economic Integration in EU’s Regional Supply Chains: Panel Data Quantile Regression

Abstract

Background: Recent global disruptions have exposed the vulnerability of international supply chains, prompting a shift toward regionalization to enhance economic resilience. As a European Union (EU) member, Croatia has an opportunity to strengthen its integration into EU regional value chains (RVCs), fostering economic stability and competitiveness. This study examines Croatia’s integration into EU RVCs and its economic impact. Methods: Using panel data from the UNCTAD–Eora database (2000–2019), this study applies panel data quantile regression (PDQR) to analyse Croatia’s trade relationships with EU Member States. Unlike traditional regression models, PDQR captures variations in trade dynamics across different levels of economic activity, providing a more detailed understanding of Croatia’s trade resilience. Results: The findings show that Croatia’s trade integration strengthens at higher economic quantiles (τ = 0.75–0.85), reflecting its ability to scale exports during economic expansions. Lower quantiles (τ = 0.05–0.25) display stable but less dynamic trade patterns, suggesting a need for targeted policy interventions to enhance supply chain resilience. Strong trade linkages with Germany, Austria, Slovenia, Hungary, and Italy highlight Croatia’s comparative advantage in high-value trade sectors. Conclusions: Croatia’s integration into EU RVCs supports economic resilience and competitiveness. These findings provide insights for policymakers to optimize trade participation and mitigate vulnerabilities. By demonstrating the benefits of quantile-based trade analysis, this study advances the discourse on regional economic integration.

Keywords

trade resilience, panel data quantile regression, Croatia, economic integration, Management. Industrial management, European Union, supply chains, HD28-70, K4011-4343, Transportation and communications, Transportation and communication, HE1-9990

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    popularity
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    Top 10%
    influence
    This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
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    impulse
    This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
3
Top 10%
Average
Average
gold