Review:
Customs Unions
overall review score: 4.2
⭐⭐⭐⭐⭐
score is between 0 and 5
Customs unions are agreements between two or more countries to remove tariffs on goods traded between them and establish a common external tariff for imports from non-member countries.
Key Features
- Elimination of tariffs on goods traded between member countries
- Establishment of a common external tariff for imports from non-member countries
- Increased trade and economic cooperation among member countries
Pros
- Promotes trade and economic growth among member countries
- Reduces barriers to trade by eliminating tariffs within the union
- Facilitates coordination on trade policies and regulations
Cons
- Loss of sovereignty in setting trade policies independently
- Complex negotiations to reach agreements among member countries
- Potential for disputes over distribution of tariff revenues