Which of the following describes the customs union of the EU?

Which of the following describes the customs union of the EU?

• A. Goods move freely with border checks
• B. Goods require strict tariffs for movement
• C. Goods cannot be exported without permits
• D. Goods are subject to subsidies

Answer: (A)

The customs union of the European Union is characterized by the elimination of customs duties and the establishment of a common external tariff for goods entering the union. In this system, goods can move freely between member states without being subjected to border checks, facilitating trade and economic integration. This free movement allows businesses to operate more efficiently as they do not have to navigate multiple customs regulations or face delays at borders. In contrast, the other options describe scenarios that are not applicable to the functioning of a customs union. The imposition of strict tariffs, the requirement of permits for export, and the necessary subsidies are not consistent with the principles that underpin the ease of movement and trade within the EU's customs union framework. The aim of the customs union is to foster free trade among member states while maintaining a unified trade policy towards non-member nations.

The customs union of the European Union is characterized by the elimination of customs duties and the establishment of a common external tariff for goods entering the union. In this system, goods can move freely between member states without being subjected to border checks, facilitating trade and economic integration. This free movement allows businesses to operate more efficiently as they do not have to navigate multiple customs regulations or face delays at borders.

In contrast, the other options describe scenarios that are not applicable to the functioning of a customs union. The imposition of strict tariffs, the requirement of permits for export, and the necessary subsidies are not consistent with the principles that underpin the ease of movement and trade within the EU's customs union framework. The aim of the customs union is to foster free trade among member states while maintaining a unified trade policy towards non-member nations.