Should the UK remain a member of the EU’s customs union?
Both sides of the argument over whether or not the UK should remain a member of the EU customs union
A quick reminder: what exactly is a customs union?
A customs union is a trade agreement between two countries who decide not to tax each other’s imports. They agree, instead, to impose common taxes on goods from countries outside their customs union. The EU customs union is different from the single market. Goods traded between EU countries are free from taxes, but a common tax is applied to goods from outside the EU. Having common taxes on imported goods makes a customs union different from a free trade area, where each country can decide its own rate of tax on imports. Members of the European Economic Area (EEA) have access to the single market, but not the customs union.