customs union

Also found in: Dictionary, Thesaurus, Legal, Acronyms, Encyclopedia, Wikipedia.
Related to customs union: Common Market, Economic union

Customs union

An agreement by two or more countries to erect a common external tariff and to abolish restrictions on trade among members.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Customs Union

A market with the free movement of goods, services, labor, and capital between two or more jurisdictions. For example, even though Texas and Oklahoma are different places with different governments and regulations, the two have a customs union because workers do not need permission to move between them and one may transfer money between them without incurring any tariffs or fees. Most often, however, a customs union refers to a union between two or more countries, not regions within the same country. For example, the European Union is a customs union. See also: Free trade.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

customs union

Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson

customs union

a form of TRADE INTEGRATION between a number of countries in which members eliminate all trade barriers (TARIFFS, etc.) amongst themselves on goods and services, and establish a uniform set of barriers against trade with the rest of the world, in particular a common external tariff. The aim of a customs union is to secure the benefits of international SPECIALIZATION AND INTERNATIONAL TRADE, thereby improving members’ real living standards. See GAINS FROM TRADE, TRADE CREATION, EUROPEAN UNION, MERCOSUR.
Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005
References in periodicals archive ?
Despite all these positive developments, there are some serious problems stemming from the structure of the customs union agreement.
"Over the past few years, GCC countries made many breakthroughs towards the establishment of the GCC Customs Union. The top breakthroughs were the launch of the Common Customs Tariff System on imports, the application of the unified customs law, and the removal of many customs and non-customs restrictions on the inter-trade movement.
In March, a top GCC official said the pending issues need to be resolved to reach a final deal on the customs union in line with an agreed timetable this year.
Kuwaiti Finance Minister Mustafa Al Shamali said that his GCC counterparts had agreed to implement the electronic system, and he played down the remaining obstacles to a customs union.
The EU and Turkey are linked by a Customs Union agreement, which came in force on 31 December 1995, pursuant to the 1963 EU-Turkey Association Agreement, which aims at promoting trade and economic relations.
However, country A can choose to make an appropriate non-preferential tariff reduction rather than to join the customs union. If country A reduces the non-preferential tariff from T to T', the price of good X in country A will be lowered from [P.sub.1] to [P'.sub.2] as in the customs union.
In the case of the customs union we consider three cases.
Speculation that Theresa May could be forced into accepting a customs union arrangement has mounted since her defeat in the House of Lords last week, prompting reports that senior Brexiteers including Boris Johnson would not accept any dilution of her "red line" on withdrawal.
House of Commons library analysis commissioned by Labour indicated the decision to rule out a new customs union with the European Union could cost the UK economy PS24 billion by 2033.
Britain has ruled out any form of customs union with the European Union after Brexit, according to a source in Prime Minister Theresa May's Downing Street office.
A hard Brexit without the protection of the single market and the customs union poses an economic threat to Britain which is "unparalleled in recent times", the SNP Westminster leader has warned.
BRITAIN will quit the customs union when we leave the EU in March 2019.