1.8. Summary
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The European Union (EU) is a customs union where tariffs only apply when a commodity crosses the borders of the EU territory. No tariffs apply within the EU irrespective of the origins of the commodity. The EU is a long-term initiative with roots after the Second World War, set up in order to prevent further wars. The EU follows the idea of a single market where freedom to trade, move, live and work is guaranteed. At the same time, it uses its size to put forward its ideas when co-operating with the World Trade Organization or during other negotiations. To ease trade within the union, most countries introduced a common currency, the euro. However, the EU has also recently been coping with the negative sides of it, which was the United Kingdom leaving the union – its departure commonly referred to as “Brexit”.
