Customs union

Imagine you and your friends have a club where you share your toys and snacks. Everyone in the club follows the same rules about sharing and trading items. This group of rules is like a customs union!

A customs union is a group of countries that have agreed to trade with each other without charging taxes or tariffs on goods they exchange. This means that if one country makes something that another country wants to buy, they can do so without having to pay extra fees to import it. The countries in a customs union work together to decide on tariffs and trade policies for all member countries.

Just like in your club, everyone agrees to follow the same rules. So, all the countries in the customs union agree to abide by the same regulations and product standards. This helps to make trading between the countries easier and more predictable. It also helps to prevent certain countries from having an economic advantage over others.

Overall, a customs union helps countries to work together to make trade easier and more efficient. By getting rid of extra taxes and regulations, they're able to buy and sell goods with each other more freely!