Editing European Union (section)

===Trade===
As a political entity, the European Union is represented in the [[World Trade Organization]] (WTO). Two of the original core objectives of the European Economic Community were the development of a common market, subsequently becoming a [[single market]], and a [[European Union Customs Union|customs union]] between its member states.

====Single market====
{{Main|European single market}}
{{Further|Digital Single Market}}
[[File:EU Single Market.svg|thumb|right|upright=1|[[European Single Market]]
 {{Leftlegend|#003399|[[Member state of the European Union|EU member states]]}}
 {{Leftlegend|#a050ffff|Non-EU states which participate}}
]]

<!-- European Single Market-->
The single market involves [[European Single Market|the free circulation of goods, capital, people, and services within the EU]],<ref name="Europa Single Market">{{Cite web |title=The Single Market |url=http://ec.europa.eu/internal_market/index_en.htm |url-status=dead |archive-url=https://web.archive.org/web/20071001122551/http://ec.europa.eu/internal_market/index_en.htm |archive-date=1 October 2007 |access-date=27 June 2007 |publisher=Europa web portal}}</ref> The free movement of services and of establishment allows self-employed persons to move between member states to provide services on a temporary or permanent basis. While services account for 60 per cent to 70 per cent of GDP, legislation in the area is not as developed as in other areas. This lacuna has been addressed by the [[Services in the Internal Market Directive 2006]] which aims to liberalise the cross border provision of services.<ref name="Europa Single Market S">{{Cite web |last=European Commission |title=A Single Market for Services |url=http://ec.europa.eu/internal_market/top_layer/index_19_en.htm |url-status=dead |archive-url=https://web.archive.org/web/20070610133514/http://ec.europa.eu/internal_market/top_layer/index_19_en.htm |archive-date=10 June 2007 |access-date=27 June 2007 |publisher=Europa}}</ref> According to the treaty the provision of services is a residual freedom that only applies if no other freedom is being exercised.

====Customs union====
{{Main|European Union Customs Union}}
[[File:EU Customs Union.svg|thumb|upright=1|[[European Customs Union]]
 {{Leftlegend|#003399|[[Member state of the European Union|EU member states]]}}
 {{Leftlegend|#a050ff|Non-EU states which participate}}
]]

<!-- European Customs Union -->
The customs union involves the application of a [[common external tariff]] on all goods entering the market. Once goods have been admitted into the market they cannot be subjected to customs duties, discriminatory taxes or [[import quota]]s, as they travel internally. The non-EU member states of [[Iceland]], [[Norway]], [[Liechtenstein]] and [[Switzerland]] participate in the single market but not in the customs union.<ref name="EEA">{{Cite web |last=European Commission |title=The European Economic Area (EEA) |url=http://eeas.europa.eu/eea/ |url-status=dead |archive-url=https://web.archive.org/web/20101202041812/http://eeas.europa.eu/eea/ |archive-date=2 December 2010 |access-date=10 February 2010 |publisher=Europa web portal}}</ref> Half the trade in the EU is covered by legislation harmonised by the EU.<ref name="Europa Single Market G">{{Cite web |last=European Commission |title=A Single Market for goods |url=http://ec.europa.eu/internal_market/top_layer/index_18_en.htm |url-status=dead |archive-url=https://web.archive.org/web/20070621214532/http://ec.europa.eu/internal_market/top_layer/index_18_en.htm |archive-date=21 June 2007 |access-date=27 June 2007 |publisher=Europa web portal}}</ref>

<!-- European Union Association Agreement -->
The [[European Union Association Agreement]] does something similar for a much larger range of countries, partly as a so-called soft approach ('a carrot instead of a stick') to influence the politics in those countries.
The European Union represents all its members at the [[World Trade Organization]] (WTO), and acts on behalf of member states in any disputes. When the EU negotiates trade related agreement outside the WTO framework, the subsequent agreement must be approved by each individual EU member state government.<ref name="Se-jeong" />

==== Competition and consumer protection ====
{{Main|European Union competition law|European consumer law}}
{{See also|European Union Intellectual Property Office}}

The EU operates a [[European Union competition law|competition policy]] intended to ensure undistorted competition within the single market.<ref group="lower-alpha">Article 3(1)(g) of the Treaty of Rome</ref> In 2001 the commission for the first time prevented a merger between two companies based in the United States ([[General Electric]] and [[Honeywell]]) which had already been approved by their national authority.<ref>{{Cite web |date=3 July 2001 |title=The Commission prohibits GE's acquisition of Honeywell |url=http://europa.eu/rapid/pressReleasesAction.do?reference=IP/01/939 |access-date=12 November 2007 |publisher=Europa web portal}}</ref> Another high-profile case, [[European Union Microsoft competition case|against Microsoft]], resulted in the commission fining [[Microsoft]] over {{Euro|777}}&nbsp;million following nine years of legal action.<ref>{{Cite news |last=Gow |first=David |date=22 October 2007 |title=Microsoft caves in to European Commission |url=https://www.theguardian.com/business/2007/oct/22/microsoft.microsoft |access-date=12 November 2007 |work=The Guardian |location=London}}</ref>

====External trade====
{{Main|Common Commercial Policy (EU)}}
[[File:EU FTAs.svg|thumb|EU free trade agreements
{{legend|lightblue|European Union}}
{{legend|green|Agreement in force}}
{{legend|lightgreen|Agreement (in part) provisionally applied}}
{{legend|orange|Agreement signed, but not applied}}
{{legend|#ff8080|Agreement initialed, not signed}}
{{legend|yellow|Agreement being negotiated}}
{{legend|#b3b3b3|Agreement negotiations on hold/suspended}}]]

The European Union has concluded [[European Union free trade agreements|free trade agreements]] (FTAs)<ref>{{Cite web |date=15 April 2016 |title=Free trade agreements |url=http://trade.ec.europa.eu/tradehelp/free-trade-agreements |url-status=dead |archive-url=https://web.archive.org/web/20190622093930/https://trade.ec.europa.eu/tradehelp/free-trade-agreements |archive-date=22 June 2019 |access-date=22 May 2018 |publisher=European Commission}}</ref> and other agreements with a trade component with many countries worldwide and is negotiating with many others.<ref>{{Cite web |title=Agreements |url=http://ec.europa.eu/trade/policy/countries-and-regions/agreements/ |access-date=17 March 2016 |publisher=European Commission}}</ref> The European Union's services trade surplus rose from $16 billion in 2000 to more than $250 billion in 2018.<ref>{{Cite web |title=The European Union and its trade partners {{!}} Fact Sheets on the European Union {{!}} European Parliament |url=https://www.europarl.europa.eu/factsheets/en/sheet/160/the-european-union-and-its-trade-partners |access-date=7 June 2021 |website=www.europarl.europa.eu |language=en}}</ref> In 2020, in part due to the COVID-19 pandemic, China became the EU's largest trading partner, displacing the United States.<ref>{{Cite journal |last=Wong |first=Audrye |date=May 2021 |title=How Not to Win Allies and Influence Geopolitics China's Self-Defeating Economic Statecraft |url=https://www.foreignaffairs.com/ |journal=Foreign Affairs |volume=100 |issue=3}}</ref> The European Union is the largest exporter in the world<ref>{{Cite web |title=Central Intelligence Agency |url=https://www.cia.gov/library/publications/the-world-factbook/rankorder/2078rank.html |url-status=dead |archive-url=https://web.archive.org/web/20081004073036/https://www.cia.gov/library/publications/the-world-factbook//rankorder/2078rank.html |archive-date=4 October 2008 |access-date=26 April 2011 |publisher=Cia.gov}}</ref> and in 2008 was the largest importer of goods and services.<ref>{{Cite web |title=World trade report 2009 |url=http://www.wto.org/english/res_e/booksp_e/anrep_e/world_trade_report09_e.pdf |publisher=WTO information website}}</ref><ref>{{Cite web |title=EU position in world trade |url=http://ec.europa.eu/trade/policy/eu-position-in-world-trade/ |access-date=24 May 2015 |publisher=European Commission}}</ref> Internal trade between the member states is aided by the removal of barriers to trade such as [[tariff]]s and [[border control]]s. In the [[eurozone]], trade is helped by not having any currency differences to deal with amongst most members.<ref name="Se-jeong">{{Cite news |last=Se-jeong |first=Kim |date=19 July 2009 |title=EU-Korea FTA Will Be a Long Process: Greek Ambassador |publisher=[[The Korea Times]] |url=https://www.koreatimes.co.kr/www/news/special/2009/07/139_48696.html |access-date=15 August 2009}}</ref> Externally, the EU's free-trade agreement with [[Japan]] is perhaps its most notable one. The [[Japan–European Union relations#Political relations and agreements|EU-Japan Economic Partnership Agreement]] was officially signed on 17 July 2018, becoming the world's largest bilateral free trade deal when it went into effect on 1 February 2019, creating an open trade zone covering nearly one-third of global GDP.<ref>{{cite web|title=European Union and Japan to sign historic trade deal|url=https://www.rte.ie/news/2018/0717/979174-eu_japan/|publisher=RTE|date=17 July 2018|access-date=17 July 2018}}</ref><ref>{{cite web|title=Japan-EU trade deal 'light in darkness' amid Trump's protectionism|url=https://www.theguardian.com/world/2018/jul/17/japan-eu-trade-deal-light-in-darkness-amid-trumps-protectionism|work=The Guardian|date=17 July 2018|access-date=17 July 2018}}</ref>