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The EU customs union

The EU customs union creates a single tariff area for all goods imported from outside the EU, allowing the goods to move freely between member states without customs.

What is the EU customs union?

Established in 1968, the EU customs union has been a cornerstone of European economic integration. It facilitates trade, protects citizens, fosters innovation and helps the EU maintain its global economic leadership.

All EU member states are part of the EU customs union. This means that:

  • they apply the same rates or import tariffs to goods entering their territory from the rest of the world. Customs duties are based on the type of product and the country of origin
  • they do not impose customs duties internally on goods traded between them. Once goods have passed customs, they can circulate freely within the EU, without additional tariffs or border checks

The customs union also safeguards the EU's single market, controlling its external borders to allow goods to circulate freely within. Without it, the free movement of goods within the EU would be impossible.

The customs union thereby facilitates seamless trade, supports businesses, and protects citizens and the environment.

Truck

Union customs code: a common set of customs rules

Within the customs union, member states form a trade bloc. They use a uniform system for handling the import, export and transit of goods and apply a common set of customs rules. These rules are known as the union customs code (UCC), and they entered into force in 2016.

The code's key goals include:

  • modernising customs procedures through digital tools (e.g. electronic declarations and automated systems)
  • speeding up trade processes and reducing administrative burdens
  • ensuring transparency and efficiency in cross-border trade

The EU's customs reform

In May 2023, the Commission proposed a fundamental reform of the EU customs framework.

On 27 July 2025, the Council agreed to eliminate the customs duty relief threshold, which currently allows goods valued at less than €150 to enter the EU exempt from customs duty. However, since the new rules will not enter into force until the EU customs data hub becomes operational, the Council has agreed to apply fixed customs duty of €3 on items contained in these small parcels entering the EU, largely via e-commerce, from 1 July 2026.

On 25 March 2026, the Council and the European Parliament selected Lille as the host city for the future European Union customs authority (EUCA).

On 26 March 2026, the Council and the Parliament agreed on new and innovative instruments to facilitate global trade, improve the collection of customs duties and prevent non-compliant, dangerous or unsafe goods from entering the EU. 

Illustration of warehouse shelves stacked with cardboard boxes, with a handheld barcode scanner pointing at them and stylised digital circuit lines in the background to suggest automated, digital stock control.
Modernising the EU customs union

Modernising the EU customs union

The role of the customs union

Customs controls at the EU’s external borders protect consumers from goods that could be dangerous or harmful to their health.

They also help safeguard animals and the environment by tackling the illegal trade in endangered species and preventing the spread of plant and animal diseases.

The EU’s customs offices work closely with law enforcement and the migration authorities to combat organised crime and terrorism.

Consumer safety

Inspecting goods at external borders (ports, airports, and land crossings) to prevent the entry of dangerous goods and health hazards.

Environmental protection

Combatting the illegal trade of endangered species, exotic timber, and hazardous waste.

Crime prevention

Working with Europol, the European Anti-Fraud Office (OLAF), and Eurojust to combat organised crime, terrorism, and the trafficking of counterfeit goods.

Specialised operations

Using customs laboratories, advanced scanning technology, and risk analysis systems to detect fraud, hazardous goods, and illegal trade before goods enter the EU.

Benefits of the customs union

Safeguards citizens, animals, and the environment

The customs union plays a vital role in the EU's commitment to high standards of public health, product safety, security, and environmental protection. Through the protection of EU borders, dangerous goods and counterfeit products cannot access EU markets. For example, customs authorities check that children's toys entering the EU comply with EU safety requirements.

The union also enforces strict veterinary and phytosanitary standards to control the spread of animal and plant diseases and combats the illicit export of cultural goods and hazardous waste.

Global leader in trade and customs

The union's extensive international cooperation with many countries around the world has been instrumental in harmonising procedures and combating fraud. This reinforces the EU's position as a leader in secure and efficient global trade.

As one of the world's largest trading blocs, the EU customs union manages trade worth over €4.3 trillion, accounting for around 14% of global trade.

Economic growth and innovation

The customs union has been instrumental in creating jobs, enhancing competitiveness, and fostering innovation. The single market has generated millions of jobs and increased EU wealth by hundreds of billions of euros.

In 2024, exports of goods from EU countries to other EU countries stood at €4 025 billion. Estimated economic benefits range from 8% to 9% of EU gross domestic product (GDP).

Consumer benefits

The EU customs union benefits consumers by ensuring faster and more efficient trade, reducing bureaucratic delays and costs for imported goods. The single set of rules across all member states helps keep prices stable and competitive. Reduced trade barriers ensure lower priced and more affordable goods, access to a diverse range of products and increased market competition.

Customs union in numbers

For over 50 years, the EU customs union has been operating efficiently across national borders, managed by national customs offices working together.

Customs union in 2024:

  • almost 27 billion collected as customs duties
  • 2 140 EU customs offices, working 24 hours a day and 365 days a year
  • import, export and transit of more than 1 370 million items

Protecting the EU from dangerous goods

Every day, customs authorities identify risks and carry out checks to make sure that EU rules are respected. The EU ensures that its standards on health, environment, product safety and security are upheld, mainly through prohibitions and restrictions.

In 2024, there were 64 000 cases of goods detected by EU customs authorities presenting a risk for consumers in terms of health.

Customs authorities protect EU citizens against non-compliant or dangerous goods from non-EU countries. For example, they check that children's toys comply with EU safety requirements.

In 2024, customs officers seized:

  • 463.4 tonnes of illicit drugs
  • more than 180 000 items of explosives in the EU
  • 3.3 billion pieces of tobacco and cigarettes

Securing the EU against counterfeit goods

Imports of counterfeit and pirated products lead to a loss of profit, jobs and revenues of EU businesses.

In 2024, 112 million of counterfeit items were detained in the EU.

The most common counterfeit products detained were games, toys, recorded CDs/DVDs, labels/tags/stickers and packaging material.

Financing the EU budget

Tariffs on goods from outside the EU are generally paid once they enter the EU. Customs officers collect customs duties, which help fund the EU budget and member states' budget.

75% of the customs duties collected are destined for the EU budget, representing 13.7% of the total budget for 2024. Customs duties are also referred to as 'traditional own resources' as they have always existed as a direct source of revenue for the budget of the EU.

In 2024, a total of €20.1 billion was transferred to the EU budget.

At the same time, customs tariffs and other trade measures protect the EU against unfair trade practices and ensure fair trade with third countries.

See also

A map of the EU illustrating the movement of people and goods across various countries.
Single market

Single market

EU tariffs explained

EU tariffs explained

Trade

Trade

Last review: 26 March 2026