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Old 17.01.2017, 21:40
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Re: The Brexit referendum thread: potential consequences for GB, EU and the Brits in

May spoke about a Customs Union deal so this is interesting?
Turkey has a “customs union” for goods with the EU. It is not bound by the CAP (and it’s agricultural products are outside of the customs union), it doesn’t pay fees and there is no freedom of movement of people between Turkey and the EU.

Unfortunately, there is a catch – or rather, several of them.
The Turkish customs union covers only goods, not services or finance. So a Turkish-style deal would be denying us a big part of the single market.
What’s more, the quid pro quo of even this limited access is that Turkey has to follow the EU’s rules for the production of goods – without any say on what those rules are.
A pattern should be familiar by now: to the extent that a country gets access to the single market, it has to follow the EU’s rules.

Turkey’s customs union with the EU – a key difference from the Norwegian or Swiss models – creates further problems. It requires Turkey to align its trade policy with the EU’s, seeking to cut free trade deals on goods with whomever Brussels makes deals.

The snag is that Turkey does not have any vote on which free trade deals the EU pursues and so no way of making sure they satisfy its interests. Nor do the EU’s trading partners necessarily have an incentive to open their markets to Turkey, as they can simply cut deals with the EU and get access to the Turkish market by sending goods to the EU and then on to Turkey. They have often delayed several years before signing trade deals with Turkey – meaning its businesses were at the back of the queue when it came to penetrating new markets.

And from here
Remaining in the EU customs union would have profound implications for the ability of the UK to govern itself as an independent nation and deprive it of the ability to decide its own laws over very wide fields of domestic policy extending far beyond customs controls themselves, prevent the UK from exercising an independent trade policy or concluding its own trade agreements with states outside the EU, and inevitably result in the UK being subject to the continuing jurisdiction of the European Court of Justice (ECJ) over the interpretation and application of the common rules which regulate the customs union.
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