European Union Trade Agreement Business & Marketing Essay (Essay Sample)

International Business
Student’s First Name, Middle Initial(s), Last Name
Oxford College of Canada
BBB4M
May 19, 2020
European Union Trade Agreement
History and Regions
The trade agreement was established on May, 9 1950 but was eventually signed in 1957 by six European nations including Germany, Belgium, Netherlands, Italy, Luxembourg and France. In the subsequent years many countries joined the trade union and it currently consists of twenty-seven trading partners. The latest development to occur was the withdrawal of United Kingdom from the trade agreement on January, 31 2020. The trade union was established to enhance the economic growth of the member states by conducting free trading activating among states and facilitating the movement of citizens from the countries without necessarily having the passports. The agreement was reached after the signing of the Schengen Agreement in 1985. The trading agreements spans the eurozone which consists of twenty-seven countries which signed the treaties for membership.
Affects and benefits
The trading agreement affects the economic activity among the member states. It was signed with aim of boosting economic relations among the members states. The trade agreement has significant impacts on the economic growth of the member states and movement of the citizens within the said countries. All tax such as custom duties have been relieved from the goods and services. The effects are increased trading activities with the member states thus enhancing the economic viability of the economic activities. Moreover, the countries have created job opportunities to millions of traders involved in importing and exporting products among the member states. Moreover, citizens of the member states access the nations without the need to possess a passport thus increasing networking among the youth and trading activities secondary to enhanced movement of the traders across the borders.