PART III: THE POLICIES AND FUNCTIONING OF THE UNION
TITLE III - INTERNAL POLICIES AND ACTION
CHAPTER I - INTERNAL MARKET
SECTION 3- FREE MOVEMENT OF GOODS
Subsection 1 - Customs union
ARTICLE III-151
1. The Union shall comprise a customs union which shall cover all trade in goods and which shall involve the prohibition between Member States of customs duties on imports and exports and of all charges having equivalent effect, and the adoption of a common customs tariff in their relations with third countries.
2. Paragraph 4 and Subsection 3 on the prohibition of quantitative restrictions
shall apply to products originating in Member States and to products coming
from third countries which are in free circulation in Member States.
3. Products coming from a third country shall be considered to be in free circulation in a Member State if the import formalities have been complied with and any customs duties or charges having equivalent effect which are payable have been levied in that Member State, and if they have not benefited from a total or partial drawback of such duties or charges.
4. Customs duties on imports and exports and charges having equivalent effect
shall be prohibited between Member States. This prohibition shall also apply
to customs duties of a fiscal nature.
5. The Council, on a proposal from the Commission, shall adopt the European
regulations and decisions fixing Common Customs Tariff duties.
6. In carrying out the tasks entrusted to it under this Article the Commission
shall be guided by:
(a) the need to promote trade between Member States and third countries;
(b) developments in conditions of competition within the Union insofar as they
lead to an improvement in the competitive capacity of undertakings;
(c) the requirements of the Union as regards the supply of raw materials and
semi-finished goods; in this connection the Commission shall take care to avoid
distorting conditions of competition between Member States in respect of finished
goods;
(d) the need to avoid serious disturbances in the economies of Member States
and to ensure rational development of production and an expansion of consumption
within the Union.
Subsection 2 - Customs cooperation
ARTICLE III-152
Within the scope of application of the Constitution, European laws or framework laws shall establish measures in order to strengthen customs cooperation between Member States and between them and the Commission.
Subsection 3 - Prohibition of quantitative restrictions
ARTICLE III-153
Quantitative restrictions on imports and exports and all measures having equivalent
effect shall be prohibited between Member States.
ARTICLE III-154
Article III-153 shall not preclude prohibitions or restrictions on imports,
exports or goods in transit justified on grounds of public morality, public
policy or public security; the protection of health and life of humans, animals
or plants; the protection of national treasures possessing artistic, historic
or archaeological value; or the protection of industrial and commercial property.
Such prohibitions or restrictions shall not, however, constitute a means of
arbitrary discrimination or a disguised restriction on trade between Member
States.
ARTICLE III-155
1. Member States shall adjust any State monopolies of a commercial character so as to ensure that no discrimination regarding the conditions under which goods are procured and marketed exists between nationals of Member States.
This Article shall apply to any body through which a Member State, in law or
in fact, either directly or indirectly supervises, determines or appreciably
influences imports or exports between Member States. It shall likewise apply
to monopolies delegated by the State to others.
2. Member States shall refrain from introducing any new measure which is contrary
to the principles laid down in paragraph 1 or which restricts the scope of the
Articles dealing with the prohibition of customs duties and quantitative restrictions
between Member States.
3. If a State monopoly of a commercial character has rules which are designed
to make it easier to dispose of agricultural products or obtain for them the
best return, steps should be taken in applying this Article to ensure equivalent
safeguards for the employment and standard of living of the producers concerned.