Customs Union Abolishes Borders, Boosts Trade Between Russia, Belarus, and Kazakhstan
The Eurasian Customs Union of Russia, Belarus, and Kazakhstan was studied to see how common tariffs and non-tariff trade barriers affect trade patterns. Tariff increases reduce trade flows, but eliminating customs controls between members boosts trade within the Union. This growth is not just from diverting trade from non-members. The timing of removing internal customs controls was crucial in estimating the direct impact on trade.