An association between two or more countries to eliminate tariffs and other import restrictions on each other´s goods and establish a common tariff on the goods from all other countries. As in the free trade area, goods and services are freely traded among members. In addition, however, the customs union establishes a common trade policy with respect to non-members. Typically this takes the form of a common external tariff, whereby imports from non-member are subject to the same tariff when sold to any member country. See economic integration.