Zone 3 – European Federation Customs Union

The setting up of this Zone may also start in parallel to the transition of the Eurozone into the EF. This zone will have its own Treaty, modelled on the current Customs Union Treaty. The key differences between the EFSM and EFCU zone are summarized below:

  1. Principles and values. The joining members will have to accept that they will strive to modify their political system to respect the Universal Values of Humanity.
  2. Constitutional relevance. The joining members will: Become a member of the EFCU; Support at times of utmost urgency the actions of the President or the Prime Minister of the EF if they have to react to events at national or global scale within hours, even if it meant a temporary suspension of the EFCU member’s sovereignty rights; Strongly support the process of decision making at all levels through consensus rather than arbitrarily impose the rule of majority; Accession, suspension and expelling of EFCU member state is the sole power of the EF Government.
  1. Respect for the rulings of the European Court of Justice
  2. Trading relations with the EF. All member states of the EFCU benefit from tariff free trade and unrestricted movement of goods across the EF and its Zones 1,2 and 3.
  3. Trading relationship with nonEF countries. No EFCU member state can enter into trading relationship with a non-EF country without a prior agreement with the EF government.
  4. Contributions to the EF budget. All members pay 1% of their budget into the EF budget to help finance joint projects.
  5. Each country uses its own currency
  6. Single Market. The EFCU members do not have access to Single Market.
  7. Opt-outs. Members may declare opt-outs of any agreed policy of the EFCU unless it violates the principles of the EFCU Treaty. The ultimate arbiter will be the European Court of Justice.

The creation of the EFCU will streamline current Customs Union agreements and bring those countries closer to the EF, opening a possible path to joining the EF Single Market zone at some stage.