Live revision! Join us for our free exam revision livestreams Watch now

Topics

Trading Blocs

Trading blocs are groups of countries that have come together to reduce or eliminate trade barriers between them and increase economic integration. Here are a few examples of trading blocs:

  • European Union (EU): The EU is a political and economic union of 27 member states in Europe. It has a common market, a common currency (the Euro), and a common trade policy.
  • Association of Southeast Asian Nations (ASEAN): ASEAN is a regional organization of ten Southeast Asian nations. It has a free trade agreement called the ASEAN Economic Community, which aims to create a single market and production base in the region.

In Africa, one example is the East African Community (EAC), which is a regional trade bloc that includes Burundi, Kenya, Rwanda, South Sudan, Tanzania, and Uganda. The EAC aims to create a common market, a common currency, and a common external tariff among its member states. Another example is the Southern African Development Community (SADC), which is a regional organization of 15 Southern African countries. The SADC has a free trade area and is working towards the establishment of a customs union. Finally, there's also the African Continental Free Trade Area (AfCFTA), which is a continental trade agreement that aims to create a single market for goods and services in Africa.

© 2002-2024 Tutor2u Limited. Company Reg no: 04489574. VAT reg no 816865400.