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{{Unreferenced stub|auto=yes|date=December 2009}}
A '''common external [[tariff]]''' must be introduced when a group of countries forms a [[customs union]]. The same customs duties, [[import quota]]s, preferences or other [[non-tariff barriers to trade]] apply to all goods entering the area, regardless of which country within the area they are entering. It is designed to end [[re-exportation]]; but it may also inhibit imports from countries outside the [[customs union]] and thereby diminish consumer choice and support [[protectionism]] of industries based within the customs union.
The common external tariff is a mild form of economic union but may lead to further types of [[economic integration]]. In addition to having the same customs duties, the countries may have other common trade policies, such as having the same quotas, preferences or other non-tariff trade regulations apply to all goods entering the area, regardless of which country, within the area, they are entering.
Important examples of common external tariff are that of the [[Mercosur]] countries ([[Brazil]], [[Argentina]], [[Venezuela]], [[Paraguay]] and [[Uruguay]]), the Common Customs Tariff of the [[Eurasian Economic Community customs union]] as well as the [[European Union Customs Union]].
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