Summary Institutional and Substantive EU Law Notes on Free Movement of Goods

Free movement of goods

- Free movement of goods is secured through the elimination of customs duties and
quantitative restrictions and the prohibition of MEE

- Eliminating all obstacles to trade in the EU

- Right of free movement of goods originating in MS’s and goods from third countries in
free circulation

- The creation of the single market necessitated the elimination of all remaining obstacles
to the free movement of goods

- What did the EU do to abolish obstacles? → Fiscal and Non Fiscal Rules

Goods: Products which can be valued in money and which are capable, of forming the subject of
commercial transactions Commission v Italy 1968
- Ex: Waste, Electricity

Internal market: An area without frontiers in which the free movement of goods, persons,
services and capital is ensured

Legal basis: Art. 34/35 TFEU
ART 3 (3) + ART 26 TFEU → Definition of the IM
ART 28(1) → Customs Union
ART 29 TFEU→ Products considered to be in free circulation IF the import formalities
have been complied with and any customs duties/CEEs due have been
levied in a MS
- Case: Donckerwolcke
ART 30 TFEU → Customs duties on imports & exports & charges having equivalent
effect shall be prohibited between MS (Fiscal)
ART 34 TFEU→ Ban on quantitative restrictions on imports and measures that have an
equivalent effect (MEQR). (Non-Fiscal)
ART 35 TFEU → Ban on quantitative restrictions on exports and measures that have an
equivalent effect (Non-Fiscal)
ART 36 TFEU → Justifications
ART 110(1) TFEU → Prohibition of discrimination internal taxation (Fiscal)
ART 110(2) TFEU → Prohibition of protectionism
ART 114 TFEU→ Achievement of the IM

, Free movement of goods achievement through:
1. Prohibition of customs duties and charges of equivalent effect or CEEs (ART 30
TFEU)
2. Prohibition of quantitative restrictions and measures of equivalent effect or MEEs
(ART 4/36 TFEU)
3. Prohibition of discriminatory internal taxation (ART 110 TFEU)

→ all directly applicable EXCEPT Capital → Mutual recognition applied

Customs duties → Charges levied on goods by reason of the fact that they cross a frontier
between MS’s

Charges of Equivalent effect: ART 30
Diamonds 1969 (para 9) → Any pecuniary charge however small & whatever designation &
mode of application imposed on domestic or foreign goods, by
reason of fact they cross a frontier.

Quantitative restrictions: ART 34-35
Geddo 1973 → “Measures which amount to total or partial restraint of...imports, exports of goods
in transit”

MEQR: ART 34-35
Dassonville (par. 5) → ‘All trading rules enacted by MS which are capable of hindering, directly
or indirectly, actually or potentially, intra-community trade”
- Broad
- Buy Irish (para 25)
→ Inappropriate to consider statistical evidence as to the volume of imports of products
subject to the national measure (Campaign made imports rise)
- Trailers 2009 (para 37)
→ Added: “Any measure which hinders access to the market” also constitutes an MEE

Summary:
ART 30/110 → CEE
ART 34/35/36 → MEQR

Customs Union
Art. 28(1) TFEU → EU constitutes a customs union covering all trade in goods
- Uniform rules for goods coming from third countries
Ex: 1) A common customs tariff (ART 31 TFEU)
2) Common commercial policy in trade with third countries (ART 207 TFEU)