Zala Tomašič· PPE

Confirmed

The International Monetary Fund estimated that internal barriers are equivalent to a 44% tariff.

Omissions

• The IMF estimate of 44% specifically refers to manufacturing sectors; the figure for services is substantially higher at approximately 110%.
• The IMF used the phrase 'might be as high as' indicating this is an upper-bound estimate rather than a precise figure.
• The underlying data refers to the situation as of 2020, though published in IMF reports from 2024.

Sources

• PrimaryInternational Monetary Fund - Europe's Choice: Policies for Growth and ResilienceIntra-EU trade barriers remain significant. Our estimates suggest that these barriers might be as high as a tariff equivalent of about 44 percent
• PrimaryInternational Monetary Fund - Overcoming Europe's Policy Drift: From Recognition to Action (Regional Economic Outlook)intra-EU barriers to trade, as of 2020 estimated at an ad valorem equivalent cost of 44 percent on average for manufacturing sectors (IMF 2024)
• SecondaryCEPR VoxEU - No, the EU does not impose a 45% tariff on itselfThe IMF estimates that the internal barriers within the Single Market are equivalent to a 45% tariff on goods. And a 110% tariff on services.