The EEA Agreement provides for a free trade area covering all the EEA States. However, the EEA
Agreement does not extend the EU Customs Union to the EEA EFTA States. The aim of both the free
trade area and the EU Customs Union is to abolish tariffs on trade between the parties. However,
whereas in the EU Customs Union, the EU Member States have abolished customs borders and
procedures between each other, these are still in place in trade between the EEA EFTA States and the
EU, as well as in trade between the three EEA EFTA States. Furthermore, the common customs tariff
on imports to the EU from third countries is not harmonised with the customs tariffs of the EEA EFTA
States
Source: https://www.efta.int/media/publications/fact-sheets/EEA-fact...