1. Internal (single) market
Goods

2. Negative integration. Elimination of customs duties – art. 30 TFEU
Customs duty: «any pecuniary charge that is imposed on goods by reason of the fact that they cross a frontier»
Charges having an equivalent effect: «any charge which, by altering the price of an article exported, has the same restrictive effect on the free circulation as a customs duty. Evaluation is made only on the basis of the effect of a charge. (Statistical levy, 1969). The charge is prohibited even if it is not discriminatory and devoid of protectionist effect.
no express justifications for fiscal barriers to trade in goods. Implied exceptions: Service rendered and Eu imposed frontier checks

3. Internal taxation – art. 110 TFEU
Internal taxation is prohibited only if it is discriminatory
«financial charges within a general system of internal taxation applying systematically to domestic and imported products according to the same criteria are not to be considered as charges having equivalent effect».

4. Direct and indirect discrimination
Art. 110, 1: Member States shall not impose, directly or indirectly, on the products of other Member States any internal taxation of any kind in excess of that imposed directly or indirectly on similar domestic products.
Similar goods: comparable goods, goods that have similar characteristics and meet the same needs of the consumers.
See Humblot case, 1985: French cars and Mercedes. Unlawful the French taxation system on powerful cars because it discriminated against foreign cars.
Sweet wines, 1987: the regional policy objective of protecting regions where naturally sweet wines are produced justifies the exemption from liquor taxation, in consideration of the fact that the poor soil and low rainfall of these regions make it difficult to grow other crops.

5. Competing foreign goods – art. 110, 2
No Member State shall impose on the products of other Member States any internal taxationof such a nature to afford indirect protection of their goods.
Here the target are national taxes that generally disadvantage foreign goods. According to the ECJ, such indirect protection only occurs where domestic goods are in competition with imported goods.
1. the national laws tax competing goods differently
2. this differentiation indirectly protects national goods.

6. Competing foreign goods – art. 110, 2
Case Commission v. UK, Beer and wine, Dynamic and flexible approach to the notion of competing products. Two products might not presently be in competition because of the artificial price differences created by the taxation system.
Established the competition, the Court has to ascertain whether there is a protectionist effect. And indeed, in the case of beer and wine, there was a protectionis effect in favor of domestic beer production.

7. Quantitative restrictions on imports – art. 34 TFEU
«Quantitative restrictions on imports and all measures having equivalent effect shall be prohibited between Member States».
Quantitative restrictions: quotas, measures that legally limit the quantity of imported goods to a fixed amount. In their most extreme form, they can amount to a total ban.
Measures having equivalent effect to quantitative restrictions (MEEQRs). These are more difficult to describe.
Directive 70/50: a) measures that are not applicable equally to domestic and foreign products are MEEQRs; b) measures that are applicable equally to domestic and foreign products are generally not considered MEEQRs.

8. Quantitative restrictions on imports – art. 34 TFEU
BUT: the problem arises with measures governing the marketing of products. These measures can have restrictive effects, but should be dealt with by harmonization.

9. Quantitative restrictions on imports – art. 34 TFEU
Dassonville, «All trading rules enacted by Member States which are capable of hindering, directly or indirectly, actually or potentially, intra-Union trade are to be considered as measures having an effect equivalent to quantitative restrictions». This is known as the Dassonville formula.
Cassis de Dijon, presumption of illegality. Unless there are mandatory requirements in the general interest (effectiveness of fiscal supervision, protection of public health, fairness of commercial transactions, defence of the consumer), Member States are not entitled to impose their domestic standards to imported goods.

10. Mutual recognition
Member States must in principle mutually recognize each other’s product standard. This principle applies to all product requirements.
Keck case, the Court restricts the Dassonville formula to product requirements as in Cassis, excluding selling arrangements that apply to all traders and to all products, both domestic and imported.
Selling arrangements are prohibited only where they discriminate against the marketing of foreign goods.

11. Measures that limit consumer use
Italian Trailers, the prohibition of the use of motorbike trailers on Italian highways was considered a measure having equivalent effect to quantitative restrictions, to the extent that its effect is to hinder access to the Italian market for trailers that are specially designed for motorcycles and are lawfully produced and marketed in other Member States.

12. Quantitative restrictions on exports – art. 35 TFUE
«Quantitative restrictions on exports, and all measures having equivalent effect, shall be prohibited between Member States».
Only measures that specifically discriminate against exports are considered unlawful (Groenveld, 1979), even if the discrimination is indirect (Gysbrechts, 2008).

13. Justifying regulatory barriers – art. 36 TFEU
Public morality, public policy or public security, the protection of health and life of humans, animals and plants, the protection of national treasures possessing artistic, historic or archaeological value, the protection of industrial and commercial property.
Exhaustive list.
It must be interpreted strictly because in constitutes a derogation from the basic rule of elimination of all obstacles to trade.

14. Implied justifications: mandatory requirements
Cassis de Dijon: effectiveness of fiscal supervision, protection of public health, fairness of commercial transactions, defence of the consumer. These justifications can only be applied to measures that apply without discrimination to both domestic and imported products.

15. Proportionality
All restrictions to trade, even if justified, are subject to a proportionality test. They must be necessary to achieve the objectives. Least-restrictive-means test
Problem of the standard of protection. Non consistent case law. British ban on pornography and German beer.