Regionalism is an essential component of globalization. Regionalism has gradually increased the cultural identity and rise of the regionalist parties. Also, regionalism has brought about an incomparable amount of stability and regulation globally. Research has shown that the evolved new regionalism forms a massive part in structural transformation in which non-state actors are active and operating different levels of the global system. Regional trade agreements aid nations to gradually work towards international free trade by allowing competition among countries and let the domestic industries adjust with time.
European Union is the largest trading block worldwide with the largest exporter of manufactured goods and services; thus, it is needed in retaining the stability of markets. Research has also shown that the European Union comprises the biggest income market for more than one hundred countries. The European single market has also fuelled the economy’s growth by making the daily life of European businesses and consumers easier. Free trade allowed by the European Union has aided in reducing cost and prices for consumers. The creation of jobs and higher incomes are as a result of increased business by the European Union. Lastly, the European Union has attracted significant inward investment from outside the European Union.