Trade and Conflict: The Case of the Arab Maghreb Union

This paper explores the links between trade, conflict and peace in the Arab Maghreb countries. Since its creation in 1989, the Arab Maghreb Union (AMU) has been in a lethargic state. We assume that reducing inter and intra-state conflicts would be a sound argument for the reactivation of the Arab Maghreb Union. In this paper, we will discuss trade flows between the Maghreb Union countries and highlight the pending political issues and conflicts. The results confirm that countries which are more likely to create regional blocks are naturally more open to trade and even more subject to interstate disputes. Elimination of all trade barriers and putting into effect multilateral trading systems would enable AMU countries the creation of a regional security framework that leverages diplomatic, political, economic and even military resources. Regional integration can be built and strengthened in order to promote peace and stability