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External relations - Trade - Development

2. External Relations

Relations with Russia

As the EU's largest neighbour, Russia has always been of particular importance to the union. The Eastern enlargement in 2004 and subsequently 2007 brought the Russian border closer to the European Union. Russia is the largest supplier of gas and energy products to the Union, thus the gas crisis with Ukraine in 2006 and the oil crisis with Belarus in 2007 caused concern in the EU. Russia’s role as an energy superpower brings new nuances and challenges to Russian-EU relations. Relations with Russia have been further strained by the American intention to build parts of its missile-defence shield in Poland and the Czech Republic.

The Partnership and Cooperation Agreement that entered into force in 1997 currently governs the relations between the European Union and Russia. Poland has blocked negotiations for a new agreement in opposition to a Russian ban on Polish meat. Disturbed by the Russian decision to block the delivery of oil to Lithuania’s only supplier, the Lithuanian government has also voiced concerns about the prospects of a new agreement between EU and Russia.

Energy policy

Due in part to Europe’s heavy dependence on Russian energy supplies, EU leaders have initiated plans to develop alternative energy sources and suppliers. The Spring Summit of 2007 brought a major, concrete step by the European Union in the fight against climate change: the reduction of CO2 emissions by 20% by 2020 and the 20% requirement for the use of renewable energy sources. The real success of this initiative will be achieved if the EU manages to convince the biggest polluter, the United States, along with China and India, to join forces in fighting climate change.

Relations with the United States

The Iraqi war caused the largest rift in the transatlantic relations since the end of the Second World War. The United States and Europe seem to have reconciled, and with respect to Afghanistan and Iran they stay, for the most part, united. The new Eastern member states have a special relationship with the US, for historical reasons. The US decision to build parts of its missile-defence shield in two of its staunchest allies, the Czech Republic and Poland, has caused some tension within the EU.

Transatlantic relations are further complicated by the EU-NATO relationship. Twenty-one EU members also belong to NATO, and 80% of NATO’s military capability is provided by the United States. The EU conceived its Rapid Reaction Force in parallel with the NATO's Response Force. Many consider this an attempt by the EU to counter-balance US influence in drafting the European security and defence policy.

Common Foreign and Security Policy

The 1992 Treaty of Maastricht introduced the second pillar of the European Union, the Common Foreign and Security Policy (CFSP or PESC). Due to the intergovernmental, decision-making process in the second and third pillar of the European Union, the implementation of any decision taken at the European level depends solely on the willingness of each Member State to do so. The CFSP had a slow start in the first half of the 1990’s. Finding coherence and common vision let alone common positions between the member states has taken time. The common policy has gradually strengthened, however, with each new treaty that has amended its provisions.

In recent years, frictions have emerged e.g. in attitudes to EU enlargement, the Iraq war and energy relations with Russia. National interests have easily overshadowed common ones. However, the unified condemnation from the EU when Israel attacked Lebanon in 2006 and the advances made in EU’s peacekeeping operations demonstrate the steady development of the union’s common foreign and security policy.

European Security and Defence Policy

The development of a fully fledged European Security and Defence Policy, within the Common Foreign and Security Policy, has long been an objective of European leaders. The rapid development of the ESDP has been hindered by logistical problems in most European countries and the perceived, US reluctance towards the creation of an independent, European military capability that might rival the supremacy of NATO. However, with the successful conclusion of the first EU military operations in D.R. Congo and Macedonia in 2003, the takeover of the NATO-led force in Bosnia-Herzegovina and the successful ESDP mission in Congo during the presidential elections in 2006, the ESDP has grown stronger. The operational readiness of the EU Battlegroups as of January 2007 suggests that the EU has made great steps towards a more coherent security and defence policy.

Enlargement

EU enlargement is one of the most debated topics on the European agenda. Enlargement is both foreign and internal policy for the EU, and it is considered one of the most powerful policy tools the EU has. Once the formal decision to admit new members is made, in compliance with the Copenhagen criteria, the candidate countries must implement all existing EU law.

How does a country join the EU?

After the successful enlargement of May 2004, which brought in ten new member states, and the accession of Romania and Bulgaria in January 2007, climate for enlargement has changed considerably in the European Union.

Future enlargements will concern the countries of south-eastern Europe. These countries are at various stages on their road towards the EU.

Croatia and Turkey are candidate countries. They started accession negotiations on 3 October 2005. In December 2005, the European Council granted the former Yugoslav Republic of Macedonia the status of a candidate country; accession negotiations have not started.

All the other Western Balkan countries are potential candidate countries: Albania, Bosnia and Herzegovina, Montenegro, and Serbia including Kosovo under UN Security Council Resolution 1244. The EU has repeatedly reaffirmed at the highest level its commitment for eventual EU membership of the Western Balkan countries, provided they fulfill the accession criteria, but there is no timetable for new memberships.

A new Instrument for Pre-Accession (IPA) aims to provide targeted pre-accession assistance both to candidate countries and to potential candidates.

European Neighbourhood Policy

The EU’s European Neighbourhood Policy encompasses countries situated in the immediate proximity of the European Union, with which the EU is seeking closer cooperation. The policy includes Ukraine, the Caucasus countries and the Mediterranean countries, including Israel and part of the Middle East.