The European Free Trade Association (EFTA) is a regional trade organization and free trade area consisting of four European states: Iceland, Liechtenstein, Norway and Switzerland. The organization operates in parallel with the European Union (EU), and all four member states participate in the European Single Market and are part of the Schengen Area. They are not, however, party to the European Union Customs Union.
The European Economic Area (EEA) was established via the Agreement on the European Economic Area, an international agreement which enables the extension of the European Union's single market to member states of the European Free Trade Association (EFTA). The EEA links the EU member states and three of the four EFTA states into an internal market governed by the same basic rules. These rules aim to enable free movement of persons, goods, services, and capital within the European single market, including the freedom to choose residence in any country within this area. The EEA was established on 1 January 1994 upon entry into force of the EEA Agreement. The contracting parties are the EU, its member states, and Iceland, Liechtenstein, and Norway. New members of EFTA would not automatically become party to the EEA Agreement, as each EFTA State decides on its own whether it applies to be party to the EEA Agreement or not. According to Article 128 of the EEA Agreement, "any European State becoming a member of the Community shall, and the Swiss Confederation or any European State becoming a member of EFTA may, apply to become a party to this Agreement. It shall address its application to the EEA Council." EFTA does not envisage political integration. It does not issue legislation, nor does it establish a customs union. Schengen is not a part of the EEA Agreement. However, all of the four EFTA States participate in Schengen and Dublin through bilateral agreements. They all apply the provisions of the relevant Acquis.
The European Union has a number of relationships with foreign states. According to the European Union's official site, and a statement by Commissioner Günter Verheugen, the aim is to have a ring of countries, sharing EU's democratic ideals and joining them in further integration without necessarily becoming full member states.
European integration is the process of industrial, economic, political, legal, social, and cultural integration of states wholly or partially in Europe, or nearby. European integration has primarily but not exclusively come about through the European Union and its policies.
A European Union Association Agreement or simply Association Agreement (AA) is a treaty between the European Union (EU), its Member States and a non-EU country that creates a framework for co-operation between them. Areas frequently covered by such agreements include the development of political, trade, social, cultural and security links.
A customs union is the principal area of robust formal agreement between the Principality of Andorra and the European Union (EU). Andorra borders two EU member states: France and Spain.
The European Neighbourhood Policy (ENP) is a foreign relations instrument of the European Union (EU) which seeks to tie those countries to the east and south of the European territory of the EU to the Union. These countries include some who seek to one day become either a member state of the European Union, or become more closely integrated with the European Union. The ENP does not apply to neighbours of the EU's outermost regions, specifically France's territories in South America, but only to those countries close to EU member states' territories in mainland Europe.
Currently, all of the European microstates have some form of relations with the European Union (EU).
Armenia and the European Union have maintained positive relations over the years. Both parties are connected through the Comprehensive and Enhanced Partnership Agreement (CEPA), which was signed in 2017. Former Armenian Foreign Minister Eduard Nalbandyan expressed confidence that the new partnership agreement would "open a new page" in EU–Armenia relations. Meanwhile, the former High Representative of the Union for Foreign Affairs and Security Policy, Federica Mogherini concluded in June 2019, that Armenia–EU relations are on an "excellent" level. Should either Georgia or Turkey, who are candidates for EU membership, accede to the EU, Armenia will border the European Union.
The Republic of Azerbaijan and the European Union (EU) have maintained a positive relationship through the years and have become more closely linked since 1991. Azerbaijan is currently part of the European Neighborhood Policy, the Eastern Partnership and the Council of Europe. The EU is the largest foreign grant donor to and investor in Azerbaijan, both in the government sector and civil society, making available over 600 million EURO of bilateral EU assistance since 1992.
The Eastern Partnership (EaP) is a joint initiative of the European Union, together with its member states, and six Eastern European countries. The EaP framework governs the EU's relationship with the post-Soviet states of Armenia, Azerbaijan, Belarus, Georgia, Moldova, and Ukraine. The EaP is intended to provide a forum for discussions regarding trade, economic strategy, travel agreements, and other issues between the EU and its Eastern European neighbours. It also aims at building a common area of shared values of democracy, prosperity, stability, and increased cooperation. The project was initiated by Poland and a subsequent proposal was prepared in co-operation with Sweden. It was presented by the foreign ministers of Poland and Sweden at the EU's General Affairs and External Relations Council in Brussels on 26 May 2008. The Eastern Partnership was inaugurated by the EU in Prague, Czech Republic on 7 May 2009.
The EuroNest Parliamentary Assembly is the inter-parliamentary forum in which members of the European Parliament and the national parliaments of Ukraine, Moldova, Armenia, Azerbaijan and Georgia participate and forge closer political and economic ties with the European Union. It was established in 2011 by the European Commission as a component of the Eastern Partnership. After the elections in Belarus in 2010 were declared as flawed by the OSCE, the membership of Belarus in Euronest was automatically suspended. Belarus is welcome to re-join the Assembly once political requirements have been fulfilled. In 2015, Azerbaijan's membership was suspended due to the European Union's criticism of human rights abuses by the government. In September 2016, it was announced that Azerbaijan would take the necessary steps towards restoring ties. As of 2017, the combined population of Euronest members stands at 61,927,521 people.
The European Union has concluded free trade agreements (FTAs) and other agreements with a trade component with many countries worldwide and is negotiating with many others. The European Union negotiates free trade deals on behalf of all of its member states, as the member states have granted the EU has an "exclusive competence" to conclude trade agreements. Even so, member states' governments control every step of the process :
Relations between the European Union (EU) and the United Kingdom of Great Britain and Northern Ireland (UK) are governed, since 1 January 2021, by the EU–UK Trade and Cooperation Agreement (TCA).
Relations between the Principality of Monaco and the European Union (EU) are primarily conducted through France. Through that relationship Monaco directly participates in certain EU policies. Monaco is an integral part of the EU customs territory and VAT area, and therefore applies most measures on excise duties and VAT. Monaco borders one EU member state: France. However this relationship does not extend to external trade. Preferential trade agreements between the EU and third countries apply only to goods originating from the customs territory – Monaco may not claim EU origin in this respect.
Between 2017 and 2019, representatives of the United Kingdom and the European Union negotiated the terms of Brexit. The UK's planned its withdrawal from membership of the EU. These negotiations arose following the decision of the Parliament of the United Kingdom to invoke Article 50 of the Treaty on European Union, following the UK's EU membership referendum on 23 June 2016.
The United Kingdom (UK) was a member of the European Economic Area (EEA) from 1 January 1994 to 31 December 2020, following the coming into force of the 1992 EEA Agreement. Membership of the EEA is a consequence of membership of the European Union (EU). The UK ceased to be a Contracting Party to the EEA Agreement after its withdrawal from the EU on 31 January 2020, as it was a member of the EEA by virtue of its EU membership, but retained EEA rights during the Brexit transition period, based on Article 126 of the withdrawal agreement between the EU and the UK. During the transition period, which ended on 31 December 2020, the UK and EU negotiated their future relationship.
In British politics, the "Norway-plus model" was a proposal for a post-Brexit settlement, which the British government did not pursue. Proposed in November 2018 as an alternative to the Chequers plan, it would have consisted of membership of the European Free Trade Association (EFTA) and of membership of the European Economic Area (EEA) as an EFTA member state, combined with a separate customs union with the EU to create a trade relationship similar to that between the EU and its member states today, with the exception of the political representation in the EU's bodies. Michel Barnier, the EU's Chief Negotiator, has always said that a model that combined EEA/EFTA and a customs union was one that he would be happy to consider.
This article outlines the predicted impact of Brexit, the withdrawal of the United Kingdom (UK) from the European Union (EU) and the European Atomic Energy Community.
