What is the European Union?
Curious about what the European Union is and where it historically comes from? Check out our quick explainer below.
The European Union (EU) is a political and economic union of a specific group of European countries.
There are 27 countries in the EU: Austria, Belgium, Bulgaria, Croatia, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, and Sweden.
In short, the single market in the European Union aims for the free movement of people and goods within the EU. The single market means that countries within the EU have agreed to act in tandem in certain economic areas to further economic cooperation. In practice this requirement means, for instance, that there is wide-reaching agreement on things like packaging and food standards because what is produced in one area of the common market can move to other areas of the common market. It also eliminates things like tariffs or quotas on trade.
Within the European Union, there are even further divisions that encourage closer economic and political cooperation. Some countries in the EU, for instance, use a shared currency, known as the Euro. This common currency directly ties economies together. Trade more easily facilitated through the common Euro. It also connects these countries through shared financial concerns, like interest rates. 19 of the 27 EU countries use the Euro: Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain.
Other countries within the EU belong to the Schengen Area, which allows travel free for non-EU citizens with the zone. The Schengen Zone also includes some countries that do not belong to the EU but have agreed to this this travel arrangement. The countries are Austria, Belgium, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, the Netherlands, Norway, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden, and Switzerland.
The current form of the EU came into force in 1993, but its beginnings stretch back many decades earlier to the end of the Second World War. The Second World War left Europe in ruins for the second time in three decades. Millions of soldiers and civilians were left dead, even more millions of people were scattered far away from their homes and families. Countries had collapsed, cities were destroyed, and economies lay in ruin. The first overtures toward the European Union in part began with the destruction caused by the war—if European countries were closely tied together economically, especially on natural resources crucial for warfare, then perhaps they would be discouraged from attempting another global war. The first efforts toward European cooperation that led to the EU—the European Coal and Steel Community—centered on precisely this reasoning. Coal and steel are materials central to war efforts. In Europe specifically, there are particularly rich deposits of these materials between France and Germany, countries that faced off against each other in both World War I and World War II. The European Coal and Steel Community created a common market for these goods, with the hope that warfare would then become increasingly difficult, given the inability for one country to control the supplies of these crucial materials.
The European Coal and Steel Community had a limited focus and also a small number of countries (only Belgium, France, Italy, Luxembourg, the Netherlands, and West Germany were members). Throughout the following decades, these agreements grew to include more economic alliances, in addition to political agreements. These included the European Atomic Energy Community and the European Economic Community. Cooperation and membership continued to grow until 1993, culminating in the creation of the European Union.
Europe today, then, shares many common political commitments and many shared economic interests. That is not to say that national divisions are no more. For instance, languages still provide clear points of division. Traditional cultural practices still continue within individual member countries. And of course international sporting events show that national identities continue to remain strong. Member states also retain control of whatever is not included in the EU treaties: for instance, each state has its own national military. And even in areas where the states have signed agreements, there remain points of disagreement: over spending amounts, for instance.
Looking forward, the EU is currently in a moment of great change. Especially, as the United Kingdom leaves the union (the first country to do so), it will be important to watch and see whether this change causes further tensions among current member states or further unites them in their political and economic union.
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