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The Expansion of the EU 5th expansion The Treaty of Accession, signed in Athens on 16 April 2003 10 Additional Countries 8 Central and Eastern European Countries 3 Baltic states, Poland, the Czech Republic, Slovakia, Hungary, Slovenia Malta and Cyprus, both members of the Commonwealth. They represent 75 million inhabitants, 15% of the EU’s population before expansion (and 19% of its territory and 5% of its Gross Domestic Product (GDP). The expanded EU has 25 members, 450 million inhabitants France has supported the expansion from the very beginning, for political reasons For NZ A challenge due to less familiar relations with the new members Risk of a EU more difficult to influence ECONOMIC CONSEQUENCES  A slight increase in growth  But an increase in the disparities in living standards  In France’s view, no increase in EU taxes The Euro  New members will be able to adopt the euro but not immediately, nor at a predetermined date Common Agricultural Policy (CAP) Total integration of the new members after 10 years. Maintenance of agricultural subsidies at the same level until 2013. The EU is NZ’s second largest trading partner SOCIAL CONSEQUENCES  Complete adherence to existing community regulations, including environmental norms Reciprocal fears  Massive land purchase  Industrial relocation  Movement of people (migration)  Except for Cyprus and Malta, joining the EU does not give immediate rights to reside in Schengen states.  However, this will be possible once the outer EU borders are deemed secure and adequately controlled  Extending EU borders to the East  For France, the cost of expansion will be 1 billion euros per year between 2004 and 2006, or 15 euros per year, per person INSTITUTIONAL CONSEQUENCES The expanded EU must be able to function For France, three objectives 1- More democratic  The incorporation of the Charter of fundamental rights in the constitution  The extension of the European Parliament’s powers  The election of the President of the Commission by Parliament, on the Council’s proposal citizens’ right to initiate legislation 2- More effective  New definition of qualified majority  Quasi-generalisation of qualified majority  Reinforcement of the Commission by reducing its composition and reinforcing the authority of the President of the Commission  Stable Council presidency  Creation of a Minister of Foreign Affairs, reliant on a European diplomatic service  Increase in the EU’s powers 3- Closer to citizens  Simplification of controls and procedures  Transparency of the Council’s work Clearer division of powers For NZ  Interest in the decision simplification process CONSEQUENCES ON THE PLACE OF THE EU IN THE WORLD Development of an European Defence Policy  Agreement between France/UK/Germany to develop an autonomous planning/steering capacity of operations  EU military intervention in Macedonia and Ituri  Creation of a weapons agency in 2004 compatible with the Atlantic Alliance FUTURE BORDERS  The Expansion continues ...  Bulgaria and Romania  Turkey: 70 million inhabitants. 99: “is a candidate state destined to join the Union on the basis of the same criteria as applied for the other candidates.”  Croatia has applied  For new members’ neighbours, to the East (Ukraine, Byelorussia, Moldavia, Russia) and to the South (South Mediterranean), redefinition of relationships CONCLUSION  Public opinion in France: poll at the end of 2002, only 27% against expansion (but only 12% completely in favour). EU 66% in favour, 22% against  Victor Hugo, in 1849: “A day will come when all of the continent’s nations, without losing their distinct qualities and their glorious individuality, will merge closely into one greater unity and form the European brotherhood.”