A world player - The European Union’s external relations

The European Union is a world player.

It has a population of 450 million – more than the United States and Russia combined. It is the world’s biggest trader and generates one quarter of global wealth. It gives more aid to poor countries than any other donor. Its currency, the euro, comes second only to the US dollar in international financial markets.

The EU did not set out to become a world power. Born in the aftermath of World War II, its first concern was bringing together the nations and peoples of Europe. But as the Union expanded and took on more responsibilities, it had to define its relationships with the rest of the world. Just as it has worked to remove trade barriers, develop poorer regions and promote peaceful cooperation within its frontiers, so the Union works with other countries and international organisations to bring everyone the benefits of open markets, economic growth and stability in an increasingly interdependent world. At the same time, the EU defends its legitimate economic and commercial interests in the international arena.

A major challenge now is to spread peace and security beyond the European Union’s borders. To meet this challenge, the EU is developing a common foreign and security policy so that it can act as a force for stability, cooperation and understanding in the wider world.

For more than 40 years, the Cold War divided much of the world into two camps. Its ending led to a more complex and fragile world order, requiring greater EU involvement in preventing conflicts, keeping the peace and combating terrorism. The EU helps pay for the UN civil administration in Kosovo, provides ongoing financial support for the Palestinian Authority and is contributing one billion euro to reconstruction in Afghanistan. In the Western Balkans and central Africa in 2003, the EU embarked on the first missions under its new European defence and security policy. More will follow. By helping to create security and stability in the wider world, the EU also helps to make life safer within its own borders.

Finally, the European Union shows how countries can successfully pool economic and political resources in the common interest. It serves as a model for integration between countries in other regions of the world.