Liechtenstein–European Union relations

Euro-Liechtenstein relations

European Union	Liechtenstein

Relations between Liechtenstein and the European Union (EU) are shaped heavily by Liechtenstein's participation in the European Economic Area (EEA).

Market access

Liechtenstein is the only microstate (not counting Iceland by population or EU members) that is a part of the EEA. It joined on 1 May 1995 after becoming a full member of the European Free Trade Association (EFTA) in 1991 (previously, it had been in EFTA as part of Switzerland). All EFTA states bar Switzerland are in the EEA, which gives them access to the EU single market. It also obliges Liechtenstein to apply certain European Union laws. There are very few issues not covered by the EEA agreement and there is some further cooperation with the EU via Switzerland as Liechtenstein is highly integrated with the Swiss economy (including using the Swiss franc).^[1]

Schengen

On 28 February 2008 Liechtenstein signed the Schengen Agreement and became part of the Schengen Area on 19 December 2011.^[2] Before this, Switzerland shared an open border with Liechtenstein and was already a full Schengen Area member. This open border was not considered a threat to European security because it would be highly difficult or impossible to enter Liechtenstein without first landing in or entering a Schengen state. The border with Austria was not open, and it was treated as an external border post by Austria and Liechtenstein, making it necessary to pass through customs and passport control before crossing.

Liechtenstein signed a Schengen association agreement with the European Union on 28 February 2008,^[3] and originally planned to join the Schengen Area on 1 November 2009. However ratification was initially delayed at the behest of Sweden and Germany who felt that Liechtenstein had not done enough to fight tax evasion,^[4][5] the Council of Ministers eventually consented to the ratification of the protocol on 7 March 2011,^[6] with the protocol entering into force a month later.^[7] Liechtenstein was due to join the Schengen Area by the end of 2011^[8][9] and did so on 19 December.

Other agreements

There are further bilateral agreements between the two parties on matters such as taxation of savings. There are also ongoing talks on combating fraud and exchanging information on tax matters.^[1]

See also

• Microstates and the European Union
• Switzerland–European Union relations

References

Foreign relations of the European Union   Bilateral relations Africa & the Middle East Cape Verde Iran Iraq Israel Jordan Lebanon Morocco Palestine† South Africa Syria Yemen Americas Argentina Brazil Canada Cuba Greenland Mexico United States Asia-Pacific Australia China (People's Republic of) Fiji India Indonesia Japan Malaysia Nepal North Korea Pakistan Philippines South Korea Europe & Central Asia Albania Andorra Armenia Azerbaijan Belarus Bosnia and Herzegovina Faroe Islands Georgia Iceland Kazakhstan Kosovo† Liechtenstein Macedonia‡ Moldova Monaco Montenegro Northern Cyprus (Turkish Republic of)† Norway Russia San Marino Serbia Switzerland Turkey Ukraine Vatican City General Member's overseas territories Largest trading partners Association agreements Free trade agreements †= Disputed state, may not be recognised as an independent state by some or all European Union members. ‡= Name disputed by Greece, EU recognises the Republic of Macedonia as the former Yugoslav Republic of Macedonia.   Multilateral relations and initiatives Organisations Arab League ASEAN ECHR G8 ICC United Nations Initiatives African, Caribbean and Pacific Group of States Asia–Europe Meeting CARIFORUM Customs Union Eastern Partnership Energy Community Euro-Latin American Parliamentary Assembly European Common Aviation Area European Economic Area Euro-Mediterranean free trade area Euro-Mediterranean Partnership Euronest Economic Partnership Agreements EU CBRN Risk Mitigation CoE Initiative Neighbourhood Policy Northern Dimension Mediterranean Union Stabilisation and Association Process   Organisation Policy Common Foreign and Security Policy Economic Relations Everything but Arms Security and Defence Policy Enlargement Actors ECHO EuropeAid External Action Service Foreign Affairs Council High Representative Catherine Ashton Parliamentary Foreign Affairs Committee Foreign Policy Instruments Service Diplomatic missions of the EU / to the EU Ambassadors Special Representatives   Military and security Initiatives Defence Initiative Synchronised Armed Forces Defence Procurement Petersberg tasks Helsinki Headline Goal Structures Political and Security Committee Military Committee Military Staff Operations Centre Security & Defence College Defence Agency Institute for Security Studies Satellite Centre Joint Situation Centre Forces European Union Force Eurofor Eurocorps EU Battlegroup EU Gendarmerie Force EU Maritime Force Deployments