European Economic Area

Economic · EEA

Area is the English for a word seven of the thirteen authentic texts still give as space: espace in French, Spazio in Italian, Raum in German. Jacques Delors put a European Economic Space to the European Parliament on 17 January 1989. The agreement signed at Porto on 2 May 1992 puts the single market into force in states outside the Union, and takes the Union's rules with it.

Read more about EEA

12 countries

Common questions

Questions about EEA

Which countries are in the European Economic Area?

Every member state of the European Union, together with Iceland, Liechtenstein and Norway. The three sit in the European Free Trade Association and take the agreement through its EFTA pillar, with the EFTA Surveillance Authority and the EFTA Court in place of the Commission and the Court of Justice. Switzerland is in EFTA and is not a party. A state that joins the Union applies to become a party under Article 128, so the roster moves with the Union's own.

Why is Switzerland not in the European Economic Area?

Switzerland signed the agreement at Porto on 2 May 1992 and never ratified it. The vote of 6 December 1992 returned 1,786,708 against and 1,762,872 in favour on a turnout of 78.7%, and a majority of cantons was against as well, which meant the treaty failed on both counts required of it. A protocol signed at Brussels on 17 March 1993 adjusted the text so the remaining parties could bring it into force without Switzerland, and relations with the Union have run on separate bilateral agreements since.

What is the difference between the EEA and the European Union?

The EEA carries the internal market and the rules that go with it, and stops there. Outside it are the common agricultural and fisheries policies, the customs union, the common commercial policy, the common foreign and security policy, justice and home affairs, and economic and monetary union. An EFTA member of the area therefore keeps its own trade policy and its own tariff, which is why goods crossing between the two pillars still meet proof of origin and customs formalities.

Can an EEA state refuse to apply a European Union law?

Article 102 provides for it and attaches a price. Where the EEA Joint Committee cannot agree on amending an annex within six months of the matter reaching it, the affected part of that annex is regarded as provisionally suspended, and the suspension takes effect six months after that. Norway entered a reservation against the third postal directive in 2011 and lifted it in 2013, which is as far as the procedure has ever run.

Is the European Economic Area the same as the Schengen Area?

No, and the two lists differ in both directions. Schengen removes checks on people at internal borders; the EEA extends the internal market. Iceland and Norway are outside the European Union and inside both, associated to Schengen by an agreement of 18 May 1999 and to the market since 1994. Ireland is a member state of the Union and of the EEA and holds a Schengen opt-out.

Sources