20 Years of EU Enlargement: Austria Looks at the Success Story of European Integration

Lifestyle & TravelMore+ ♦ Published: May 5, 2024; 23:43 ♦ (Vindobona)

Exactly 20 years ago, on May 1, 2004, a historic enlargement of the European Union came into force. Estonia, Latvia, Lithuania, Malta, Poland, Slovakia, Slovenia, the Czech Republic, Hungary, and Cyprus became member states, marking the beginning of a new chapter in the history of Europe. This fifth round of enlargement marked a milestone for the countries involved and a significant change for Austria, as Foreign Minister Alexander Schallenberg, the Austrian Federal Economic Chamber and the Austrian Society for European Politics emphasize.

EU enlargement in 2004 was a milestone for Austria and the EU. / Picture: © Flickr / Dimitar Nikolov / [CC BY-SA 2.0(https://creativecommons.org/licenses/by-sa/2.0/)]

Estonia, Latvia, Lithuania, Malta, Poland, Slovakia, Slovenia, the Czech Republic, Hungary, and Cyprus became member states of the European Union 20 years ago, marking the beginning of a new chapter in the history of Europe.

Advantages for Austria

The integration of these countries, which were once on the eastern edge of Europe, placed Austria at the heart of the European Union. At a time characterized by economic stability and human cooperation, a gateway to new partnerships and friendships opened up. "Neighbors have become partners and friends with whom we now cooperate closely at all levels," explains Schallenberg. The economic effects of this enlargement were particularly noticeable for Austria. Three-quarters of the country's foreign trade now takes place within the EU, and integration into the European single market has become indispensable for areas such as tourism, trade, and transport. Mariana Kühnel, Deputy Secretary General of the Austrian Federal Economic Chamber (WKÖ), emphasizes that this enlargement was not only decisive for integration but also represents a significant economic success story.

Austria in particular has benefited from this enlargement. Exports to the five new member states Hungary, Slovenia, the Czech Republic, Slovakia, and Poland have tripled since 2003 to around 30 billion euros in 2023. In total, exports to all new EU countries rose to EUR 37.9 billion in the same period. Austrian direct investment abroad has grown from EUR 9 billion in 1995 to around EUR 238 billion in 2022, of which around EUR 82 billion is attributable to the new member states and Eastern Europe. The EU enlargements of the last 20 years have led to more growth, prosperity, and employment, especially in Austria. The business community welcomes the momentum in the EU enlargement process, particularly in the Western Balkans region, where negotiations are already underway with four of the five candidate countries.

The business community advocates gradual integration into the EU internal market during the enlargement process. Austrian exporters and local branches would benefit greatly from an early alignment of norms and standards with those of the EU. It is crucial to create stable economic and legal framework conditions in the future member states.

Looking to the future

However, the focus is not only on the past but also on the future. Schallenberg emphasizes the need to continue the successful project of EU enlargement. The integration of the six Western Balkan states is particularly close to his heart. "These six states are the missing pieces in the European mosaic," he explains and emphasizes that this is not only out of altruism but also out of well-understood self-interest because the choice is between exporting stability or importing instability.

Initiatives for integration

In order to drive this integration forward, Schallenberg has launched the "Friends of the Western Balkans" initiative, which serves as a driving force for gradual integration. This gradual rapprochement is not a substitute for full membership, but a path towards it, the Minister continued. The aim is to make the benefits of EU membership more tangible and accessible to the people in these countries more quickly.

The Informal Council Meeting in Brussels also focused on EU enlargement and the rule of law. European Affairs Minister Karoline Edtstadler emphasized the importance of a strong and credible partnership with the enlargement candidates. The Minister for Europe underlined the need to press ahead with EU enlargement, particularly in light of the current geopolitical situation. She emphasized that a strong Union could only be achieved through cohesion and credibility towards the enlargement candidates.

Edtstadler advocated gradual integration and proposed the appointment of a special coordinator in the European Commission in order to coordinate the progress of the candidate countries better. The countries of the Western Balkans in particular were of crucial importance for the unity of the EU.

The Minister emphasized the importance of the rule of law and welcomed the participation of four Western Balkan countries in the annual rule of law mechanism. She called for increased cooperation and support through twinning projects in order to bring the candidate countries up to EU standards. In conclusion, Edtstadler emphasized that only through cohesion and the spread of European values could a strong and geopolitically relevant EU emerge that could withstand all challenges.

Geopolitical significance

However, the importance of this enlargement goes beyond economic benefits. It is also a powerful geopolitical instrument for preventing the influence of third parties and strengthening Europe's cohesion. "Ukraine, Moldova, and Georgia are also part of the European family," emphasizes Schallenberg. The Western Balkans in particular are considered especially important for Austria, as previously mentioned. According to a recent survey by the Austrian Society for European Politics (ÖGfE), 38% of Austrians believe that the admission of these countries to the EU was a good decision, while 18% see it as a bad one. However, opinions on the EU membership of neighboring countries are mixed.

The survey shows a general reluctance to join the EU. Bosnia-Herzegovina is most likely to be welcomed as a new member, followed by Montenegro and North Macedonia. Albania, Serbia, Kosovo, Ukraine, Moldova, and Georgia receive less support. Turkey receives the least support for EU membership.

Decision-making in the EU was accelerated by the Russian war against Ukraine. The granting of accession status to Ukraine, Moldova, and Georgia as well as the green light for accession talks with Bosnia-Herzegovina stimulated the enlargement process. Nevertheless, the challenges remain high, as candidate countries must intensify their reform efforts and the EU must be prepared to accept new members without watering down the admission criteria.

Challenges and prospects: a controversial debate

Despite these positive prospects, the question of further enlargement remains controversial. A survey conducted by the Austrian Society for European Policy shows that there is a certain skepticism towards new accessions, but also a growing interest in the integration of the Western Balkan states.

Overall, it can be said that EU enlargement 20 years ago marked an important chapter in the history of Europe. However, it was not just an event of the past, but also laid the foundations for a promising future in which stability, prosperity, and cooperation can continue to flourish at the heart of Europe.

Austrian MFA

WKÖ

Federal Chancellory of Austria

OEGfE