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Thursday, July 7, 2011

The United States and Europe: Current Issues

Derek E. Mix
Analyst in European Affairs

Due to extensive cooperation on a wide range of issues, the relationship between the United States and Europe is often called the transatlantic partnership. In many areas, the two sides share common values and overlapping interests, and have grown increasingly interdependent in terms of security and prosperity.

The majority of Europeans warmly welcomed President Barack Obama to office, and his popularity suggested opportunities for the United States and Europe to address the common set of global challenges they face. In dealing with this difficult agenda, however, observers note that the constructive tone of the relationship does not necessarily translate into tangible foreign policy results. Overall, transatlantic cooperation is strong on many key issues, but some concerns and points of tension also persist. As the United States and Europe deal with changing geopolitical realities, some new anxieties are surfacing about the future of the transatlantic partnership.

The list of issues representing significant areas of shared interest is long. This report selects five major issues to illustrate the nature of the transatlantic relationship and cooperation: 

  • Despite the substantially increased commitment of troops and resources during 2009-2010, the likely outcome of the NATO-led mission in Afghanistan is a subject of debate. Afghanistan continues to pose a test of alliance cohesion, and Europe’s commitment to maintaining its participation will be an important tone setter in transatlantic relations. 
  • Europe remains both a primary target of radical Islamist terrorists and a potential base for those seeking to carry out attacks against the United States. Transatlantic counterterrorism cooperation has been strong since the terrorist attacks of 9/11, but challenging differences exist over issues such as data privacy that could hinder or complicate efforts to jointly combat terrorism. 
  • The global financial crisis has affected the transatlantic economic relationship and challenged the political relationship. Promoting financial stability and restoring economic growth are major priorities for leaders on both sides. The United States and Europe have the largest trade and investment relationship in the world. While some disputes persist, most of the relationship is mutually beneficial, and efforts are ongoing to reduce non-tariff barriers and increase regulatory convergence. 
  • The United States and the European Union (EU) continue to seek a way to halt Iran’s nuclear program. After the approval of U.N. Security Council Resolution 1929 in June 2010, the EU applied strict new sanctions against Iran. While the new measures bring U.S. and EU sanctions into broad alignment, differences remain over issues such as the sale of refined petroleum products. 
  • Lastly, relations between the West and Russia grew increasingly tense in recent years. While the Obama Administration’s “reset” initiative appears to have contributed to an improved atmosphere, common approaches to Russia—among U.S. policymakers, within Europe, and across the Atlantic—have proven difficult to formulate. 
This report examines the current state of the transatlantic relationship and discusses the key issues outlined above, which are likely to have implications for U.S. interests during the 112th Congress.


Date of Report: June 20, 2011
Number of Pages: 13
Order Number: RS22163
Price: $29.95

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