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1 (June 10, 2005)

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                                                                 Order Code RS21757
                                                               Updated June 10, 2005



 CRS Report for Congress

               Received through the CRS Web



    The European Union in 2005 and Beyond

                              Kristin Archick
                      Specialist in European Affairs
               Foreign Affairs, Defense, and Trade Division

Summary


     The European Union (EU) experienced significant changes in 2004 as it enlarged
 from 15 to 25 members and continued work on a new constitutional treaty to institute
 internal reforms and further EU political integration. In 2005, the EU is expected to
 build on these efforts and seek to implement several recent foreign policy and defense
 initiatives. This report describes the current status of the EU's constitutional treaty, EU
 enlargement, the EU's evolving foreign and defense policies, and possible implications
 for U.S.-EU relations. It will be updated as events warrant. For more information, see
 CRS Report RS21372, The European Union: Questions and Answers.

 The EU's Constitution

    Background. The European Union (EU) is a treaty-based, institutional framework
that defines and manages political and economic cooperation among its 25 member states
(Austria, Belgium, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France,
Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the
Netherlands, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden, and the United
Kingdom). In June 2004, EU leaders concluded work on a constitutional treaty that
contains changes to the EU's governing institutions and decision-making processes.
Commonly referred to as the constitution, this new treaty aims to enable a larger EU to
operate effectively and prevent gridlock, boost the EU' s visibility on the world stage, and
enhance the Union's democratic legitimacy. It grew out of the 2002-2003 Convention on
the Future of Europe and previous EU efforts to institute internal reforms.

    Major innovations in the over 300-page constitution include abolishing the EU's
rotating presidency in favor of a single individual with longer tenure; creating a new EU
foreign minister position that will combine the roles of the High Representative for the
Common Foreign and Security Policy and the External Relations Commissioner;
increasing the European Parliament's powers by extending its decision-making rights to
additional policy areas; and decreasing the size of the Commission in 2014. EU leaders
also agreed to simplify the EU's current, complex system of Qualified Majority Voting
(QMV); beginning in 2009, QMV decisions will require 55% of member states
(compromising at least 15 of them) representing at least 65% of the EU's population.



       Congressional Research Service +. The Library of Congress

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