top of page
Writer's pictureefta-studies.org

Ukraine and EFTA States: Deepening ties in light of Ukraine’s EU accession process

Author: Liliia Oprysk, Associate Professor, University of Bergen.


Ukraine's relations with other European states, including the EFTA States, have deepened since 2022 due to heightened security concerns in Europe and Ukraine's application for EU membership. This post seeks to outline the various forms of cooperation between the EFTA States of the European Economic Area (EEA) and Ukraine under these circumstances.

  1. Ukraine and the EU

The Ukrainian Constitution enshrines the irreversibility of Ukraine's European and Euro-Atlantic course in its preamble, mandating the President, the Parliament and the Government to achieve Ukraine's full membership in the EU and NATO. Ukraine applied for EU membership on February 28, 2022, just five days into Russia’s full-scale invasion, and for NATO membership on September 30, 2022. Despite Russia’s war of aggression, Ukraine continues to advance on its EU accession path. In June 2024, negotiations were officially opened, and the Council adopted the negotiating framework. The European Commission’s October 2024 Enlargement report highlights Ukraine’s remarkable resilience and commitment to its European path.

Since 2014, Ukraine and the EU have been bound by mutual obligations under the Ukraine-EU Association Agreement (AA). This agreement seeks to, inter alia, promote gradual rapprochement and increase Ukraine's association with EU policies and participation in programmes and agencies. It also aims to preserve and strengthen peace and stability regionally and internationally and to facilitate Ukraine's gradual integration into the EU internal market, including through the establishment of a Deep and Comprehensive Free Trade Area (DCFTA). Beyond economic integration, the Association Agreement emphasizes close cooperation in areas of mutual interest, particularly in foreign and security policy, including the Common Security and Defence Policy (CSDP).


Ukraine actively participates in numerous EU framework programmes, joint actions, and projects alongside EU Member States, often in collaboration with EFTA/EEA States. Under Article 376 of the AA, Ukraine takes part in the EU Framework Programme for Research and Innovation, Horizon 2020. Other programmes include Creative Europe, Erasmus+, the European Defence Agency (EDA), the Digital Europe Programme, the Single Market Programme, the Connecting Europe Facility, the EU Civil Protection Mechanism, and the European Defence Fund. Involvement in these initiatives has expanded significantly since Russia’s full-scale invasion and Ukraine’s EU membership application.


  1. The EFTA States and Ukraine

The EFTA States (Norway, Island, Liechtenstein and Switzerland) signed a Free Trade Agreement (FTA) with Ukraine in 2010, which entered into force on June1, 2012. The agreement covers trade in goods (industrial and processed agricultural goods, fish and other marine products), trade in services, investment, protection of intellectual property rights, government procurement and provisions on competition. Agricultural products are governed by bilateral arrangements between individual EFTA States and Ukraine.


In December 2024, negotiations on modernising and expanding the FTA with Ukraine were concluded. Modernising the FTA with Ukraine was one of the priorities of the Norwegian Chair of the EFTA Council. The negotiations included a few rounds of negotiations on, inter alia, market access for agricultural goods from Ukraine and the exchange of lists of geographical indications to be mutually recognized and protected in Liechtenstein, Switzerland, and Ukraine.


  1. Ukraine and the EEA

3.1.     The EEA Agreement and Third Countries

Three of the four EFTA States, namely Iceland, Liechtenstein and Norway, are integrated into the EU internal market through the EEA Agreement. However, the external dimension of the EU internal market, the Common Commercial Policy, lies outside the scope of the EEA Agreement. As does the EU’s Common Foreign and Security Policy (CFSP) Consequently, the EFTA/EEA States’ relations with Ukraine are not governed by the EEA Agreement.


Under Article 128 of the EEA Agreement, any European country that becomes an EU Member State must apply to join the EEA. The terms and conditions for such participation are subject to negotiation between the EFTA/EEA States, the EU and the new EU Member State and require ratification or approval by all Contracting Parties. The most recent country to join the EU was Croatia in 2011. In 2014, the Agreement on Croatia's participation in the EEA was signed by the EU, all EU Member States, the EFTA/EEA States, and Croatia. This agreement applies provisionally following an exchange of letters enabling provisional application; however, its full ratification remains incomplete, with ratifications still pending from the EU side.


Ukraine made it clear it won’t accept alternatives to full EU membership. Hence, the only feasible path for Ukraine to fully integrate into the EU/EEA internal market is to obtain a full EU membership and then apply to become a party to the EEA Agreement. Screening of Ukrainian legislation compliance with EU law under the Internal Market cluster has recently commenced. This is a key preparatory stage for Ukraine's economic integration into the EU. Indeed, establishing a functioning market economy and its structural and legal foundations remains a challenge, with the war and the destruction of key infrastructure severely disrupting economic activity.


Meanwhile, the EEA Agreement also includes provisions for cooperation beyond the four freedoms. Specifically, Article 78 EEA calls for strengthened and broadened cooperation in fields such as research and technological development, environment, education, consumer protection, and civil protection. The forms of such strengthened cooperation are listed in Article 80 EEA and include, inter alia, participation by EFTA States in EU framework programmes, specific programmes, projects or other actions, establishment of joint activities, and coordination, where this is of mutual interest, of cooperation with third countries.


3.2.      EU-EEA cooperation outside the four freedoms and Ukraine

Similarly to Ukraine, EFTA/EEA States participate in several EU framework programmes, projects, and actions. While all EFTA/EEA States are involved in only a selection of programmes, Norway participates in the largest number. Of particular importance for Ukraine is its joint participation with EFTA/EEA States in the EU Civil Protection Mechanism and the European Defence Fund. The EU Civil Protection Mechanism coordinates the civil protection efforts of EU Member States to enhance disaster prevention, preparedness, and response. Assistance can be requested by any country, including EFTA/EEA States. To date, the response to Russia’s full-scale invasion of Ukraine has been the largest operation undertaken through the Mechanism since its establishment.

Of particular interest to Ukraine's Euro-Atlantic aspiration is the participation of certain EFTA/EEA states in defence-related EU programmes. Norway, for instance, is a participant in the European Defence Fund as well as the recently established ASAP (Act in Support of Ammunition Production) and EDIRPA (European Defence Industry Reinforcement through Common Procurement Act) programmes. Both Ukraine and Norway also take part as third countries in the European Defence Agency. Moreover, Norway contributes to the EU Military Assistance Mission in support of Ukraine (EUMAM) via the European Peace Facility (EPF), marking the first instance of a third country making a financial contribution to the EPF.


  1. Regional agreements

Beyond the EEA framework, EFTA/EEA States are members of other regional alliances and have concluded agreements directly relevant to Ukraine and its EU accession. Norway and Iceland, both founding members of NATO, are part of the NATO-Ukraine Council, launched in 2023 to enhance political dialogue, engagement, cooperation, and support for Ukraine’s aspirations for NATO membership. Other relevant examples include the Nordic-Baltic Eight (NB8) cooperation and the Security and Defence Partnership Agreement between the EU and Norway.


4.1. NB8 Baltic-Nordic cooperation on Ukraine’s EU accession

Norway and Island are members of the NB8 group – Nordic and Nordic-Baltic cooperation on foreign and security policy, which also includes Denmark, Estonia, Finland, Latvia, Lithuania, and Sweden. Within this framework, a high-level group is set to provide expert support to Ukraine's government during its EU accession process in 2024. This group includes diplomats from Norway and Island with extensive experience in negotiations with the EU.


4.2 Security and Defence Partnership Agreement between Norway and the EU

Norway is among the countries that concluded Security and Defence Partnerships with the EU in 2024. A key area of cooperation is the continued long-term support for Ukraine, including assistance to its Armed Forces and joint efforts by Norway and the EU to support Ukraine’s civil sector. More broadly, the agreement also encompasses cooperation in third countries and in multilateral fora, where EU delegations and offices, and Norwegian missions and embassies in third countries will seek further opportunities to cooperate closely and exchange information bilaterally, as appropriate, as well as within likeminded groups, in areas relevant to the Security and Defence Partnership.


5.      Bilateral agreements

In addition to the EFTA-Ukraine FTA, the individual EFTA States have a number of bilateral agreements with Ukraine. Some of these agreements date back to the 1990s, when Ukraine regained independence from the Soviet Union, while others were concluded in the 2010s, following Ukraine's intensified EU integration in light of the Association Agreement. Of particular interest are the recent bilateral agreements on security cooperation and long-term support between Ukraine and the Nordic countries, both EU and EFTA/EEA Member States.


The bilateral agreement between Norway and Ukraine on security cooperation and long-term support, for example, was signed in Stockholm on May 31, 2024. The agreement contains commitments to comprehensive and long-term support to Ukraine, covering military assistance, security and defence cooperation, civilian support, political cooperation, and efforts to bring Russia to justice. It also outlines consultation and cooperation in the event of a future armed attack. The agreement references EU programmes that both Norway and Ukraine participate in, such as the EU Civil Protection Mechanism.


Importantly, a separate chapter covers Ukraine’s European and Euro-Atlantic integration, with parties reaffirming their commitment to align reform efforts with the priority areas required for Ukraine’s EU and NATO accession. In this context, “Norway will continue its support for Ukraine’s ongoing reform efforts and its European path. Norway reiterates its support for Ukraine’s accession to the European Union. Norway reaffirms that Ukraine belongs in the Euro-Atlantic family and will become a member of NATO.”


6.      Final remarks

The recently published Norwegian Official Report on Norway and EEA concludes, among other things, that Norway should continue to seek close cooperation with the EU on foreign policy, security, and defence, and associate itself with relevant new EU initiatives, even when they fall outside the EEA framework. As the brief review above suggests, the EFTA/EEA states, particularly Norway, are effectively strengthening their cooperation with the EU beyond the scope of the EEA Agreement. This, in turn, also enhances the cooperation between the EFTA/EEA states and Ukraine. Ukraine's EU candidacy status and its role in European security contribute to a multi-level process of rapprochement within Europe.

 

Comentarios


bottom of page