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European Union

The European Union is a supranational political and economic union whose institutions coordinate common policies, legislation, regulation, funding and external action across its member states.

Last updated October 7, 2026

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Overview

The European Union is a supranational organization created to deepen political, economic and social cooperation among European states. Its modern legal identity dates from the Treaty on European Union, signed at Maastricht and entering into force in 1993, but its foundations lie in the post-Second World War integration projects that established the European Coal and Steel Community in 1951 and the European Economic Community and Euratom in 1957. The integration process was designed to make war between participating states materially less likely, rebuild economic ties, create a common market and anchor democratic cooperation. The EU is not a corporation and does not sell conventional consumer products. Its principal outputs are common rules, public programs, funding mechanisms, diplomatic initiatives and shared institutions. The European Commission proposes legislation, administers the EU budget and enforces many common rules; the European Parliament represents citizens and shares legislative and budgetary authority; the Council of the European Union represents member-state governments; and the European Council sets broad political direction. The Court of Justice of the European Union interprets EU law, while other bodies and agencies support areas such as monetary policy, financial supervision, border management, public health, environmental regulation and research. The EU's economic scope includes the single market, customs cooperation, competition policy, consumer protection, regional development, agricultural policy, trade policy and common standards. Twenty member states use the euro through the euro area, while the EU as a whole includes a larger membership. The Schengen area, although not identical to the EU, is closely associated with European integration and allows participating countries to remove many internal border controls. EU law can affect companies worldwide when they offer goods or services to people in the Union or process data connected with the European market. The Union has become an important global regulatory and diplomatic actor. Its rules on data protection, digital platforms, competition, product safety, chemicals, climate and sustainability often influence business practices beyond Europe. It also negotiates trade agreements, provides development and humanitarian assistance, imposes sanctions, supports enlargement candidates and coordinates responses to crises. The European Investment Bank and other EU institutions provide financing for infrastructure, innovation, regional development and climate-related projects, but these institutions are distinct legal entities rather than commercial subsidiaries of a brand. Major turning points include the completion of the internal market in 1993, the launch of euro banknotes and coins in 2002, successive enlargements into Central and Eastern Europe, the rejection and later replacement of the proposed Constitutional Treaty, the adoption of the Lisbon Treaty in 2009, the United Kingdom's withdrawal in 2020, and the Union's response to the COVID-19 pandemic and Russia's full-scale invasion of Ukraine. More recently, the EU has emphasized strategic autonomy, energy security, climate neutrality, digital regulation, industrial resilience and support for Ukraine. Its continuing challenges include differing national interests, migration, democratic legitimacy, uneven economic performance, enlargement, security policy and the management of relations with major external powers.

History

European integration emerged from the political and economic devastation of the Second World War. The Schuman Declaration of 1950 proposed placing French and German coal and steel production under a common authority, leading to the European Coal and Steel Community in 1951. France, West Germany, Italy, Belgium, the Netherlands and Luxembourg participated. The arrangement linked industries that were strategically important for war-making and established a model of supranational decision-making. The same six states signed the Treaties of Rome in 1957, creating the European Economic Community and the European Atomic Energy Community. The EEC initially focused on reducing trade barriers, developing a common external tariff and progressively building a common market. Institutions such as the Commission, Council, Parliamentary Assembly and Court of Justice gradually developed a legal and administrative system capable of producing rules that applied across participating states. Integration widened and deepened over subsequent decades. Denmark, Ireland and the United Kingdom joined in 1973; Greece joined in 1981; and Spain and Portugal joined in 1986. The Single European Act set the objective of completing the internal market and strengthened legislative procedures. The Maastricht Treaty, signed in 1992 and effective in 1993, created the European Union, added a broader political structure and laid the foundations for economic and monetary union and a common citizenship. The 1990s brought further institutional development and preparation for the common currency. The euro was introduced for financial and accounting purposes in 1999 and entered everyday circulation as notes and coins in 2002. Austria, Finland and Sweden joined in 1995, followed by a major enlargement in 2004 involving Cyprus, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia and Slovenia. Bulgaria and Romania joined in 2007, and Croatia became a member in 2013. The Schengen system expanded the practical significance of free movement, though its membership does not exactly match EU membership. The proposed Constitutional Treaty was rejected in referendums in France and the Netherlands in 2005. Much of its institutional content was later recast in the Lisbon Treaty, which entered into force in 2009. Lisbon strengthened the roles of the European Parliament and national parliaments, created a more permanent presidency of the European Council and reorganized the Union's treaty framework. The financial and sovereign-debt crises tested the euro area and led to new mechanisms for fiscal coordination, financial assistance and banking supervision. The migration crisis from 2015 onward exposed disagreements over asylum policy and burden sharing. In 2016, the United Kingdom voted to leave the EU. Its withdrawal agreement took effect in 2020, making it the first member state to exit the Union. During the COVID-19 pandemic, EU institutions coordinated procurement, travel and health measures and established the temporary NextGenerationEU recovery instrument, financed through common borrowing and linked to national recovery plans. The invasion of Ukraine in 2022 redirected attention toward sanctions, energy diversification, defense cooperation, humanitarian assistance and the Union's relationship with prospective members. Current EU activity spans climate policy, digital regulation, industrial strategy, trade, competition, research, agriculture, regional development, consumer rights and external relations. The Union's influence rests on the size of its market, the reach of its legal framework and the capacity of its institutions to coordinate policies among sovereign states. At the same time, it remains dependent on national governments for many areas, including much of taxation, defense and social policy. Debates over democratic accountability, national sovereignty, enlargement, migration, energy security and economic competitiveness continue to shape its development.

  • 2020

    United Kingdom leaves the European Union

    [11]

    The United Kingdom's withdrawal agreement entered into force, ending its membership.

  • 2020

    NextGenerationEU recovery instrument agreed

    [12]

    EU institutions established a large temporary recovery package to support member-state economies after the pandemic.

  • 2009

    Lisbon Treaty takes effect

    [10]

    The treaty reformed EU institutions and decision-making procedures.

  • 2004

    Largest enlargement to date

    [9]

    Ten countries joined the Union, substantially extending membership into Central and Eastern Europe and the Mediterranean.

  • 2002

    Euro cash introduced

    [8]

    Euro banknotes and coins entered circulation in participating countries.

  • 1993

    European Union formally begins

    [7]

    The Maastricht Treaty entered into force and established the European Union's modern legal and political framework.

  • 1957

    Treaties of Rome signed

    [6]

    The European Economic Community and Euratom were created, expanding integration beyond coal and steel.

  • 1951

    European Coal and Steel Community established

    [6]

    Six founding states created a common authority for coal and steel, establishing the first major supranational European community.

Products and positioning

A supranational public institution and regional integration project combining a single market, common legal framework, shared policies and coordinated external action.

  • Economic integration framework · 1993

    Single market

    The single market is the EU's central economic framework. It seeks to allow the free movement of goods, services, capital and people among member states, supported by common standards, mutual recognition and enforcement mechanisms. It is a regulatory and institutional system rather than a physical product, and it gives businesses access to a large cross-border market while providing common consumer and competition protections.

  • Common currency · 1999

    Euro

    The euro is the common currency used by participating EU member states in the euro area. It was introduced electronically and for financial accounting in 1999, followed by physical notes and coins in 2002. Monetary policy for the euro area is conducted by the European Central Bank and the Eurosystem, while participating national governments retain responsibility for many fiscal and economic policies.

  • Education and mobility programme · 1987

    Erasmus+

    Erasmus+ supports education, training, youth and sport mobility and cooperation. It is best known for enabling students and other participants to study, train or volunteer across European borders, but it also funds institutional partnerships and projects. The programme is intended to strengthen skills, inclusion, European exchange and cooperation between educational and youth organizations.

  • Research and innovation programme · 2021

    Horizon Europe

    Horizon Europe is the EU's principal research and innovation funding programme. It supports collaborative research, scientific excellence, industrial innovation and missions addressing major societal challenges, including climate change and health. Funding is distributed through competitive calls and partnerships involving universities, research organizations, companies and public bodies.

  • Regional development funding · 1988

    Cohesion Policy

    Cohesion Policy directs EU funding toward reducing economic, social and territorial disparities among regions. Its funds support infrastructure, employment, skills, innovation, environmental projects and local development. Member states and regions implement approved programs under shared management with the European Commission, making the policy one of the Union's most visible channels of public investment.

  • Agricultural policy and support · 1962

    Common Agricultural Policy

    The Common Agricultural Policy provides income support, market measures and rural-development assistance while setting objectives for agricultural resilience, food security and environmental stewardship. It has changed substantially since its creation, moving from strong market intervention toward a mixture of direct payments, rural investment and conditions related to land management and sustainability.

Marketing campaigns

  • 2025Protect What Matters – Europe Day 2025

    Europe

    The European Movement International used Europe Day activity to promote peace, democracy and shared European values.

    Outcome. The organizer reported more than seven million impressions.

  • 2024European Elections 2024 campaign

    12 European countries

    The European Movement International ran a voter-engagement campaign around the 2024 European Parliament elections using street advertising and digital channels including TikTok, Instagram, YouTube and Google Ads.

    Outcome. The organizer reported reaching 20.6 million people and generating more than 40 million digital impressions.

  • 2021Enjoy, it's from Europe

    European Union and export markets

    This identity is used in campaigns promoting agricultural products supported by the EU's promotion programme. Grant recipients must acknowledge EU co-funding and use the prescribed European emblem and funding language in eligible campaign materials.

    Outcome. The signature remains part of the EU agricultural-promotion framework for relevant funded campaigns.

  • 2020Green Trip

    European Union

    Green Trip followed earlier Road Trip activities by using local journeys, storytelling and social media to raise awareness of climate urgency, EU environmental action and more sustainable lifestyles.

    Outcome. The initiative continued the experiential and influencer-led format while shifting its focus toward climate and sustainability.

  • 2020We are Europe

    European travel markets

    The European Travel Commission and Euronews promoted renewed travel within Europe as COVID-19 restrictions eased. The initiative directed audiences toward practical travel information and the EU-supported Re-open EU platform.

    Outcome. The campaign ran across television and digital channels during June and July 2020.

  • 2018EU in My Region

    European Union

    EU in My Region invites residents to discover projects financed by the Union, visit participating sites and share experiences. It includes Open Days and regionally adapted initiatives intended to make EU-funded work more visible at local level.

    Outcome. The campaign became an ongoing public-engagement platform with regional activities and social-media participation.

  • 2016European Union communication campaign in Lebanon

    Lebanon

    The European Commission supported a communications and digital campaign explaining EU assistance connected with the refugee response in Lebanon. The work used research with NGOs and communities and combined television, radio, press, online media, video, infographics and social content.

    Outcome. The campaign agency reported reaching approximately three million people; this figure is an agency claim rather than an EU-wide performance measure.

Brand decisions

  • 2024

    Expansion of digital and platform regulationOther

    Background

    The Union sought to address the market power, data practices and systemic effects of large digital platforms.

    Action taken

    The EU continued implementing the Digital Markets Act and Digital Services Act alongside competition and merger-control enforcement.

    Aftermath

    Designated platforms faced compliance obligations, investigations and potential remedies, while companies operating globally increasingly adapted products and practices to EU requirements.

  • 2024

    EU political advertising regulation adopted for implementationOther

    Background

    The Union introduced a framework intended to improve transparency and targeting controls for political advertising.

    Action taken

    Regulation 2024/900 established requirements concerning identification, transparency and the use of targeting and amplification techniques in political advertising.

    Aftermath

    Online advertising providers and political actors prepared new declaration, labeling and compliance processes for EU political campaigns.

  • 2022

    EU response to Russia's invasion of UkraineStrategy

    Background

    Russia's full-scale invasion of Ukraine created a security, humanitarian, energy and economic crisis for Europe.

    Action taken

    The EU adopted sanctions, coordinated assistance, supported displaced people and pursued measures to reduce dependence on Russian energy.

    Aftermath

    The response made security, defense cooperation, energy diversification and Ukraine's European integration central priorities.

  • 2021

    Greater use of Article 22 merger referralsStrategy

    Background

    The Commission reconsidered its approach to referrals from member states for transactions that might harm competition even when the deals did not meet conventional national or EU turnover thresholds. The shift was particularly relevant to digital, pharmaceutical and biotechnology transactions involving nascent competitors.

    Action taken

    The Commission began accepting and encouraging more referrals under Article 22 of the EU Merger Regulation, increasing the possibility of review for deals with limited current revenue but potentially significant competitive effects.

    Aftermath

    The policy increased regulatory uncertainty for some below-threshold transactions and became part of the broader debate over so-called killer acquisitions.

  • 2021

    NextGenerationEU recovery planStrategy

    Background

    The COVID-19 shock created a need for coordinated investment and recovery support across member states.

    Action taken

    EU institutions created a temporary recovery instrument combining grants and loans with national reform and investment plans.

    Aftermath

    The plan expanded the Union's role in common economic recovery financing and linked disbursements to agreed milestones.

Recent events

  • 2024

    European Parliament elections held across the Union[18]

    Other

    Citizens in EU member states elected a new European Parliament, shaping the political composition of the institution for the 2024–2029 term.

  • 2024

    European Commission merger-control notifications increased in 2024[19]

    M&A · Regulation

    The Commission received 392 merger notifications in 2024, with enforcement attention including digital markets, foreign subsidies and acquisitions that could affect future competition.

  • 2022

    EU institutions and member states respond to Russia's invasion of Ukraine[17]

    Other · Regulation

    The EU adopted sanctions, expanded financial and military support measures, and coordinated humanitarian and refugee assistance following Russia's full-scale invasion of Ukraine.

Sources20 sources

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