Iceland mulls joining the EU amid strained US relations

DW News · Feb 28, 2026 · Collected from RSS

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It was apparently meant as a joke but nobody in Iceland found it funny. In January, Billy Long, US President Donald Trump's nominee for ambassador to the Nordic island nation joked to some members of the US Congress that Iceland should become the 52nd US state and that he would be governor. There was immediate outrage in Iceland, with the foreign ministry contacting the US embassy for clarification, social media being flooded with negative comments, and thousands of Icelandic citizens in a country with a population of around 400,000 signing a petition demanding that another person be nominated as ambassador. This did not happen but Long was forced to clarify that there was "nothing serious" about the comment: "[…] if anyone took offence to it, then I apologize," he said. The recent debate between Trump and the US' NATO partners over the Arctic island of Greenland has surely helped to exacerbate the ire and fears of the Icelandic population. Though Iceland belongs to Europe, it is much closer to Greenland than to the European mainland, separated only by 300 kilometers (186 miles) if measuring at the narrowest points between them. Icelanders are thus concerned that their country could become a pawn in the great game between major powers. They are so concerned that Iceland is seriously considering joining the European Union. The EU-friendly center-left government had originally planned a referendum on the issue for 2027 but is now mulling bringing it forward to August of this year. According to recent polls, the chances of Icelanders voting in favor of joining the bloc are good: 45% support accession to the EU, while 35% do not. At the beginning of last year, a survey by the public broadcaster RUV found that three-quarters of those questioned saw the US as a threat. Iceland would have to adhere to EU fisheries policy Iceland gained independence from Denmark in 1944, and June 17 has been celebrated as national holiday ever since. It is a member of the European Free Trade Association (EFTA) and the European Economic Area (EEA), which means it enjoys all the benefits of the European single market and is part of the Schengen Area.However, Iceland is not a full member of the EU, and this is largely due to the bloc's common fisheries policy. If Iceland, whose most important economic sector is the fishing industry, were to become a full EU member, it would have to adhere to the policy and open its waters to fishing fleets from other EU countries. It would lose its control over fishing quotas and possibly face overfishing of its stocks.If Iceland joins the EU, fishing fleets from other member states, such as Spain (pictured here) will have access to its stocksImage: Tono Balaguer/Design Pics/IMAGO Protected by the US for decades Furthermore, although Iceland is a founding member of NATO, it does not have its own army. For decades, it has relied on the US for protection, even as it has developed an increasingly important geostrategic position in the North Atlantic Ocean, but this is becoming more questionable. And not only because of Greenland. Trump's decision to impose 15% tariffs on goods from Iceland has hit the country, which is so dependent on fish exports, particularly hard. This has not gone down well, considering that the US is its second most important trading partner after the EU. So, despite concerns from the fishing sector, EU membership is becoming increasingly attractive to many in Iceland.Trump vs. the world order To view this video please enable JavaScript, and consider upgrading to a web browser that supports HTML5 video Brussels shows goodwill It is not the first time in Iceland's history that the country has moved closer to the EU. After it was hit hard by the global financial crisis of 2008, the country applied for membership to the bloc in the hope of being able to benefit from a rescue package. It was on the verge of bankruptcy after the country's three largest banks collapsed, unemployment had jumped from almost zero to around 10%, the Icelandic krona had depreciated massively in value, and the country had to take out a loan of over $2 billion from the International Monetary Fund. But the country's economy improved and though formal negotiations had begun, in 2013 a Euroskeptic center-right coalition put them on ice and in 2015 withdrew the country's application. In light of the current geopolitical situation, there seems to be goodwill in Brussels. "Iceland is a trusted partner and a close friend of the EU," EU Enlargement Commissioner Marta Kos recently said on X after meeting with Iceland's foreign minister. "We agreed to stay in close contact as we address our changing geopolitical environment in these turbulent times." Since Iceland is already greatly integrated in the EU's structures through the EEA and EFTA, the country is considered a relatively uncomplicated negotiating partner in Brussels. And in the power struggle with the US over spheres of influence, Iceland's accession to the EU would also send a clear signal of strength to Washington. This article was originally written in German.