Andorra and the EU

The EU and the Principality of Andorra

17/02/2021 - 16:13
EU relations with Country

The EU's relations with the Principality of Andorra

The European Union and Andorra are like-minded close neighbours sharing history, culture and language and have signed several agreements of cooperation. Since 2015, the EU and Andorra, Monaco, San Marino are negotiating an Association Agreement on their participation in the EU internal market. This would be a far-reaching agreement to be compared only with the European Economic Area Agreement with Norway, Iceland and Liechtenstein.

Priorities: the EU’s main priority is to conclude the Association Agreement negotiations.

EU-Andorra relations focus currently on the Association Agreement negotiations. Andorra replies generally positively to the Council’s regular calls for alignment with EU foreign, security and human rights policies.

The EU and Andorra are like-minded on values such as the protection of human rights, democracy, security, multilateralism and a rules-based international order.  The Partners also share their interest in implementing the Paris Climate Agreement and the Sustainable Development Goals.

In 2019, former European Commission President Juncker received the Andorran (former) Head of Government Marti.

Andorra participates, in the context of the EU regional policy, in cross-border Pyrenean Mountains cooperation with Spain and France.

The EU - Andorra customs union is based on the 1990 Agreement and its Veterinary Protocol and the Protocol on customs security measures.  The Agreement covers industrial goods and provides that Andorran agricultural products entering the EU are free from import duties; The 2005 Cooperation agreement provides a framework for cooperation in areas such as the environment, transport, culture and information, education, social issues, health, energy and telecom networks and regional policy.

An Agreement on the Taxation of (private) savings income (2004, updated 2016) contributes to clamping down on tax evasion by ensuring the automatic exchange of financial account information, in line with EU rules and OECD standards.

A Monetary Agreement allows Andorra to use the euro as legal tender and to issue, under conditions, a certain number of euro coins; the agreement also provides for the application of EU rules on combating counterfeiting, money laundering and terrorist financing.

In 2014, Eurostat and the Department of Statistics of Andorra signed an Administrative Agreement on cooperation in the field of statistics for a period of five years. Extension is being discussed.

In 2020, Andorra started negotiations towards a framework agreement with the European Investment Bank. The EU provides, under the EU Partnership Instrument (‘TAIEX’), limited financial support to Andorra through ad-hoc technical cooperation (workshops) on EU legislation

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