An Honorable European Union Member

An Honorable European Union Member

Austria

The European Union considers itself the guardian of democratic values, entrusted with sustaining the peace that has prevailed in Western Europe since World War II ended. In a February 3 resolution signed by 14 member states, the European Parliament condemned the provocative (and, many say, corrosive) rhetoric of JÐ"¶rg Haider, then chairman of Austria's Freedom Party. The resolution also said that to form a new government including such a party "legitimizes the extreme right in Europe"( www.sun.com). The signatories imposed sanctions that isolated Austria diplomatically and put the new government in Vienna "under observation." Few, it seems, recalled that for forty-five years Austria had been a constitutional democracy noted for its political stability. Furthermore, its neutral status made it a haven for political refugees and an important dialogue partner on human rights issues.

In May 2004, the European Union will welcome 10 new members. Austria will then border two longtime EU member states, two non-EU countries, and four new EU members, making it an excellent springboard into a host of new markets. This new status will create a more competitive environment for U.S. companies seeking access to growing markets in Central and Eastern Europe. Already, some 360 U.S. firms have recognized this potential and use Vienna as a regional base of operations for their business endeavors in Central and Eastern Europe. The Austrian government plans to create a regional cooperation zone with Hungary, Slovakia, and the Czech Republic, all countries that will join the European Union next year. Austria's ties to the EU accession states and its developed, open economy make for an attractive combination for companies wishing to tap into a European market that will soon span an even greater share of the continent.

"Austria has transformed into a distinct niche-type market," says Joe Kaesshaefer, senior commercial officer for Austria. "We've seen basically two types of U.S. exporters asking for our assistance repeatedly. First, the small business that is intimidated by the size of the markets of Germany, France, or Italy, finds the size of the Austrian market to be quite manageable. Second, the small business or even very large company that looks at a map and realizes that in May 2004, the center of power in Europe moves in such a way that Austria can be a company's linchpin or launching pad in dealing with the fast-growing EU accession countries."

A relative newcomer to the European Union itself, Austrians know about the benefits of joining the economic bloc. Austria's EU accession in 1995 had a positive impact