March 25th 1957: Signing of the Treaties of Rome

Following the energy shortages caused by the Suez Crisis in 1956, Jean Monnet believed that Europeans needed to come together as an atomic power community which would lead to energy independence. France’s partners were quite in favour of creating a common market but this plan did not find support in the traditionally protectionist French economic circles. In order to reconcile all interests, two separate treaties were signed in Rome. One related to the European Atomic Energy Community (EURATOM) and the other establishing the European Economic Community (EEC).

January 11th 1960: Creation of the European Social Fund

 
The signatories to the Treaty of Rome did not want to limit European integration to the setting up of a common market. From the beginning, the Community implemented socially-oriented actions to complement the opening of European economies. The European Social Fund (ESF), which was the first of these measures, aimed to support the training and professional redeployment of workers. It is regularly renewed and for the period 2000-2006, the ESF had €60 billion at its disposal.

July 30th 1962: Launch of the CAP

Following the Stresa Conference in 1958 and at the request of France, Dutchman Sicco Manholt was given the responsibility of researching the establishment of a common agricultural policy based on three principles: market unity, community preference and financial solidarity. After four years of negotiations, the vice-president of the Commission had overcome national reticence and had drawn up the main ideas of the CAP which would lead to rapid modernisation of European agriculture. But the issue of agriculture continued to cause strife in the Community mainly because of its growing budgetary dominance.

April 8th 1965: Signing of the treaty merging executive bodies

To improve the effectiveness of the executive bodies, the six members decided to merge the High Authority of the ECSC, the Commission of the EEC, and EURATOM into a single body. The Commission of European Communities had extended powers which enabled it to take cross-cutting actions. A lively ideological dispute set General Charles de Gaulle against Walter Hallstein who viewed this new Commission as the beginning of a European federal government. In the end, Hallstein resigned. Jean Rey, a Belgian, succeeded him in July 1967 as the head of the first Commission after the Merger Treaty.

July 1965: Beginning of the ‘empty chair crisis’

In 1965, the European Commission proposed a reform to the financing of the common agricultural policy which had to be drawn up by a qualified majority from January 1st 1966. France feared becoming a minority when it came to agriculture – a sector to which it was very attached – so strongly condemned the direction being suggested and boycotted the community institutions for seven months. The crisis ended with the 'Luxembourg compromise’ of January 29th 1966 which enabled any member country to oppose a community decision supported by the majority if it believes its national interests are seriously threatened.

July 1st 1968: Entry into force of the customs union

A huge success for the common market: customs duties which had always been paid on trade between the six member countries were eliminated 18 months before the date scheduled by the Treaty of Rome. A common customs duty was introduced to replace the national customs duties for trade with the rest of the world.

April 24th 1972: Entry into force of the ‘snake in the tunnel’

At the end of the 1960s, the Community’s member countries were struck by the currency chaos which damaged the workings of the common market. To avoid the discrepancies caused by national political responses, the six member states agreed on a step-by-step plan to create European economic and monetary union. This was based on a proposal by Raymond Barre, then Vice-president of the Commission. Pierre Werner, from Luxembourg, presented a report on the subject in 1970.

Three years later, German Karl Schiller developed a system to reduce monetary fluctuations between the six member countries. The new monetary system, known as the ‘snake in the tunnel’, was born. It was an early ancestor of the euro.

January 1st 1973: First enlargement of the Community

During the 1950s, the United Kingdom shied away from any attempts to integrate into Europe because it feared potential challenges to its sovereignty, to its relationship with its former empire and to its privileged relationship with the United States. However, during the 1960s, the British reoriented their foreign policy towards continental Europe as it was becoming more and more prosperous.

In 1971, after two refusals from France who feared weakening the Community, the United Kingdom finally opened its doors to the common market. It was officially welcomed on January 1st 1973 with Ireland and Denmark. 

Last update: Feb 21st, 2010