Russian Federation

The EU including Austria is undertaking efforts to strengthen ties with the Russian Federation based on the concept of a strategic partnership.

Trade relations between the European Union and the Russian Federation have intensified in particular since the enlargement of the EU in 2004. The relations increased making the EU Russia's most important economic partner: 60% of all Russian exports (most of it oil and gas) go to the EU.

As a result business opportunities on both sides as well as political ties between the EU and the Russian Federation could be harnessed more extensively. A number of fora for dialogue and comprehensive co-operation processes have already been established at all levels including EU-Russia Summits at the highest level. The purpose of these summit meetings is to discuss ways and means of further developing mutual relations. To that end the EU-Russia Summit of May 2005 adopted the road maps for the implementation of the Four Common Spaces (the Common Economic Space; the Common Space of Freedom, Security and Justice; the Common Space of External Security; and the Common Space of Research, Education and Culture), each of which will contribute substantially to further promoting the strategic partnership between the EU and Russia.

A changing political environment has made necessary adjustments of the legal and institutional framework. As a result negotiations on an agreement replacing the Partnership and Cooperation Agreement, which was scheduled to expire in 2007 were started. The negotiation mandate for the new agreement was adopted by the EU Foreign Ministers on 26 May 2008. Negotiations on the new agreement started at the EU-Russia summit in Khanti Mansiisk in June 2008. At the summit in June 2010 the EU and Russia agreed on a "Modernisation Partnership" which focuses on civil society, rule of law and the fight against corruption. At the summit in December 2010 the EU and Russia presented a first progress report on the Modernisation Partnership.

Russia's negotiations on joining the WTO have been supported by the EU. WTO membership would be an important step for Russia towards a free trade agreement between the EU and the Russian Federation.

Discussions initiated by Russia on a new European and transatlantic security architecture have been positively received by the EU and have been conducted within the OSCE ("Corfu process").

On May 7 2008, Dmitry Medvedev became successor to Vladimir Putin as President of the Russian Federation. Putin was elected as the new Prime Minister by the Russian Parliament. As former deputy chief of government Medvedev follows up the existing domestic and foreign policy, yet also runs his own agenda (f.e in the fight against corruption). Moscow sees itself as a decisive factor in world policy not least due to its permanent seat in the UN Security Council and due to its important role as (global) energy supplier.

Russian foreign policy is focused on Eurasia. Maintening good relations with the CIS member states is still a top priority. The war in Georgia demonstrated clearly, that the Russian Federation intends to keep its influence on its immediate neighbours and refuses a rapprochement of Georgia and Ukraine to NATO. At the same time Russia underlines its influential role in searching solutions to regional conflicts, an element which is also important to the EU when it comes to defining its strategic partnership with Russia. Concerning Eurasia Moscow’s second priority are its relationship with the European Union and the permanent assertion of Russia’s own interests. The relations with the United States have improved considerably since the beginning of the Obama administration. Early February 2011 the United States and Russia concluded the ratification process of an agreement replacing the former START agreement (Strategic Arms Reduction Treaty).