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1945-2005 - Opening to the World

The Second World War brought with it a reorientation of Luxembourg's foreign policy. By taking part in the effort of the war alongside the Allies, Luxembourg abandoned its status of neutrality and ensured its place within the international community that formed after 1945. The Grand Duchy was a founding member of all the multilateral cooperation institutions of the post-war period: the Organisation of the United Nations, Benelux, the Organisation for European Economic Co-operation (OEEC), the Brussels Pact, the Council of Europe, the North Atlantic Treaty Organisation (NATO).

However, the decisive opening up of the country took place within the framework of European unification. It was possibly no coincidence that the historic initiative of uniting Europeans came from Robert Schuman, a French minister for Foreign Affairs born in Luxembourg of a French father and a Luxembourgish mother. The education he received in both cultures provided him with the groundwork for the great task of French-German reconciliation. When Schuman launched his plan outlining the creation of a European Coal and Steel Community (ECSC) in 1950, Luxembourg was directly involved.

With great skill, its diplomats succeeded in securing the provisional seat of the High Authority of the ECSC in Luxembourg City in 1952. The creation of the ECSC placed the main resource of the Grand Duchy, namely its steel industry, under the control of a supranational authority. This represented a risk, but also an opportunity for Luxembourg, since its significant steel production made it become a fully-fledged member of the Community bodies.

In 1957, alongside France, Germany, Italy, Belgium and the Netherlands, Luxembourg was a signatory of the Treaties of Rome, which founded the European Economic Community (EEC) and regulated the use of nuclear energy (Euratom). During negotiations, the government managed to have the principle of equity in law of all the states accepted, even the smallest, and to obtain direct representation in the European institutions (European Commission, Council of Ministers, etc.).

The 1965 treaty merging the executive bodies of the different Communities consolidated the position of Luxembourg City as one of the three capitals of Europe, alongside Brussels and Strasbourg. The capital of the Grand Duchy became home to important Community institutions: the Secretariat of the European Parliament, the Court of Justice, the European Investment Bank, various services of the European Commission, the European Court of Auditors, the Publications Office, etc. To accommodate these institutions, the Luxembourg government established a European district on the Kirchberg plateau.

Its small size did not prevent the Grand Duchy from playing an active role in the European construction. Prime Minister Pierre Werner (1913-2002) can be considered the forefather of the euro. Appointed head of a group of experts, he presented a monetary union project (Werner Plan) to the European Commission as early as 1970. The Schengen Agreement, abolishing border controls, bears the name of the Luxembourg village in which the first agreements were signed in 1985. Two Luxembourg statesmen, Gaston Thorn and Jacques Santer, presided the European Commission, from 1981 to 1985 and from 1995 to 1999, respectively. From Joseph Bech (1887-1975) to Jean-Claude Juncker (born in 1954),

Luxembourg's politicians have excelled in the role of intermediary in European negotiations. The outcome of the 2005 referendum on the European Constitution (56.52 % of votes in favor) revealed that the majority of Luxembourgers continue to support a deepening of European unity.