EU talks could freeze Iceland’s other trade deals
Monday 10th August 2026 on 16:15 in
Iceland
Iceland could put potential free trade agreements with other countries on hold if voters support reopening accession negotiations with the European Union, mbl.is reports. The issue was discussed on Morgunblaðið’s Dagmál programme, where European Movement chair Magnús Árni Skjöld Magnússon spoke with Andrés Magnússon about the upcoming referendum and its possible consequences.
Referendums seen as a way to settle disputes
Magnús said referendums were a normal way to resolve major political disagreements, even when the outcome was decided by a narrow majority. He noted that Sweden approved EU membership by 52 per cent to 48 per cent, while Norway rejected membership by the same margin. Malta’s result was also very close.
“This is simply a way to settle political disagreements,” Magnús said. Even a narrow result, he added, would create a new political situation that society would then have to work with.
Questions over the government’s mandate
Andrés noted that the EU issue had received little attention in the most recent parliamentary elections. He said 85 per cent of voters had supported parties that did not prioritise opening accession negotiations.
He asked whether it would have been more honest to put the issue clearly before voters in parliamentary elections, rather than having politicians “outsource” it to the public.
Magnús replied that, if the referendum produced a yes vote, EU affairs would certainly become one of the main issues in the next parliamentary elections. If an accession agreement were later reached, it would also be submitted to the public.
A yes vote would also close doors
At the end of the interview, Andrés examined the campaign slogan “yes to see”, criticising the suggestion that a yes vote represented a guarantee of opportunities while a no vote would close doors.
Magnús said that if accession negotiations resumed, Iceland’s potential free trade agreements with other countries would be put on hold.
“We would of course be tying ourselves to the European Union in that respect. That is completely clear,” he said.
In return, Iceland would become part of the EU’s trading area and benefit from its protection in possible tariff disputes.