Iceland in the Cold War a summit in Reykjavík in 1986 between United States President Ronald Reagan and Soviet Premier Mikhail Gorbachev, during which they took significant steps toward nuclear disarmament. Only a few years later, in 1991, when Jón Baldvin Hannibalsson was foreign minister, Iceland would become the first country to recognize the independence of Estonia, Latvia, and Lithuania as they broke away from the Soviet Union. The US base served as a hub for transports and communications to Europe, a key chain in the GIUK gap, a monitor of Soviet submarine activity, a linchpin in the early warning system for incoming Soviet attacks,
Foreign policy of the Ronald Reagan administration that they would no longer intervene in the affairs of allied states in Eastern Europe. In 1989, Soviet forces withdrew from Afghanistan. Reagan's Secretary of State George P. Shultz, a former economics professor at Stanford University, privately instructed Gorbachev on free market economics. At Gorbachev's request, Reagan gave a speech on free markets at Moscow University. When Reagan visited Moscow, he was viewed as a celebrity by the Soviets. A journalist asked the president if he still considered the Soviet Union the evil empire. "No," he replied, "I was talking about another time, another era." In his autobiography "An American