Foreign relations of Iceland already being prepared. U.S. officials have since then argued that Iceland is in no need of a military presence. NATO allies since then conduct air policing after the U.S. Air Force withdrawal. Foreign relations of Iceland Iceland's closest relations are with Norway and other Nordic states, Canada and the United States. Iceland hosted the historic 1986 Reagan-Gorbachev summit in Reykjavík, which set the stage for the end of the Cold War. Iceland's principal historical international disputes involved disagreements over fishing rights. Conflict with the United Kingdom led to the so-called Cod Wars in 1952–56 because of the extension of the
History of the Soviet Union (1982–91) were in agreement that nuclear war could not be won by either side and must never be allowed to happen. It was also agreed that Reagan and Gorbachev would carry out two more summit meetings in 1986–87. Jimmy Carter had officially ended the policy of détente, by financially aiding the Mujahideen movement in neighboring Socialist Afghanistan, which served as a pretext for the Soviet intervention in Afghanistan six months later, with the aims of supporting the Afghan government, controlled by the People's Democratic Party of Afghanistan. Tensions between the superpowers increased during this time, when Carter placed trade embargoes on