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
Presidency of Ronald Reagan Regan with Howard Baker. The investigations into the Iran–Contra scandal continued after Reagan left office, but were effectively halted when President George H. W. Bush pardoned Secretary of Defense Caspar Weinberger before his trial began. Investigators did not find conclusive proof that Reagan had known about the aid provided to the Contras, but Walsh's report noted that Reagan had "created the conditions which made possible the crimes committed by others" and had "knowingly participated or acquiesced in covering up the scandal." Three different Soviet leaders died between 1982 and 1985, leaving the Soviets with an unstable leadership until Mikhail Gorbachev