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
Washington Summit many supporters of both leaders, Reagan and Gorbachev began putting resources into INF Treaty negotiations. This, in addition to various troubles foreign and domestic in both countries led to a tense time preceding the Washington Summit. For Reagan, trouble with the stock market, failure to win approval for Supreme-Court-nominee Robert Bork, and the Iran-Contra scandal were all generating political pressure. Also, criticism from an uncharacteristically large number of notable conservatives including former President Richard Nixon, former Secretary of State Henry Kissinger, commentator William Buckley, as well as members of his own administration resulted in a contentious political atmosphere around the