Foreign relations of Iceland 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 fishing zone from 3 to 4 nautical miles (6 to 7 km), 1958–61 because of extending the fishing zone to 12 nautical miles (22 km) in 1972–73 because of its further extension
Cod fishing in Newfoundland fishermen from England, France, Spain and Portugal discovered the best places to fish for cod in the waters off Newfoundland, and how best to preserve the fish for the journey home. The French, Spanish and Portuguese fishermen tended to fish on the Grand Banks and other banks out to sea, where fish were always available. They salted their fish on board ship and it was not dried until brought to Europe. The English fishermen, however, concentrated on fishing inshore where the fish were only to be found at certain times of the year, during their migrations. These fishermen used small