Yugoslavia was facing civil war and ethnic conflict. Around 1991 Serbia, Croatia, and Slovenia were on the verge of a massive war. The truce talks broke down between Serbia and Slovenia. The biggest concern was about border crossings into western Europe. Customs fees were the dispute and there was a proposal that Slovenia could run the border on the behalf of the Yugoslav government. Economics was playing a role in the tension and hatreds. Slobodan Milosevic no longer was opposing the break-up of the country, but wanted all Serbs united in a single state. The problem was that Serbs were in enclaves located in Croatia and Slovenia. The European Community and the U.S.S.R came to act as mediators in the dispute. It was clear that the EC was not really trying to stabilize the situation. If that were the case Croatia and Slovenia would not have been given recognition as independent states. A unified Germany wanted influence in the Balkans and recognition of Croatia was the first step. Recognition of Slovenia was to follow. Germany's push to recognize both break away republics in 1992 only exacerbated the conflict. The result was a war on European soil not seen since World War II and ethnic cleansing.
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