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On 1 May 2004, the European Union underwent its fifth "enlargement' as ten new countries joined. Integrating the eight new members from central and eastern Europe represents an economic challenge, especially in environmental matters. By joining the EU, these countries have had to accept the acquis communautaire and adopt environmental regulations stricter than those already existing there. This bears a price, since industry must be brought up to par with EU standards, in particular with regard to waste management and the installation of appropriate administrative structures. However the introduction of these standards also brings along considerable economic advantages, mainly related to the saving of natural resources, the improvement of productivity thanks to innovation and an increase in market openings; A comparison of the costs and benefits of applying EU environmental standards shows that, in the middle or long run, the benefits will exceed the initial costs. Porter's hypothesis, which emphasizes the advantages of environmental policies, turns out to be true under condition that these policies are integrated as early as possible in economic strategies and are backed up by a precise assessment of a country's environmental and economic conditions. [ABSTRACT FROM AUTHOR]