This paper discusses the possibilities and limits of European integration beyond the nation state. As the nation state reflects a complex reality, having its roots in cultural commitment as well as political mobilization, its relationship to state law has to be critically reviewed by a theory of rational state. Hegel's references to the social contract of Rousseau allow us to question the legitimacy of the nation in representing the sovereign state. This gives us some important conclusions about the political destiny of the European Union and its relation to the nation state.