The compact Abelian model in three space-time dimensions is studied in the
presence of external electromagnetic fields at finite temperatures. We shoc
k that the deconfinement phase transition is independent of the strength of
the external fields. This result is in agreement with our observation that
the external fields create small-size magnetic dipoles from the vacuum whi
ch do not influence the confining properties of the model. Contrary to the
deconfinement phase, the internal field in the direction of the applied ext
ernal field is attenuated in the confinement phase this screening becomes s
tronger with decreasing temperature.