The Arabic Service of the BBC uses the expression حالة الأمة

Look at the following citation:

http://news.bbc.co.uk/hi/arabic/news/newsid_824000/824786.st...

الرئيس الروسي فلاديمير بوتين أول خطاب له عن حالة الأمة منذ توليه رئاسة الاتحاد الفدرالي الروسي

I do not know if this is an "official" translation or not. If you would like a more lexically accurate translation, you may want to consider حالة الاتحاد

Other possibilities:

أوضاع الأمة

أوضاع الاتحاد

Fuad

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Note added at 1779 days (2006-02-15 18:35:13 GMT)
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Additional Information

According to a Russian member of KudoZ (username: Yana), the original Russian name is:

هوهمîنيîه ïîٌëàيèه دًهçèنهيٍà ذîٌٌèè شهنهًàëüيîىَ رîلًàيè‏ ذîٌٌèéٌêîé شهنهًàِèè,

(To display the Russian script, switch to Cyrillic encoding.)

The English translation of the above (courtesy of Yana) is:

Annual message of the President of Russia to the Federal Assembly of the Russian Federation

American writers found the expression “State of the Union” convenient because it is ready-made and shorter.

That is why it is not so vital to stick so literally to “Sate of the Union,” since it is not the authentic name anyway. The BBC version may be just as good as any.

Such terms have no correspondents in Arabic ,since we have not such occasions.