Today, the new tool against economic coercion measures was published in the Official Journal of the European Union, which will come into force on 27 December. The new tool provides the EU with means to prevent and counter economic coercion, thereby defending its interests and those of its member states on the world stage. The tool is primarily designed to act as a deterrent against financial coercion. When coercion nevertheless occurs, the tool provides a basis for a well-balanced response to stop the coercion. When a country refuses to lift coercion, the tool provides the EU with a wide range of possible countermeasures. These include the imposition of tariffs, restrictions on trade in services and trade-related aspects of intellectual property rights, as well as restrictions on access to foreign direct investment and public procurement. The tool, as well as the measures that can be taken within its framework, are consistent with the EU’s international obligations and are fully grounded in international law. In addition to this tool, several other tools are being established to strengthen Europe’s financial security, in the framework of the European strategy for financial security, which the European Commission presented in June 2023.

Athena Papakosta