3 October 2023
The ECR Group strongly supports the Anti-Coercion Instrument (ACI) which will enable the European Union to better respond to economic coercion by third countries
“The single market is the geopolitical capital of the European Union and it must be protected from big bullies,” said ECR shadow rapporteur Michiel Hoogeveen after the adoption in the European Parliament in Strasbourg. “Now we can adequately defend ourselves against coercion from third countries. But let’s be clear: The intention of the instrument is not to start trade wars, it is primarily a deterrent,” Hoogeveen explained.
For the ECR Group, it is also important that the ACI is not toothless: if economic coercion is used, the ACI provides a structure to move the third country through dialogue. If this fails, the EU can resort to a number of possible countermeasures against the country. These include imposing tariffs, restricting trade in services and limiting access to foreign direct investment or public procurement. The agreement also contains a legal framework that allows the EU to require the third country to repair the damage caused by its economic coercion. It also regulates decision-making, in particular the role of the Council in determining whether the EU or a Member State is the target of economic coercion. The Commission will have implementing powers on the countermeasures to be taken, but Member States will be consulted.
“A very important point for the ECR Group is that the decision to use the instrument will be taken by the Member States. They have the say, and that is the way it should be. It shows that the EU works well on an intergovernmental basis. This way of decision-making could even be a model for future trade policy and for the EU as a whole,” concluded Hoogeveen.
The file was adopted with 578 votes in favor, 24 against and 19 abstentions.