“Economic coercion’ under the proposal refers to a situation where a third country is seeking to pressure the Union or a Member State into making a particular choice by applying, or threatening to apply, measures affecting trade or investment. Such practices unduly interfere with the legitimate policymaking space of the EU and its Member States and undermine the EU’s open strategic autonomy”.
Proposal for a
REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL
on the protection of the Union and its Member States from economic coercion by third countries
{SEC(2021) 418 final} – {SWD(2021) 371 final} – {SWD(2021) 372 final}
The European Commission’s proposal for the Anti-Coercion Instrument (ACI) was indeed influenced by concerns raised by the European Parliament and several Member States regarding economic coercion practices by third countries. In February 2021, a Joint Declaration by the European Parliament, the Council, and the Commission acknowledged the need for a mechanism to deter and counteract coercive actions by non-EU countries. This collective recognition led the Commission to develop and propose the ACI in December 2021, aiming to protect the EU and its Member States from undue external pressures.