On November 22, 2023, the EU Anti-Coercion Tool regulation is expected to be signed. The Anti-Coercion Instrument (ACI) is designed to help the EU and its member states protect themselves from economic coercion by third countries.
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What is meant by economic coercion?
In its Oct. 23 press release, the European Council defines economic coercion, or economic duress, as “a situation in which a third country attempts to pressure the EU or a member state into a particular decision by applying or threatening to apply measures that affect trade or investment to the detriment of the EU or a member state.”
The instrument is intended to serve as a deterrent and to prevent or eliminate coercive measures threatened or enforced against an EU member state through dialogue. If the attempts are unsuccessful, the imposition of trade barriers is available as a countermeasure.
Source: European Council
