EU takes action against economic pressures

At the EP General Assembly session held in Strasbourg, the law establishing a trade retaliation mechanism called the “anti-pressure instrument” against economic coercion by third countries was approved by a majority vote.

Under the law, the EU and its member countries will be protected by their own measures against coercion and economic pressure from third countries.

The new mechanism will be used if a non-EU country tries to pressure the EU or a member state into making a particular decision by imposing or threatening to impose trade or investment measures.

TRADE MEASURES WILL BE TAKEN

Measures that could be implemented in retaliation for economic coercion would include various trade measures, such as restricting trade in goods and services, limiting foreign direct investment, imposing import or export licenses, blocking access to public tenders, etc.

Under this mechanism, the EU Commission will carry out investigations into economic coercion and present its findings to member states.

Member States will implement the mechanism by majority vote and authorize the commission to take appropriate measures.

After this stage, the mechanism will come into force by publication in the EU Official Journal, following official approval by EU member states.

It is expected that the mechanism in question could be used against countries that supposedly impose economic impositions, such as China. (AA)