EU legislation tackling economic coercion by third countries enters into force
On 7 December, the EU regulation on protecting the Union and its member states from economic coercion by third countries, the Anti-Coercion Instrument (ACI) entered into force 20 days after its publication in the Official Journal of the European Union (OJEU).
The Minister of Foreign Affairs of Lithuania Gabrielius Landsbergis noted that after its publication, the regulation would become a crucial instrument to protect the EU’s economic interests. “We have consistently supported the adoption of this legislation. Therefore, I am pleased that the EU starts 2024 stronger and better prepared to defend the interests of the EU and its member states,” Landsbergis said.
The new legislation will serve as a deterrent for third countries targeting the EU or its member states. It will help to de-escalate and induce the discontinuation of coercive measures in trade and investment through dialogue. When this is not possible, and as a last resort, the EU will be able to adopt countermeasures.
In December 2021, the European Commission responded to China’s increasing interference in the EU’s and Lithuania’s policy choices by presenting a legislative proposal for the ACI.