The EU’s Anti-Coercion Instrument (ACI), also dubbed the “trade bazooka”, has recently made headlines due to heightened geopolitical tensions. This instrument, designed to deter and counter economic coercion, has not yet been deployed. However, the increasing reliance on trade and investment measures to achieve foreign policy objectives and apply pressure on counterparts suggests that such instruments will be tested. It may only be a matter of time before a confrontation between the EU and a third country prompts its first application.
03
Feb