EU in trade wars: Fighting sanctions with counter-sanctions

Brussels The European Union is preparing for new economic wars – and is orienting itself on the deterrent logic from the Cold War. In order to dissuade other countries from economic blackmail attempts and to protect companies from the EU from arbitrary coercive measures, Europe is strengthening its counter-attack capacity. At least that is the Commission’s plan.

This Wednesday, the EU authority wants to propose a new instrument that would empower them to respond to sanctions with their own sanctions in an emergency. The draft is available to the Handelsblatt. First the online portal Politico reported about it.

In principle, Brussels wants to create a geo-economic balance of horrors. The mere existence of the new option of retaliation is intended to prevent other countries from letting themselves be seduced into economic and political aggression against the EU.

For deterrence to work, it has to be credible. The Commission is therefore striving for a far-reaching reform of its trade policy and a considerable increase in power.