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European Union’s ‘Trade Bazooka’ ACI: Deterrence Tool Against Economic Coercion
French President urges the first-time use of the European Union’s trade “Bazooka” (Anti‑Coercion Instrument, ACI) to counter US tariffs on European countries amid a standoff over Greenland. The instrument is cited as an EU deterrence tool to respond to economic coercion through trade or investment measures.
European Union Anti‑Coercion Instrument (ACI) (“Trade Bazooka”):
| Dimension | Key Details |
|---|---|
| Name | Anti‑Coercion Instrument (ACI); referred to as the EU’s trade “Bazooka” |
| Meaning | Provides for action when a non‑EU country interferes in policy choices of the EU or its Member States by applying or threatening measures affecting trade or investment |
| Objective | Provides for deterrence and response to rising economic coercion |
| Measures | Import and export restrictions on goods and services; measures related to intellectual property rights; measures related to foreign direct investment; restrictions on access to the EU market |