This is regarded as a significant shift in how the EU safeguards its interests against growing economic risks and geopolitical competition, while maintaining the bloc’s openness to international trade and investment.
Europe is becoming increasingly vulnerable to external shocks. In an ever more complex and unpredictable world, Europe needs to adapt and prepare for every possible scenario.
With the aim of enhancing economic autonomy, resilience and flexibility, the EU has prioritised proactive strategic risk mitigation.
According to the European Commission (EC), this new approach is not intended to reduce international integration, but rather to ensure that all global connections take place in a safe, transparent and sustainable manner.
The EU’s new economic security doctrine is designed to anticipate trade threats and adopt a more strategic approach to existing trade defence instruments, helping to strengthen the bloc’s market protection against growing foreign risks.
While the three pillars of the economic security strategy announced by the EU in June 2023 were “promote, protect, partner”, the new doctrine’s pillars will be “protect and partner”.
Accordingly, in addition to potential risks previously identified in sensitive technological areas such as semiconductors, artificial intelligence (AI), quantum technology, and biotechnology, the new economic security doctrine will forecast further risks. It also clarifies the best ways to respond to economic threats using the EU’s existing trade toolbox effectively and in a timely manner.
This strategy represents a shift from a reactive to a proactive approach, identifying and addressing risks early. The EU will flexibly employ existing tools, from foreign direct investment screening mechanisms and trade defence measures to industrial development support funds, to reduce dependency and strengthen the economic foundation.
Resources will be prioritised for strategic sectors, including cutting-edge technology, defence and space, critical infrastructure, and the protection of sensitive data.
In addition to optimising existing tools, the EU aims to enhance risk assessment capabilities and information-sharing among stakeholders. Regular risk assessments will form the basis for effective preventive measures, enabling the EU to respond proactively to unforeseen developments.
Another important step is to complete the toolbox where gaps remain. The new economic security doctrine is not merely a vision; it has already begun to be implemented through the RESourceEU programme, which equips the bloc with the necessary instruments to maintain strength, adaptability, and sovereignty in a volatile global environment.
Alongside RESourceEU, which aims to reduce dependency on foreign supplies of strategic materials and semiconductor components, the EU is rolling out initiatives such as the Industrial Accelerator Act, Chips Act 2.0, and programmes on cloud computing, AI and green industrial development.
These measures are designed to ensure that Europe’s key industries remain resilient to global disruptions and maintain a leading position in strategic technology and manufacturing.
Economic security is considered foundational to Europe’s overall security. Excessive reliance on unstable sources can lead to serious risks. Consequently, the EU’s new strategy seeks to diversify supply chains while maintaining cooperation with reliable partners. Effectively leveraging the trade toolbox and enhancing intelligence-sharing will enable the EU to respond proactively to economic challenges.
Legislative and technical steps to implement the new strategy are being accelerated, as the EU continues to pursue its goal of building a self-reliant, secure union capable of addressing global economic and geopolitical uncertainties.
