EU promotes strategic autonomy to strengthen economic security

The flag of the European Union flies at the headquarters of the European Commission in Brussels, Belgium. (Photo: Xinhua) — The flag of the European Union flies at the headquarters of the European Commission in Brussels , Belgium. (Photo: Xinhua )

Europe is increasingly vulnerable to shocks. In an increasingly complex and unpredictable world, Europe needs to adapt and prepare for a variety of scenarios. With the aim of increasing the autonomy, resilience and flexibility of the economy , the EU makes proactively mitigating strategic risks a top priority. According to the European Commission (EC), this new orientation is not aimed at narrowing international integration, but towards ensuring that all connections with the world are safe, transparent and sustainable.

The EU’s new economic security doctrine is designed to anticipate trade threats and adopt a more strategic approach to existing trade instruments, contributing to strengthening the bloc’s ability to protect its markets against growing risks from abroad. While the three pillars of the economic security strategy published by the EU in June 2023 were “promote, protect, cooperate”, the new doctrine’s pillar aims at “protect and cooperate”.

Accordingly, in addition to the potential risks already mentioned in sensitive technology areas such as semiconductors, artificial intelligence (AI), quantum technology and biotechnology, the new economic security doctrine will forecast additional risks. The new doctrine also clarifies the best way to respond to economic threats by making effective and timely use of the EU's existing trade defense arsenal.

This strategy represents a shift from a reactive approach to a proactive one that identifies and responds to risks early. The EU will flexibly utilize existing tools, from foreign direct investment screening mechanisms, trade defense measures to industrial development funds, to serve the goal of reducing dependence and strengthening economic foundations.

Resources will be prioritized in strategic areas, including cutting-edge technology, defence and space, critical infrastructure and the protection of sensitive data. In addition to optimizing existing tools, the EU will also aim to improve risk assessment capacity and information sharing among stakeholders. Regular risk assessments will form the basis for effective preventive measures, helping the EU respond proactively to unexpected situations.

Another important step is to complete the missing toolkit. The new economic security doctrine is not just a vision, but has already begun to be put into practice through the ResourceEU programme, which aims to equip the bloc with the tools it needs to maintain strength, resilience and sovereignty in a volatile global environment.

In addition to ResourceEU, which aims to reduce dependence on foreign supplies of strategic materials and semiconductors, the EU has also implemented initiatives such as the Industrial Accelerator Act, the CHIPS 2.0 Act, and programs on cloud computing, AI and green industry development. These measures are designed to ensure that key European sectors are not left behind by global changes and maintain their leadership in strategic technology and manufacturing.

Economic security is considered the foundation for Europe’s overall security. Over-reliance on unstable supply sources can lead to serious risks. Therefore, the new EU strategy aims to diversify supply chains while maintaining cooperation with trusted partners. Effectively exploiting the trade toolkit and enhancing intelligence sharing will help the EU be more proactive in facing economic challenges.

Legislative and technical steps to put the new strategy into practice are now being accelerated, and the EU continues to pursue its goal of building a resilient, secure union capable of responding to economic and geopolitical fluctuations on a global scale.

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