The Anti-Coercion Instrument - An Analysis of the EU’s Broad Trade Defence Instrument in a Changing Geopolitical Landscape

Sammanfattning

In the context of increasing geopolitical tensions and the growing use of economic coercion in international relations, the European Union adopted (EU) Regulation 2023/2675 better known as the Anti-Coercion Instrument (ACI). This study analyses the political and legal developments that led to the adoption of the regulation, alongside its objectives, and its operational structure. It further examines the compatibility of the instrument with World Trade Organisation provisions, and international law. The recent events surrounding the Greenland crisis involving Denmark and the United States are discussed to illustrate the legal and practical difficulties associated with the identification of economic coercion and the activation ACI. This research concludes that while Anti Coercion Instrument was never enforced since its adoption, because of the complexities associated with the definition of economic coercion, it still meets Europe’s need for a defensive mechanism to address such instances.