With the combative Trump presidency at an end, Europeans may be inclined to think that the threat of US economic coercion has dissipated. This policy brief argues that such complacency is misguided. The authors provide concrete proposals for the EU to protect itself from the effects of extraterritorial sanctions by creating deterrents and effective countermeasures. Potential actions include establishing a European Compensation Fund, a European External Trade Bank, and making use of existing trade power, among several others. The policy brief argues that a comprehensive and well-articulated arsenal of measures to counter extraterritorial sanctions may be the first real operational test of the concept of “strategic autonomy.”
Authors: Marie-Hélène Bérard, President of MHB SAS, Elvire Fabry, Senior research fellow, Jacques Delors Institute, Paris, Farid Fatah, Attorney at law, Edward Knudsen, Associate research fellow, Jacques Delors Centre, Berlin, Pascal Lamy, Coordinator of the Jacques Delors think tanks in Paris, Berlin and Brussels, Geneviève Pons, Director General of Europe Jacques Delors, Brussels, Louis Schweitzer, Former Chairman and Chief, Executive Officer of Renault, Pierre Vimont, Senior fellow, Carnegie Europe