On 29 January 2020, the European Commission's new work programme was published.

Under the fourth priority - 'A Stronger Europe in the World', the Commission announced its intention to adopt an overarching strategy for strengthening Europe’s Economic and Financial Sovereignty.

According to the January work programme, the strategy should be adopted in the third quarter of 2020. However, in the adjusted Commission work programme presented on 27 May 2020 this deadline was postponed until the fourth quarter of 2020.

On 19 January 2021, the Commission followed up on its commitment by presenting a new strategy aimed to better enable Europe to play a leading role in global economic governance, while protecting the EU from unfair and abusive practices. This proposed approach is based on three mutually reinforcing pillars:

• Promoting a stronger international role of the euro
• Further developing EU financial market infrastructures and improving their resilience
• Further promoting the uniform implementation and enforcement of the EU's own sanctions.

On 20 June 2023, the European Commission and the High Representative published a Joint Communication on a European Economic Security Strategy. This Joint Communication focuses on minimising risks arising from certain economic flows in the context of increased geopolitical tensions and accelerated technological shifts, while preserving maximum levels of economic openness and dynamism.

The proposed strategy sets out a common framework for achieving economic security by promoting the EU's economic base and competitiveness; protecting against risks; and partnering with the broadest possible range of countries to address shared concerns and interests. The fundamental principles of proportionality and precision should guide measures on economic security.

The Communication lays the basis for a strategic discussion with EU Member States and the European Parliament to develop a comprehensive approach to protect the Union's economic security. The European Council has considered the strategy during its meeting of 29-30 June 2023.

In the Parliament, on 23 June 2023, the file has been referred to the Committee for International Trade (INTA).

References:

• European Parliament Legislative Observatory, Procedural file on European economic security strategy, 2023/0020(JOIN).
• European Commission and High Representative of the Union for Foreign Affairs and Security Policy, Joint communication to the European Parliament, the European Council and the Council on European Economic Security Strategy, 2023/0020(JOIN).
• European Commission, An EU approach to enhance economic security, press release.
• European Commission, European Security Strategy, factsheet.
• European Commission, Communication from the Commission to the European Parliament, the Council, the European Central Bank, the European Economic and Social Committee and the Committee of the Regions - The European economic and financial system: fostering openness, strength and resilience, COM(2021)32. 

Author: Stefano Spinaci, Members' Research Service, legislative-train@europarl.europa.eu