The EU’s emphasis on economic security will not compromise the openness of Europe’s economy, reassured the top trade official on Tuesday (2 July) during a business community event.
Trade Commissioner Valdis Dombrovskis, speaking at an event hosted by Brussels-based lobby group BusinessEurope, stated that recent EU efforts to coordinate export controls and strengthen screenings of incoming foreign direct investment do not signify a move towards full economic protectionism.
“Europe has always been a trading continent and will continue to be so,” Dombrovskis emphasized, highlighting the importance of free trade in maintaining access to critical resources and enabling European businesses to achieve economies of scale.
The Commissioner expressed full support for BusinessEurope’s call for policymakers to strike a balance between the three pillars of the EU’s Economic Security Strategy, which aims to enhance competitiveness, collaborate with like-minded countries, and safeguard economic security.
Dombrovskis stressed the need to maintain equilibrium among these pillars, affirming, “It is crucial to ensure that any actions we take preserve this balance.”
BusinessEurope’s Director General Markus Beyrer echoed these sentiments, cautioning against security measures impacting the EU’s competitiveness and warning against disguised protectionism.
As a former Latvian Prime Minister nominated for a third term as Commissioner, Dombrovskis is rumored to seek an economics-focused portfolio in the next mandate.
He also emphasized the importance of a level playing field in international trade, citing recent EU investigations into Chinese subsidies for green technologies as an example of ensuring fair trade practices.
Provisional tariffs on Chinese electric vehicles are set to take effect this Thursday if no agreement is reached, with ongoing negotiations between the EU and China.
[Edited by Anna Brunetti/Alice Taylor]
