The European Commission will unveil on Tuesday possible measures, such as screening of outbound investments and export controls, to keep prized EU technology from countries such as China and prevent it being put to military use by rivals. From a report: The European Union executive will present its Economic Security Strategy as a “communication” to EU lawmakers and countries, whose leaders are set to discuss relations with China in Brussels next week. While not a formal legislative proposal, the communication will lay out strategies the 27-nation EU should consider as it seeks to “de-risk” from China and avoid sensitive technology leaking out through exports or investments abroad.

The Commission will need to tread carefully because granting of export licences and weighing security interests are national competences that EU governments will want to retain. A Dutch plan that effectively bars Chinese companies from buying the most advanced lithography tools of ASML, which are used to make semiconductors, is a case in point. The Dutch acted alone, but wanted restrictions throughout the EU. EU officials point out there is no clear way to do this.

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