The European Union flags in front of EU headquarters in Brussels, Belgium. Photo: Xinhua

　　The EU"s proposed revision of the Cybersecurity Act (CSA2) could carry a price tag of nearly €367.8 billion ($431.5 billion) if it forces the replacement of Chinese suppliers across 18 critical sectors, a report that the China Chamber of Commerce to the EU (CCCEU) sent to the Global Times on Wednesday showed.

　　The report came as the European Commission (EC) proposed a new cybersecurity package including a "Proposal for a Regulation for the EU Cybersecurity Act" on January 20, which aims to gradually phase out components and equipment from "high-risk suppliers" in critical infrastructure. This move is widely seen as targeting Chinese companies and forms part of a broader set of EU protectionist tools targeting China. A Chinese expert on Wednesday said that the bloc"s moves once again highlight the EU"s growing tendency to politicize economic and trade issues, warning that it will inevitably disrupt and undermine the atmosphere of China-EU economic and trade cooperation.

　　The report, released by the CCCEU and KPMG, estimates cumulative economic losses of €367.8 billion over five years for EU member states — equivalent to nearly two full years of the EU"s annual budget — if mandatory replacement is enforced across sectors including energy, telecoms, manufacturing and financial infrastructure.

　　The report warns that proposed CSA2"s mandatory replacement provisions take no account of differences among member states in industrial structure, fiscal capacity and digital readiness. The result would be highly asymmetric economic pain.