The United States has issued a sharp warning to the European Union, expressing strong dissatisfaction with the bloc's stringent regulatory measures targeting major American technology firms. The Office of the United States Trade Representative (USTR) has indicated it is prepared to impose retaliatory sanctions on prominent European tech companies if the EU persists with its current approach.
US Trade Body Names Potential Targets for Retaliation
In a direct message posted on the social media platform X, USTR officials explicitly listed several European corporations as potential targets for reciprocal action. The list includes global names such as Spotify, SAP, and Siemens, alongside others like Accenture, Amadeus, Capgemini, DHL, Mistral, and Publicis. This warning is a response to what the US describes as a pattern of discriminatory taxes, fines, and lawsuits affecting American companies including Google, Apple, and Meta.
The USTR stated that American law permits the assessment of fees or restrictions on foreign service providers. The agency argued that while EU companies have operated freely in the US market for decades, American businesses face harassment and a lack of meaningful dialogue from Brussels regarding regulatory disputes.
EU Defends Its Position as Fair and Equitable
Responding to the US warning, a spokesperson for the European Commission, Thomas Regnier, defended the bloc's regulatory stance. He told the New York Times that EU rules apply equally and fairly to all companies operating within its jurisdiction. Regnier emphasized that the Commission would continue to enforce its rules without discrimination and remains open to engagement with the US on trade matters.
This diplomatic friction comes amid recent signals from European authorities about a potential willingness to relax certain tech regulations to foster economic growth and artificial intelligence development. However, EU officials have shown less flexibility on core rules governing social media platforms and anti-competitive practices, which are often at the heart of American complaints.
Escalating Tensions Threaten Broader Trade Framework
This ultimatum from Washington significantly complicates ongoing efforts to establish a stable trade framework between the two economic powers. The Trump administration has hinted at escalating pressure to secure reduced oversight from European regulators, marking a shift from previous diplomatic efforts to resolve the conflict.
The dispute was further inflamed earlier this month when US President Trump and other officials criticized the EU for its regulators' decision to fine Elon Musk's X platform approximately $140 million for violations of digital transparency rules. A separate, ongoing investigation into X within the EU could lead to additional penalties.
The USTR's statement concluded with a broad warning, noting that the United States would take a similar approach against any other country that adopts an EU-style regulatory strategy against American service providers, signaling a firm global stance on this issue.
