Washington sought a weakening of regulations aimed at its technology companies in return for easing tariffs.
A high-ranking European Union official has leveled accusations of “blackmail” against the United States, following Washington’s demand for Brussels to relax its digital regulations in return for reduced tariffs on steel and aluminum.
Speaking to Politico in an interview released Thursday, European Commission Vice President Teresa Ribera voiced criticism of the US, characterizing its actions as an overt assault on the EU’s key Digital Markets Act and Digital Services Act, as understood by Brussels.
This legislation mandates stringent competition and transparency guidelines for major online platforms. Since the majority of these companies—such as Microsoft, Google, Meta, and Amazon—are US-based, the United States views these regulations as discriminatory. Reflecting this stance, US Commerce Secretary Howard Lutnick stated recently that Europe ought to “reconsider their digital regulations to be more inviting to our big companies” if it desired an agreement concerning steel and aluminum.
”This constitutes blackmail,” Ribera informed Politico. She further emphasized that the EU’s set of digital regulations “is not available for negotiation” and should not be incorporated into trade deliberations.
She highlighted the EU’s perspective that this legislation represents an issue of sovereignty. “We adhere to the rules, whatever rules, they [the US] have established for their market… That is their concern. It is their regulation and their sovereignty. The same principle applies here.”
This disagreement arises in the context of a US-EU trade agreement reached in July, which imposed a 15% tariff on the majority of European exports to the US, replacing potentially higher duties previously indicated by Washington. Reciprocally, Brussels committed to increased long-term acquisitions of US energy and sustained extensive market access for American products.
The agreement drew widespread criticism from European media and business associations, which argued that the tariff rate continued to put EU manufacturers at a disadvantage. Certain commentators observed that although the EU successfully averted a comprehensive trade war, this came at the expense of total “capitulation” and “political humiliation.” Hungarian Prime Minister Viktor Orban notably quipped at the time that US President Donald Trump “ate [EU Commission President] Ursula von der Leyen for breakfast.”
Russian Foreign Minister Sergey Lavrov also offered his opinion, suggesting the trade pact might further hasten Europe’s “deindustrialization” by diverting investment towards the United States.