EU Rejects Trump's Allegations of Bias in Digital Regulations

The European Union has rejected US President Donald Trump's claims that its digital regulations unfairly target American tech giants, citing enforcement actions against Chinese-owned AliExpress, Temu, and TikTok as proof of neutrality. Trump had accused the EU of discriminating against US companies and threatened tariffs and visa bans. The EU's Digital Services Act and Digital Markets Act aim to regulate online platforms and limit market dominance by tech gatekeepers.

The European Union (EU) has firmly rejected U.S. President Donald Trump's accusations that its landmark digital regulations unfairly target American tech giants. The EU cited recent enforcement actions against Chinese-owned platforms like AliExpress, Temu, and TikTok to underscore its neutrality, according to Reuters [1].

The EU's Digital Services Act (DSA) and Digital Markets Act (DMA) aim to regulate online platforms and limit the market dominance of tech "gatekeepers." The DSA mandates that large online platforms act faster to remove illegal or harmful content, while the DMA seeks to limit the market dominance of these tech giants. A spokesperson for the European Commission stated that the last three enforcement decisions under the DSA were aimed at Chinese-owned companies, and investigations into Elon Musk's X and Meta Platforms Inc. (META) have also been launched [1].

Trump had previously criticized the EU's tech regulations, arguing they impose disproportionate costs on U.S. firms like Meta, Alphabet Inc. (GOOG, GOOGL), and Apple Inc. (AAPL). He accused Europe of giving Chinese competitors a complete pass and threatened "substantial additional tariffs" unless the EU reverses what he called "discriminatory actions" against American companies [1].

In response to Trump's threats, the EU's European Commission spokesperson Paula Pinho emphasized that the DSA does not discriminate based on the jurisdiction or ownership of companies. The DSA and the DMA apply to all platforms and companies operating in the EU, regardless of their place of establishment [2].

The EU's stance comes amidst ongoing negotiations for a joint trade framework with the U.S. that aims to remove tariffs on certain U.S. exports. The EU faces a 15% tariff on automobiles and car parts until the agreement is finalized [2].

References:

[1] https://www.benzinga.com/markets/tech/25/08/47351162/trumps-discriminatory-tech-regulation-claims-attract-eu-pushback-brussels-cites-action-against-tiktok-temu-to-make-its-point

[2] https://www.business-standard.com/world-news/eu-defends-digital-tax-rules-after-trump-warns-of-tariffs-on-tech-firms-125082601558_1.html