Washington threatens European groups over EU’s treatment of US tech giants
French and German companies warned their access to the American market could be disrupted
The Trump administration has threatened European companies with punitive measures to retaliate against the bloc’s treatment of US technology giants.
In a post on X, US trade representative Jamieson Greer accused the EU and member states of a “continuing course of discriminatory and harassing lawsuits, taxes, fines and directives against US service providers”.
In an unusual step, he named several European companies that could see their access to the US market disrupted if Washington decides to take action against the EU, including Germany’s DHL, SAP and Siemens and software companies Mistral and Capgemini of France.
“If the EU and EU member states insist on continuing to restrict, limit and deter the competitiveness of US service providers through discriminatory means, the United States will have no choice but to begin using every tool at its disposal to counter these unreasonable measures,” Greer wrote.
He added that the Trump administration would consider imposing fees or restrictions on foreign services, among other actions.
The threat is the latest escalation of trade tensions between Washington and Brussels, and follows a recent warning from Greer that trade between the EU and the US remained a “flashpoint” in Washington, despite a deal reached in July that alleviated the worst of President Donald Trump’s levies on crucial European exports to the US.
“They have many regulations and non-tariff barriers that block our exports and reduce our effective market access over there, while we historically have had very broad access for them . . . It’s quite unbalanced,” Greer told the Financial Times last month.
Trump has previously threatened tariffs and export controls on countries whose taxes, rules or laws on tech companies “discriminate” against the US.
US officials have also expressed unhappiness over the EU’s Digital Services Act, which forces big tech companies to police their platforms more aggressively.
Trump was outraged by a €120mn fine imposed earlier this month on Elon Musk’s X for breaking the bloc’s digital transparency rules. Brussels has also opened investigations into Google and Meta for breaches of its digital regulations.
However, the US runs a surplus in services with the EU, worth €109bn in 2023, partly offsetting its €157bn deficit in goods.
EU trade commissioner Maroš Šefčovič told the FT on Monday that July’s deal had managed “to de-escalate and to a great extent stabilise the relationship with the US”.
However, he acknowledged issues could blow up unexpectedly, saying it required a “permanent effort in relationship management”.
Šefčovič said ongoing discussions had helped the US understand the EU’s perspective on regulation. But he added: “There is still a long way to go. But I always prefer talking, engaging, explaining because I think we have good stories to tell and we are the closest of allies.”