US Lawmakers Urge Trump to Counter EU Tech Rules, Suggest Trade Probes

A group of 25 Republican U.S. lawmakers has urged President Donald Trump to take decisive action against the European Union's technology regulations, arguing that the policies are discriminatory and unfairly target major American firms. In a letter, the legislators suggested launching trade investigations and other retaliatory measures if a resolution is not reached through dialogue.

Allegations of Anti-American Bias

The lawmakers' primary focus is the EU's Digital Markets Act (DMA), a landmark set of rules designed to curb the market power of major technology platforms. They described the EU's digital policies as "anti-competitive acts, policies, and practices as a tool of economic extraction and regulatory coercion against American firms," according to the letter seen by Reuters.

The DMA has designated several U.S. companies as powerful "gatekeepers" subject to the strictest regulations. These include:

• Amazon
• Apple
• Google (Alphabet)
• Meta Platforms
• Microsoft
• Booking Holdings
• ByteDance (owner of TikTok) is also on the list.

Threat of Trade Retaliation

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The letter, signed by members including House trade subcommittee chairman Adrian Smith, calls for the U.S. to use all available tools if diplomatic talks fail. The lawmakers specifically invoked Section 301 of the Trade Act of 1974, a statute that permits the U.S. to impose tariffs or other sanctions in response to unfair foreign trade practices.

"It is important to make clear that the EU’s access to the U.S. market is not guaranteed and can be limited should the EU continue to pursue discriminatory acts, policies, and practices in the digital sector," the letter stated. The lawmakers contrasted this with what they described as European businesses' unfettered access to the U.S. market.

Specific Criticisms of DMA

The lawmakers raised several specific points of contention. They argued that the potential inclusion of Amazon and Microsoft's cloud computing units under the DMA would create "unprecedented regulatory burdens that European and Chinese cloud competitors would not face."

They also questioned the European Commission's designations, noting that while U.S. firms like Apple, Meta, and Amazon are labeled as gatekeepers, major Chinese e-commerce platforms such as Temu and AliExpress are not. The European Commission, which did not immediately respond to a request for comment, has previously stated its rules are not targeted at any specific country and are intended to ensure a level playing field.