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US Commerce Secretary Urges EU to Dial Back Digital Rules Targeting American Tech

By  |  November 24, 2025

U.S. Secretary of Commerce Howard Lutnick intensified the Trump administration’s pushback against the European Union’s digital regulations on Monday, urging European policymakers to ease rules that predominantly affect major American technology firms. The comments were made during an interview with Bloomberg as Lutnick visited Brussels for talks with EU trade ministers on the US–EU trade deal.

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    Lutnick argued that the EU’s current regulatory framework — particularly the Digital Services Act (DSA) and the Digital Markets Act (DMA) — places disproportionate pressure on US-based tech giants because these laws apply to companies that exceed specific user-base thresholds. He said the bloc should consider withdrawing those provisions, insisting, according to Euractiv, that such rules unfairly target American firms.

    “That can’t be the rules, let’s take it off,” he told Bloomberg, calling for a more flexible model that would allow large platforms to “grow and build.” He suggested that a friendlier regulatory climate could unlock substantial investment from the US, including “hundreds of millions of dollars” for new data-center infrastructure across Europe.

    Lutnick further claimed that a broader reduction in regulatory pressure could encourage an even greater influx of capital, stating that easing the digital rulebook might generate “hundreds of billions, possibly a trillion dollars of investment a year.” Per Euractiv, he linked these regulatory changes to ongoing discussions around a potential transatlantic steel and aluminum agreement, saying the EU would need to adjust its digital rules if it expects progress on that front.

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    Earlier in the day, Lutnick and US Trade Representative Jamieson Greer met with EU Tech Commissioner Henna Virkkunen. A European Commission readout noted that the parties discussed the “importance” of enforcing the DSA and DMA, highlighting the EU’s stance that the rules remain central to its digital policy. Virkkunen also outlined the EU’s new simplification agenda, including last week’s Digital Omnibus package, which proposes substantial rollbacks to privacy legislation and a pause on new rules for high-risk AI systems.

    While Lutnick declined to comment on the substance of his meeting with Virkkunen, he told Bloomberg that he has been cautioning European ministers that the current regulatory environment could deter American companies from expanding in the region. He framed the discussions in terms of incentives and consequences, stating, “There’s the carrot and the stick.”

    Source: Euractiv