The United States has warned the European Union against pursuing “protectionist” technology policies that target American companies exclusively, ahead of Joe Biden’s first presidential visit to Brussels.
The National Security Council, an arm of the White House, wrote last week to complain about the tone of recent comments about the European Union’s leading tech regulation, as discussions are about to begin in the European Parliament.
“We are particularly concerned about recent comments by European Parliament Rapporteur on Digital Markets Law, Andreas Schwab, who undoubtedly suggested that DMA should target only the five largest US companies,” said the email, seen by the Financial Times on June 9. .
“Comments and tactics like this make regulatory cooperation between the United States and Europe very difficult and send a message that [European] The Commission is not interested in engaging with the United States in good faith to address these common challenges in a way that serves our common interests.”
Protectionist measures can harm European citizens and hinder innovation in the economies of member states. Such policies will also hinder our ability to work together to coordinate our regulatory systems.
The memo was sent by the National Security Council to staff at the European Union delegation in the US capital, according to several people familiar with it, as part of routine contacts between Washington and Brussels.
This comes at a time when the United States and the European Union are keen to rebuild a relationship that was marred during the presidency of Donald Trump. On Tuesday, Biden is scheduled to attend an EU-US summit in Brussels to discuss trade, technology and China.
The two parties at the summit will commit themselves to the formation of the Trade and Technology Council. This will harmonize standards for new technology, such as artificial intelligence, discuss technical supply chains and address technical regulations and competition policy.
“We believe there is a lot of scope for broad cooperation with Europe مع [of] Digital and data regulation and technology issues, look forward to a constructive dialogue. We also believe it is important that any digital, data or technology regulation treats individuals and companies fairly and on the basis of objective criteria,” a spokesperson for the National Security Council told the Financial Times.
Last month, Schwab, a center-right MEP and longtime critic of Google, said in an interview with the Financial Times that the five largest US tech companies — Google, Amazon, Apple, Facebook and Microsoft — were “The biggest problemsfor competition policy in the European Union.
Let’s focus first on the biggest problems, on the biggest bottlenecks. Let’s go down the line – one, two, three, four, five – and maybe six with [China’s] Ali Baba. “But let’s not start with the number seven to include the European goalkeeper just to please Biden.”
The Digital Markets Act is part of draft legislation aimed at curbing the power of big technology and is the first major overhaul of EU tech regulations in two decades.
The White House is facing pressure from some members of Congress to take a tougher stance against the European Union’s plans. A letter signed by the co-chairs of the US Digital Commerce Caucus last week warned Biden that EU legislation has the potential to “disproportionate damage American technology companies.
A National Security Council official said the extracts from the email obtained by the Financial Times were carefully curated and did not reflect the broader context of communication, which indicates common ground and a belief that Washington and Brussels should work together on digital policies.
The NSC official added that in addition to emailing employees, he has sent some technical questions to better understand the proposed legislation.
The National Security Council memo came on the heels of an agreement earlier this month between G7 nations, led by the United States, to Changing global tax rules Sets minimum tax and tax rates for the largest corporations in the countries in which sales occur.
The European Commission declined to comment.
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