The United States is pushing the European Union to reconsider its digital regulations in exchange for reducing tariffs on steel and aluminum imports. US Commerce Secretary Howard Lutnick emphasized that the EU needs to change its tech rules to secure a deal on lowering steel tariffs, stating, “We are talking to them about rolling back EU tech rules… In exchange for that, we will come up with a cool steel and aluminum deal”.
The US has long argued that the EU’s digital regulations, such as the Digital Services Act and Digital Markets Act, unfairly target American tech giants. Lutnick suggested that if the EU relaxes these regulations, the US could invest up to $1 trillion in the region. However, the EU has maintained that its tech rules are not up for negotiation, with European Trade Commissioner Maroš Šefčovič emphasizing that the regulations are not discriminatory and are aimed at ensuring responsible tech governance.
The ongoing trade tensions between the US and EU have resulted in tariffs on steel and aluminum imports, with the US imposing a 50% tariff on EU steel exports. The EU has responded with retaliatory tariffs on US goods, and the two sides are engaged in negotiations to resolve the dispute.
