‘We are ready to discuss digital rules with the US but cannot wipe out rules,’ EU trade chief says
We are ready to discuss digital rules with the US but cannot wipe out rules,’ EU trade chief says
We are ready to discuss digital – Following a recent trip to Washington, EU Trade Commissioner Maroš Šefčovič has stated that the bloc is open to engaging in dialogue on digital regulations with the United States. However, he emphasized that the EU will not dismantle its existing legislative framework, even as pressure mounts from the White House. The discussions, which spanned several days, have highlighted a growing interest in establishing a new forum to address digital legislation, a move that has been prompted by persistent demands from Washington to reduce regulatory hurdles for its technology giants.
Under the Trump administration, the U.S. government intensified its push for Brussels to reconsider its digital rules. The White House has long viewed the EU’s stringent regulations as obstacles to American Big Tech companies operating in Europe. Despite these pressures, the European Commission has maintained its position, rejecting efforts to weaken its flagship tech laws. These laws, including the Digital Services Act and the Digital Markets Act, are designed to protect consumers and promote fair competition within the digital sector.
“We cannot give anything that concerns our legislation, but we are ready to talk,” Šefčovič said. “What we both need is a digital dialogue.”
While the EU has not yet agreed to revise its digital laws, it has shown willingness to explore common ground. The commissioner acknowledged that both the U.S. and the EU share overlapping goals in areas such as online safety and market fairness. However, he noted that Washington remains focused on adjusting EU regulations to benefit its own tech industry, while the European bloc prioritizes consumer protection and data governance.
Recent trade agreements have seen the EU and the U.S. reach broader compromises, such as lowering tariffs on most European goods to 15%. Steel and aluminium, however, have remained a sticking point. Despite the EU’s efforts to address the issue, the U.S. continues to maintain punitive tariffs of 50% on these metals, a policy that has not been softened since June 2025. The exclusion of steel and aluminium from the trade deal has frustrated European industry leaders, who argue the tariffs are economically burdensome.
Šefčovič pointed out that the EU has shifted its strategy in recent months, emphasizing areas of potential cooperation rather than focusing solely on penalties for tech companies. He highlighted the importance of aligning regulations to ensure a level playing field for digital services. “What do we want — and what do we not want — appearing on screens for our children? How do we ensure fair competition among operators in the digital market?” he asked, framing the debate as a shared responsibility between the two trade partners.
Despite this openness, progress on steel and aluminium tariffs has stalled. Šefčovič noted that while the EU has demonstrated flexibility on digital issues, the U.S. has not reciprocated in the steel sector. “We still have a problem. That’s very clear,” he said, underscoring the lack of concrete solutions despite the topic being at the forefront of recent negotiations.
During his visit to Washington, Šefčovič also brought up the idea of a “steel ring” as a potential remedy for the overcapacity crisis in global steel markets. He argued that this initiative could benefit both the EU and the U.S. by addressing the imbalance in supply and demand. “It’s the best solution for both of us, because we do not have a problem with our mutual steel trade. We have a problem with excessive capacity hitting global markets,” he explained.
Šefčovič highlighted the scale of the issue, stating that the EU faces a surplus of 720 million tonnes of steel, while European consumption remains at just 140 million tonnes. This gap has intensified competition, particularly with China, which continues to be the largest source of overcapacity for both the U.S. and the EU. The commissioner linked this to President Donald Trump’s initial decision to impose steep tariffs on steel and aluminium imports, a move he described as a direct response to the surplus.
The EU has since implemented measures to counteract the overcapacity, including reducing imports by half through new tariffs and quotas. Šefčovič stated that these actions reflect the bloc’s commitment to addressing the issue on its own terms. He also pointed out that the U.S. and the EU face similar challenges, making collaboration more urgent than ever.
Despite these efforts, the EU-US Trade and Technology Council — a body established under the Biden administration to resolve trade disputes — has seen little activity under the Trump government. Šefčovič observed that the U.S. now favors direct talks on specific issues rather than engaging in a formal structure. “Washington has little interest in reviving the Trade and Technology Council,” he said, adding that the current approach to negotiations has not yielded significant progress.
As the EU continues to navigate its relationship with the U.S., the balance between regulatory autonomy and trade concessions remains a central challenge. While the bloc is open to dialogue on digital rules, it is determined to safeguard its legislative priorities. Šefčovič’s comments suggest that any flexibility on digital issues may not be enough to resolve the steel and aluminium dispute, which has persisted despite high-profile discussions in Washington.
With China’s overcapacity dominating global markets, the EU and the U.S. are increasingly aligned in their concerns. Šefčovič stressed that both sides must work together to mitigate the impact of this surplus, even as they debate the specifics of digital legislation. The trade chief’s vision of a “steel ring” represents a step toward creating a collaborative framework, but the success of such an initiative depends on sustained U.S. interest in addressing the structural challenges facing the industry.
The EU’s stance on digital rules has evolved in recent months, with a greater emphasis on cooperation. By highlighting shared goals in online safety and market fairness, Šefčovič aims to foster a more constructive dialogue with the U.S. However, he acknowledged that the EU must remain steadfast in its commitment to protecting its regulatory framework. “We are not going to give away our rules,” he said, reinforcing the bloc’s determination to maintain its legislative independence.
As negotiations continue, the interplay between digital regulation and industrial trade policies will remain critical. The EU’s ability to negotiate without compromising its core principles will determine the outcome of the ongoing dialogue. Meanwhile, the steel and aluminium dispute serves as a reminder of the broader challenges in U.S.-EU trade relations, where regulatory alignment and economic interests must be carefully balanced.
