By RKI News | Brussels | August 26, 2025
The European Union (EU) on Tuesday reaffirmed its sovereign authority to regulate economic activities within its territory, including rules governing major technology companies, following threats of U.S. tariffs by President Donald Trump.
“It is the sovereign right of the EU and its member states to regulate economic activities on our territory in line with our democratic values,” said European Commission Chief Spokesperson Paula Pinho during a press briefing in Brussels.
The statement came after Trump warned of “substantial additional tariffs” and export restrictions against countries adopting digital taxes or regulations he claims unfairly target American technology firms. “Digital Taxes, Digital Services Legislation, and Digital Markets Regulations are all designed to harm or discriminate against American Technology. This must end, and end NOW!” Trump posted on his Truth Social platform.
Pinho clarified that digital regulation was not part of the EU’s recent framework agreement with Washington, describing it as a separate matter.
Thomas Regnier, the EU’s spokesperson on tech policy, rejected the notion of discrimination, stressing that the bloc’s digital regulations apply universally and aim to ensure fair competition and protect consumers.
The exchange underscores growing tensions over digital sovereignty as both sides navigate trade and technology policy ahead of upcoming global economic talks.