US-EU Trade Talks Link Steel Tariffs to EU Tech Rules

The investigations aim to ensure fair competition by requiring major platforms to allow developers to promote alternative services and prohibiting practices that disadvantage third-party products.

SEATTLE (Scrap Monster): US Secretary of Commerce Howard Lutnick said the EU must revise its digital regulations if both sides want to reach a deal to lower tariffs on steel and aluminum. “We are discussing the possibility of rolling back the EU’s tech rules. In return, we would offer a meaningful agreement on steel and aluminum,” Lutnick said.

On Nov. 24, Lutnick and Trade Representative Jamieson Greer visited Brussels for their first official trip since the US-EU trade deal was finalized in July. The agreement imposed a 15% US tariff on a broad range of EU products, while the EU agreed to remove duties on certain US industrial, agricultural, and food exports. Both sides also pledged to pursue further tariff reductions, including a 50% duty on EU steel and aluminum, which the EU mirrored with its own 50% tariff on steel imports above a set quota.

US Conditions for Lowering EU Steel Tariffs

European officials and companies are wary of the expanded scope of President Trump’s sectoral tariff authority, which now extends beyond raw materials. Since the trade deal, the US has widened steel tariffs to include products previously exempt.

Lutnick emphasized that any agreement on steel and aluminum depends on the EU revising parts of its regulatory framework affecting major US tech firms. “If they lift these rules and make the environment more favorable for our companies, it could unlock hundreds of billions or even a trillion dollars in potential investment,” he said.

Tying these issues together puts the European Union in a delicate position. Brussels has consistently stated it will not let external governments dictate its tech standards, but metal tariffs are causing significant economic strain across Europe. “We need additional relief on steel and aluminum,” German Economy Minister Katherina Reiche said. “Many machines already manufactured cannot be shipped to the United States, and our companies are experiencing a sharp decline in sales.”

Before a working lunch with EU trade ministers, Lutnick and Greer met with EU technology chief Henna Virkkunen to discuss digital regulations. The European Commission highlighted the importance of the Digital Services Act and the Digital Markets Act, which govern online platforms and marketplaces. Virkkunen also reviewed a recent initiative aimed at easing AI and data protection rules to reduce bureaucracy.

During a briefing, Commission spokesperson Thomas Regnier reaffirmed that the European Union will not compromise its digital or tax regulations in trade negotiations with the United States. “Yes, that remains our position,” he said.

The Trump administration has long criticized the European Union for allegedly treating US tech firms unfairly, citing strict regulations and heavy fines imposed on companies such as Google, which faces an antitrust penalty of nearly €3 billion (US$3.4 billion). “Let us resolve the outstanding cases and move forward,” Lutnick said.

EU Opens March Investigations into Apple, Google and Meta Under the Digital Markets Act

In March, the European Commission launched formal investigations into Apple, Google, and Meta to assess whether the companies are breaching the EU Digital Markets Act (DMA) by favoring their own platforms and limiting competition. Regulators are examining Apple’s app store fees and its compliance with sanctions issued on March 4, Google’s treatment of rival services in search rankings and its practices in areas like Google Shopping and Google Flights, and Meta’s “pay or consent” data model for advertising.

The investigations aim to ensure fair competition by requiring major platforms to allow developers to promote alternative services and prohibiting practices that disadvantage third-party products. The actions follow a €1.8 billion fine against Apple for restricting music-streaming rivals, as well as a recent US Department of Justice lawsuit alleging anti-competitive behavior by the company.

Apple, Google, and Meta deny any wrongdoing and say they are cooperating with the Commission. Since March, the European Union has 12 months to conclude the investigations and may impose fines of up to 10% of global revenue, rising to 20% for repeat violations or require structural remedies in cases of persistent non-compliance.

Courtesy: www.mexicobusiness.news