On April 1, President Donald Trump will add new tariffs, enticing the EU tech trade response to shift from economy to principles-focused, opening new doors of the war, where the victorious will define future rules of global power.
European Commission President, Ursula von der Leyen, made it crystal clear that the EU tech trade will not back down, promising an instant response, warning that Brussels’ ready for the tech war as the bloc has “a lot of cards” to play in the global trade fight.
Behind the scenes, EU officials have already mapped out a counterattack that will hit critical pillars of the US economy, including US banking services and large tech companies.
“We will approach these negotiations from a position of strength,” expressed Von der Leyen to the European Parliament on Tuesday, adding that “Europe holds a lot of cards. From trade to technology to the size of our market. But this strength is also built on our readiness to take firm countermeasures. All instruments are on the table.”
Back in March 12, Trump had already imposed 25% tariffs on steel, aluminum, cars, and car parts, with the administration justifying the moves as “reciprocal” against not only the EU trade levies but also regulatory policies like EU tech regulations, tax rates, and food safety standards.
What’s taking shape isn’t just a war for control of goods and services, but rather a war to quite literally define the future direction of global power, and who will be holding the reigns of global economic power. The power in today’s world lies less in traditional weapons and more in control of the AI path, digital commerce, and the ethical AI norms that will regulate them.
AI Struggle Unify EU Big Tech Regulation
European leaders are already united in expectation of a greater EU tech war, with French President Emmanuel Macron warning of a “world of tariff wars”, while the European Central Bank President, Christine Lagarde, urged leaders to “stand ready for anything.”
Von der Leyen referred to the EU’s resilience in seeking new trade partners to compensate for any loss of American business, saying, “Our hallmark is not only that we are the biggest market in the world but that we are reliable and predictable,” adding, “we have the power to push back.”
The pushback is maybe most visible in the moral and tech spheres of influence considering Europe has long had the global edge in tech regulation, from General Data Protection Regulation (GDPR) privacy laws to digital services taxes and it’s using that experience to emphasize leadership in writing rules for AI.
While Trump’s US tightens its grip around trade control, the EU is fighting hard through counters with stricter control over Silicon Valley’s biggest tech companies’ operations on European soil, imposing digital taxes, and even shutting off access for American financial institutions in Europe.
“Europe is far from powerless. Its long-standing ties with the US have played a crucial role in shaping America’s economic success and geopolitical dominance,” said Tobias Gehrke of the European Council on Foreign Relations.
“With strategic influence across trade, finance, technology, and digital markets, Europe holds powerful cards that could counter Trump’s coercive tactics.”
The tariff war – initially between US and Canada, Mexico, and China – has spilled over to cover European economies. The fight is evolving beyond a tech conflict, tariffs, and is turning into a full-fledged battle for dominance in digital governance. The EU tech vision is fiercely positioning the Union not just as a mediator, but an independent architect of next-generation tech standards, severely cornering the US in its current approach towards EU tech regulations.
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