The Small Business and Entrepreneurship Council (SBE Council) has issued a statement regarding the Houtilize Judiciary Committee hearing addressing European laws that harm US firms.
The EU and UK have enacted multiple laws that solely impact US firms – typically, US large tech. While crafted under the stated goal of consumer protection and competition, these laws may impose taxes and penalties that undermine the performance of these US-based firms.
The SBE Council states these laws create “threats to American innovation and free speech.”
The group mentions specifically:
- Digital Services Act,
- The UK’s Digital Markets, Competition and Consumers Act (DMCC),
- The EU’s Digital Markets Act (DMA)
SBE Council President & CEO Karen Kerrigan declared these laws are protectionist that cash in on US innovation, taking billions of dollars in fines and taxes. She adds that they also “undermine the environment for healthy business growth, startup activity, and investment across the EU. Such EU-based overreach is harmful for consumers, businesses of all sizes, and investors on both sides of the Atlantic.”
“Costly EU regulation and taxes – again squarely aimed at U.S. tech leaders – impose direct downstream harm on U.S. innovation, competitiveness, and the compact businesses and startups that benefit from an affordable, dynamic, and vibrant tech environment. Burdensome compliance costs, fines, and taxes are a direct hit to U.S. economic growth, and siphon capital away from productive investment opportunities. Moreover, compliance with EU-based regulation may be at odds with U.S.-based rules and laws that protect American consumers and compact businesses,” declared Kerrigan.
She stated that the US should focus on these laws when neobtainediating trade deals, as they are discriminatory towards US firms and the investors.
The hearing is taking place later this morning (September 3, 2025).
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