US Commerce Secretary: EU needs to ease tech rules for lower steel tariffs

US Commerce Secretary Howard Lutnick said the European Union must ease its digital regulations to secure a deal lowering tariffs on steel and aluminium.

“We are talking to them about” rolling back EU tech rules, Lutnick said in an interview with Bloomberg Television. “In exchange for that, we will come up with a cool steel and aluminium deal.”

Lutnick and US Trade Representative Jamieson Greer visited Brussels on November 24, their first official trip since a US-EU trade deal in July that set a 15% US tariff on many EU goods while the EU removed tariffs on US industrial and some agricultural products. The agreement also aimed to reduce other duties, including the 50% levy on EU steel and aluminium.

Lutnick linked the metals deal directly to EU tech rules. “The idea is if they take the foot off this regulatory framework and make it more inviting for our companies, they can get the benefit of hundreds of billions, possibly $1 trillion of investment,” he said.

The EU, however, has refused to negotiate its tech regulations. Thomas Regnier, a European Commission spokesperson, reiterated: “Yes, this is absolutely still the case.”

German Economy Minister Katherina Reiche highlighted the economic impact of tariffs: “Many machines that have been produced can’t be delivered to the US and our companies are suffering from considerable declines in sales.”

Lutnick also urged resolving ongoing cases against US tech firms: “Let’s settle the outstanding cases. Let’s put them behind us. Let’s come up with a reasonable framework where these companies can grow and build.”

By Aghakazim Guliyev