WASHINGTON (AP) — President Donald Trump announced a formal investigation into the European Union’s trade practices, alleging unfair fines on U.S. tech firms like Google and Apple. He disclosed this a day after the EU imposed a €890 million or $1 billion fine on Google, accusing the company of violating digital antitrust rules by promoting its services and apps over competitors.’
On social media, Trump mentioned he had frequently cautioned the EU about penalizing U.S. tech companies. He singled out Google, Apple, Meta, Amazon, and others in his statements.
“The United States of America is not a ‘PIGGYBANK’ for Europe, nor will we allow it to be!” Trump proclaimed, declaring a swift trade investigation into what he labeled as ‘ROBBING’ American companies and taxpayers. He vowed that the penalties would be wholly reversed, foretelling the imposition of substantial tariffs on the EU ‘at the earliest possible moment.’
Trump’s warning echoed recent actions by the administration, including doubled tariffs on imports from over 60 countries. These tariffs respond to insufficient enforcement of bans on forced labor-produced goods and follow temporary global import taxes previously annulled by the Supreme Court.
Implemented under Section 301 of the Trade Act of 1974, these tariffs sanction countries engaged in “unjustifiable,” “unreasonable,” or “discriminatory” trade practices. Jose Castañeda, Google spokesperson, stressed the company’s compliance with the EU’s Digital Markets Act and appreciated engagement from the U.S. administration, while representatives from other tech giants did not immediately comment.
The Brussels-based European Commission also refrained from immediate comments. The substantial fine levied against Google marks the latest crackdown by Brussels on Silicon Valley’s tech giants, reinforcing stricter controls despite possible U.S. discontent.
Trump’s opposition to EU’s digital regulations and high tariff threats disrupts U.S.-Europe trade relations, inflicting tension within NATO and destabilizing geopolitical alliances. Previously, Google had lost an appeal against a $4.5 billion fine for unfair competition and consumer choice restriction through its Android dominance. Teresa Ribera, executive vice president for clean, just and competitive transition, indicated these actions prioritize consumer interests.
Google’s Kent Walker criticized the fine as damaging to European businesses and consumers and detrimental to popular services Europeans enjoy. He argued the EU’s Digital Markets Act obstructs real-time features in search that users favor and compromises Google Play safety measures.
The EU posits tech giants like Amazon, Apple, Alphabet, Meta, Microsoft, and ByteDance as ‘gatekeepers’ controlling consumer access. Thomas Regnier, European Commission spokesperson, stated that European firms should compete fairly as gatekeepers owe consumers transparency and access to better alternatives.
Last year, Alphabet reported a revenue of $403 billion.
— Associated Press writer Kaitlyn Huamani from Los Angeles contributed to this report.