Following a presentation of the political interactions of the EU’s institutions by Nele Devolders, Marsha Turner took the floor to provide a case study of how her association had been impacted by the COVID-19 context. AmCham EU CEO Susan Danger then offered her perspectives on the EU-US policy agenda. Setting the scene of the ‘interesting times’ that the transatlantic relationship has known since the 2008 Financial Crisis, she talked of the importance of business’ role in identifying the positive narrative surrounding globalism and free trade. She pointed to the 16 million jobs that the transatlantic relationship generates in both the US and the EU as evidence of the benefit that openness has brought to the region. In the context of the new US administration she impressed upon the audience her renewed optimism to reset, refresh and rekindle the transatlantic relationship – especially in light of last week’s announcement to suspend tariffs on aircraft and non-aircraft products.
Europe Today: Susan Danger shares perspectives at webinar
How do business interests align with the European political agenda? That was the overarching question of the day at the ‘Europe Today: What Associations Need to Know’ webinar discussion hosted by the American Society of Association Executives and sponsored by Visit Brussels on Tuesday, 9 March. Guest panellists included Nele Devolder, Association Director, Kellen; Marsha Turner, CEO, International Association of Lighting Directors; Susan Danger, CEO, AmCham EU.
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Tech Sovereignty Package: positive steps for energy resilience, but a risky gamble for digital competitiveness
This week the European Commission unveiled its Tech Sovereignty Package. While the Package’s energy proposals mark a significant step forward for EU energy resilience, the Cloud and AI Development Act (CADA) proposal overlooks the reality of global technology supply chains and introduces significant legal uncertainty and fragmentation for businesses.
The central question for the Tech Sovereignty Package is how to build resilience without undermining competitiveness. Concerns around overdependence on a limited number of providers, the risk of external disruption to service continuity and the long-term position of the EU’s digital industries are all legitimate. However, greater sovereignty will only be sustainable if it is built on a competitive, diverse and innovative digital ecosystem. The technologies that underpin the global digital economy are developed through highly international supply chains, with innovation spread across multiple markets.
Viewed through this lens, the individual proposals in the Package vary in the extent to which they reinforce resilience while preserving openness and competitiveness. In particular, the proposed CADA risks discriminating against providers that rely on global supply chains – both those based in Europe and those in third countries – even where they offer superior resilience.
‘An origin-based approach is too blunt for such a complex global market’, said Malte Lohan, CEO of the American Chamber of Commerce to the European Union, commenting on the Package.
‘A more credible path to achieving greater resilience and control in such an interconnected landscape is to define sovereignty in terms of outcomes: secure and reliable technologies, customer choice, strong safeguards against undue interference and a business environment that supports investment and growth. That points to a risk-based framework where the EU is open to working with trusted partners. This trust should be assessed on the basis of objective standards rather than origin alone’, Mr Lohan added.
Last year alone, US technology firms operating in Europe and their supply chains supported €1.0 trillion in EU GDP, equivalent to 5.4% of total output. The scale of this contribution underscores the need for the EU to preserve an open environment with legal clarity and proportionality in any restrictions or safeguards that would impact commercial operations.
The Package’s Strategic Roadmap for Digitalisation and AI in energy is a positive step that could help unlock the benefits of digitalisation for Europe’s energy needs, enabling faster and more flexible grids. Digitalisation provides new opportunities to strengthen the reliability and resilience of energy systems. If executed well, the roadmap could support the growing demand of Europe’s digital and AI sectors for low-carbon energy.
Ultimately, the importance of the Tech Sovereignty Package extends well beyond the technology sector itself. Manufacturers, healthcare and life sciences, financial services, mobility, energy and retail all increasingly depend on access to advanced digital technologies to innovate and compete. For the Tech Sovereignty Package to support these sectors, it must ensure companies in Europe continue to benefit from economic openness.
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