Simplification

Clearer regulation supporting growth and innovation.

For American businesses in Europe – 84% of which cite the EU’s regulatory burden as a primary barrier to further investment in the region – simplification is an opportunity to realign EU legislation with the foundational principles of only acting at EU-level when it brings clear value and ensuring rules are limited to what is necessary. Over the past years, the EU has introduced more and more unclear, duplicative and prescriptive regulation that has a disproportionate impact on businesses. A simplified regulatory environment should still ensure the EU's goals are met, but just in a manner that is predictable and practical for companies. 

AmCham EU recommends six principles to ensure simplification by design for upcoming legislation and the streamlining of existing legislation. When combined with systematic competitiveness checks, focusing on these areas will help the EU deliver speed and flexibility and reduce regulatory burdens for companies operating in the region.

Six principles to guide simplification across all sectors

Avoid overly prescriptive rules

Regulation should be focused on creating ways to achieve policy objectives that don’t depend on rigid compliance mechanisms. To encourage investment and innovation, the EU should reduce obligations that disproportionately hinder business operations.

Streamline regulatory obligations

Regulation should be predictable and practically feasible for companies to implement. For example, abolishing overlapping or duplicative regulations; or enabling ‘single agency’ reporting so that companies only have to produce one report for one authority on similar matters.

Prioritise enforcement and implementation

Before introducing any new directives or regulations that are similar or parallel to existing regulatory frameworks, the Commission should take stock of whether existing frameworks are being properly enforced and implemented, with all necessary guidelines in place.

Reinforce the Single Market

EU regulation must ensure greater harmonisation across Member States. Where legislation is necessary, it should avoid a patchwork of differing national or regional frameworks.

Pause enforcement during revisions

While simplification is underway, businesses should not be made to comply with legislation that could materially change. Compliance with regulatory requirements requires costly investments from companies that diverts resources away from core business operations.

Strengthen international regulatory cooperation

Many EU regulatory frameworks have significant implications for global business operations and compliance. Simplification gives EU policymakers an opportunity to find regulatory alignment with other countries and avoid significant conflicts that create complexity for businesses with a global footprint.

Simplification advocacy

Position Paper
24 Sep 2026

Gold-plating in practice

"Gold-plating" of EU legislation has become a structural challenge for companies operating across the Single Market. While Member States are often permitted to introduce additional national measures when implementing EU law, these divergences frequently create fragmented compliance requirements, administrative burdens and increased costs for businesses.

Drawing on examples from AmCham EU member companies across digital policy, cybersecurity, data protection, telecommunications, environmental regulation, consumer protection, tax transparency and labour law, the paper shows how national additions to EU rules can result in parallel compliance systems, duplicate reporting obligations, country-specific product adaptations and barriers to cross-border operations.

The paper highlights four key findings:

  • Divergence between Member States is often a bigger cost driver than any single regulatory requirement.

  • Fragmentation extends beyond directive transposition and also arises through opening clauses, national guidance, administrative practices and regional measures.

  • Minimum-harmonisation legislation can still create significant Single Market fragmentation.

  • Gold-plating occurs at both national and sub-national levels.

The European Commission should address these issues through greater consistency in implementation, increased transparency around national additions, reduced duplication in reporting and registration requirements, stronger implementation dialogue and the use of Single Market enforcement tools where appropriate. The objective is not to remove legitimate national discretion, but to prevent unnecessary regulatory barriers within the Single Market.

Simplification
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News
23 Sep 2026

Europe in a new era of global competition

On Tuesday, 22 September, AmCham EU hosted Dragoș Tudorache, Member of the Cabinet of Executive Vice-President Stéphane Séjourné, European Commission, for a fireside chat. Moderated by Malte Lohan, CEO, AmCham EU, the conversation explored the growing role of economic security in Europe’s trade agenda and external relations. The exchange examined how this shift is shaping the EU’s engagement with trading partners and its position globally. Attention also turned to the choices facing Europe in a changing geo-strategic landscape, including how to reinforce resilience and strengthen competitiveness.

Industry
Simplification
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Blog
20 Jul 2026

Tax policy may not always make headlines – but its benefits certainly are

Tax
Simplification
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Other topics

Corporate sustainability
Digital
Environment