The Software & Information Industry Association (SIIA) has submitted a letter to the House Ways & Means Committee expressing its concerns about the current state of U.S. digital trade policy and the need for strong digital trade rules to protect American innovation. The letter emphasizes the importance of digital trade to the U.S. economy, highlighting its substantial contribution to GDP, job creation, and export growth. SIIA argues that U.S. companies, including small and medium-sized enterprises, greatly benefit from robust digital trade rules, but they face increasing challenges due to a lack of U.S. leadership and enforcement in global trade negotiations. The letter criticizes the U.S. Trade Representative’s recent decisions to step back from digital trade negotiations, stating that these policy shifts have exposed American companies to discriminatory regulations and enforcement actions, particularly in the European Union.
SIIA’s letter underscores that the EU has adopted a protectionist stance, enacting legislation that disproportionately targets U.S. tech companies with onerous regulations and fines. These measures not only hinder U.S. businesses but also risk setting a damaging global precedent. SIIA warns that without U.S. leadership in shaping digital trade rules, other countries, including those with authoritarian tendencies, may fill the void, posing threats to U.S. economic and national security interests. The association urges Congress and the administration to push back against harmful foreign regulations and to reassert America’s leadership in establishing and enforcing sound digital trade rules that reflect democratic values and protect the open and free internet.
