The EU will introduce new regulations on "technological sovereignty" to reduce reliance on technologies and semiconductors from China and the United States

(Brussels, AFP) The EU, unwilling to be constrained by foreign governments in key technologies, is preparing to take new measures to reduce its reliance on US digital companies and Chinese chips and instead adopt domestic alternatives in Europe.

This highly anticipated "technology sovereignty" package is a core measure by Brussels aimed at reducing reliance on foreign sources and boosting domestic manufacturing. According to a draft of an EU strategic document seen by Agence France-Presse, the EU is set to announce this new regulation covering semiconductors, cloud computing and artificial intelligence (AI) on Wednesday (June 3rd). The draft states that this plan aims to help Europe "re-establish its position in the global competition for geopolitical economic power".

The three core elements of the draft document are: the "Cloud Computing and Artificial Intelligence Development Act" aimed at accelerating the deployment of data center infrastructure; the "Wafers Act" proposal to enhance the security of semiconductor supply; and the initiative to encourage public institutions to adopt more open-source software solutions in order to gain greater control and flexibility.

Although senior officials of the European Union did not specifically name the United States, from cloud computing to social media and to e-commerce, American technology dominates in the European market; American cloud service providers even account for as much as 70% of the European market share.

Brussels has recently taken numerous measures to reduce its reliance on foreign companies and promote the development of local manufacturing. However, these measures may open up a new geopolitical front in the transatlantic relationship.

After President Trump began his second term in early January last year, he vigorously promoted the "America First" policy. Europe is increasingly concerned that if the tension with the United States escalates, the US might employ a "kill switch" approach, causing critical digital infrastructure to come to a standstill.

The EU's competition affairs chief, Ribella, previously stated: "We need to develop our own capabilities. We cannot allow anyone to attempt to influence our decisions, values, or the well-functioning economy and services."

The US Ambassador to the EU, Puzde, warned that any protectionist measures are not advisable. American companies have also urged Europe not to exclude them.

European Parliament member Schenk said that these plans are not intended to go against trading partners, nor are they aimed at closing markets. "Europe must avoid developing any structural dependence on any single external player in the fields of AI, cloud computing and semiconductors."