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A coalition of 30 center-right groups and activists organized by Americans for Tax Reform released a letter opposing the Biden administration’s surrender on digital trade rules.

Click here to read the letter or see below:

Dear Chairman Smith: 

We write in opposition to the Biden administration’s decision to surrender leadership on digital trade rules to China. Left unchecked, these policies will damage the American economy and undermine American economic leadership abroad. 

Thank you for your strong leadership on this issue. We stand ready to support your efforts to push back against the Biden administration’s recklessness in this area. 

American ingenuity and leadership largely created the modern digital economy as we know it. American innovation is responsible for adding $2.3 trillion to the nation’s economy and supports 18.2 million American jobs. This has contributed to American economic and technological leadership becoming the envy of the world, particularly to governments that have crippled their own technology companies through crushing regulations and heavy-handed, authoritarian approaches to the internet. Unfortunately, this leadership has come under assault by allies and adversaries alike, who actively discriminate against U.S. companies and aggressively pursue a walled-off digital economy. 

The European Union has advanced its so-called “digital sovereignty” agenda to the detriment of American companies. Laws like the Digital Markets Act and the Digital Services Act are explicitly designed to treat American companies like a piggy bank to the tune of tens of billions of dollars per year. American innovation is paying to fill the coffers of unelected European bureaucrats. 

The EU’s wrongheaded approach is a direct giveaway to China. A recent Center for Strategic and International Studies survey of five-hundred European firms found that nearly 20 percent believe cost increases from increased EU regulation on U.S. digital services providers would cause them to likely change to cheaper Chinese technology.

Instead of standing up for American companies, the Biden administration works hand in glove with progressive activists to cripple them. U.S. Trade Representative Katherine Tai recently announced that she is dropping longstanding U.S. digital trade demands in talks with the World Trade Organization. Tai’s move, which blindsided the White House, was swiftly denounced by members of Congress on both sides of the aisle that rightfully see it as further proof that USTR is abandoning its mandate to advocate for U.S. companies and is instead ceding digital leadership to adversaries. This is part and parcel with FTC Commissioner Lina Khan sending staff to collude with European bureaucrats on DMA implementation. 

Amid an era of intense technological competition, the Biden administration should start standing up for its leading industries abroad instead of actively undermining them. Anything less is a giveaway to Communist China, Russia, and other countries that are gleeful at the opportunity to thwart American innovation. 


Grover Norquist

President, Americans for Tax Reform 

Jim Martin

Founder and Chairman, 60+ Association

Sauilus “Saul” Anuzis 

President, 60+ Association 

Dick Patten

President, American Business Defense Council 

Tirzah Duren 

Director of Tech Policy, American Consumer Institute 

Richard Manning

President, Americans for Limited Government 

Brent Wm. Gardner

Chief Government Affairs Officer, Americans for Prosperity 

Phil Kerpen

President, American Commitment 

Bob Carlstrom

President, Association of Mature American Citizens 

Daniel J. Mitchell

President, Center for Freedom and Prosperity

Tanner Avery

Director, Center for New Frontiers (Frontier Institute)

Ashley Baker

Director of Public Policy, Committee for Justice 

Iain Murray

Vice President of Strategy, Competitive Enterprise Institute

Gerard Scimeca 

Chairman, Consumer Action for a Strong Economy

Tom Schatz 

President, Council for Citizens Against Government Waste

James Erwin

Executive Director, Digital Liberty

Adam Brandon

President, FreedomWorks

George Landrith

President, Frontiers of Freedom

Dr. Edward J. Longe

Director of the Center for Technology and Innovation, James Madison Institute 

Charles Sauer

President, Market Institute

Brandon Arnold

Executive Vice President, National Taxpayers Union

Doug Kellogg 

Executive Director, Ohioans for Tax Reform 

Jonathan Small

President, Oklahoma Council of Public Affairs

Tom Hebert

Executive Director, Open Competition Center

Lorenzo Montanari 

Executive Director, Property Rights Alliance 

Karen Kerrigan 

President, Small Business & Entrepreneurship Council

David Williams

President, Taxpayers Protection Alliance 

Jenny Beth Martin

Honorary Chairman, Tea Party Patriots Action

Dr. Steven J. Allen

Vice Chairman, The Conservative Caucus

Casey Given 

Executive Director, Young Voices