GOP lawmakers urge EU to scrap environmental rules – Business News
Key Republicans in Congress are urging the European Union to reverse strict new environmental and human rights necessities that might value US companies billions of {dollars} more yearly, The Post has realized.
In a letter despatched Thursday to the EU’s US ambassador, Energy and Commerce Chair Brett Guthrie of Kentucky, Financial Services Chair French Hill of Arkansas and Judiciary Chair Jim Jordan of Ohio took purpose on the EU’s new Corporate Sustainability Due Diligence Directive, or CSDDD.
“The compliance requirements are onerous and extraterritorial and appear to be designed to deliberately harm American companies,” a copy of the letter obtained by The Post acknowledged, ripping the new rules’ “invasive checks on a company’s supply chains.”
Rep. Brett Guthrie (R-Ky.) signed the letter because the chair of the Energy and Commerce Committee. ZUMAPRESS.com
The letter cited a latest examine from the Hudson Institute, a conservative suppose tank primarily based in Washington, DC, that discovered the CSDDD would lead to “measurable initial compliance costs of between $637 billion and $1.093 trillion.”
The examine famous that these prices are comparable to what US corporations at the moment pay in environmental and financial rules mixed.
Annual recurring prices for US companies would “range from $57 million to $8 billion,” which balloons to “recurring annual costs [that] range from $6 billion to $43 billion” if implicit prices are included, in accordance to the identical examine.
Rep. French Hill (R-Ark.) signed the letter because the chair of the Financial Services Committee. ZUMAPRESS.com
“The EU’s CSDDD is yet another example in a concerning pattern of anti-competitive and anti-American business regulations,” Guthrie stated in a assertion.
“The Western world benefits from a strong Europe, but unfortunately, rather than pursuing freer markets and innovation, EU regulators continue to prefer heavy-handed government intervention,” Guthrie added.
“This course has hindered the European economy for the past two decades, and now the EU seeks to apply that same model outside of its borders.”
Glass items journey down a conveyor line below an American flag in Corning’s iPhone manufacturing unit in Kentucky. AP
The House members are asking the EU to take away the CSDDD rules for all non-EU companies – saying they’re at the moment contemplating legislative motion to present aid to US firms harmed by the cruel necessities.
“The costs and burdens associated with CSDDD compliance could lead to American companies drastically limiting or even divesting their European business.”
In an October 2025 letter to senior Trump admin officers, a number of advocacy teams – together with the National Association of Manufacturers and the US Chamber of Commerce – warned of the potential ripple results from the more stringent environmental rules.
“American businesses could be forced to respond to protect their interests. They would face difficult decisions about their EU investments and their exposure to the law’s mandated penalties for perceived lack of compliance,” the advocacy teams wrote.
“Economic growth would slow, supply chains would suffer, and transatlantic commerce and relations would only worsen. Neither the EU nor US would benefit from that scenario,” they stated, including that it might hurt small and enormous companies alike, together with native suppliers.
