U.S. Senators Katie Britt and Bill Hagerty Sound Alarm on Europe’s Regulatory Encroachment

WASHINGTON, D.C., October 2, 2024 –U.S. Senators Katie Britt (R-Ala.) and Bill Hagerty (R-Tenn.), with Congressman Andy Barr (R-Ky.) and several colleagues sent a letter urging Treasury Secretary Janet Yellen and senior Biden-Harris Administration officials to stand up for U.S. economic interests by addressing regulatory encroachment from the European Union.

In May, the European Union (EU) formally adopted its Corporate Sustainability Due Diligence Directive (CSDDD), which enshrines progressive social and climate policies into binding international law. Under this directive, many U.S. businesses will be forced to comply with European policies, or face severe penalties. CSDDD’s implementation raises serious concerns about extraterritorial regulatory overreach, adverse impacts on supply chains, litigation risks, and unfeasible climate transition requirements. 

“The CSDDD’s extraterritorial scope amounts to a serious breach of U.S. sovereignty and a direct threat to the global competitiveness of American companies,” the members of Congress wrote. “We are deeply concerned that the [Biden-Harris] Administration is surrendering its regulatory responsibilities to European officials, allowing them to dictate draconian social and climate policies to American companies.”

“The EU is attempting to mitigate the relative damage of its onerous regulatory framework by forcing Americans to bear the burden as well,” the members of Congress continued. “Any policies impacting U.S. businesses should be debated and determined by the elected representatives of the American people, not overseas bureaucrats advancing their own agendas.”

The letter concludes by urging Secretary Yellen and senior Biden-Harris Administration officials to engage with their European counterparts to delay CSDDD’s implementation and repeal or substantially modify the directive. To date, there has been little evidence that the Administration has an effective strategy to address the issue.

Additional signatories include Senators Mike Crapo (R-Idaho), Lindsey Graham (R-S.C.), John Thune (R-S.D.), John Barrasso (R-Wyo.), Roger Wicker (R-Miss.), Jim Risch (R-Idaho), Jerry Moran (R-Kan.), John Boozman (R-Ark.), Mike Lee (R-Utah), Tim Scott (R-S.C.), Ted Cruz (R-Texas), Shelley Moore Capito (R-W Va.), Tom Cotton (R-Ark.), Steve Daines (R-Mont.), Mike Rounds (R-S.D.), Thom Tillis (R-N.C.), Dan Sullivan (R-Alaska.), Kevin Cramer (R-N.D.), Mike Braun (R-Ind.), Cynthia Lummis (R-Wyo.), Tommy Tuberville (R-Ala.), Ted Budd (R-N.C.), Eric Schmitt (R-Mo.), and Pete Ricketts (R-Neb.), along with Representatives Jodey Arrington (R-Texas), Dan Bishop (R-N.C.), Buddy Carter (R-Ga.), James Comer (R-Ky.), Dan Crenshaw (R-Texas), John Curtis (R-Utah), Byron Donalds (R-Fla.), Jeff Duncan (R-S.C.), Tom Emmer (R-Minn.), Drew Ferguson (R-Ga.), Scott Fitzgerald (R-Wis.), Chuck Fleischmann (R-Tenn.), Mike Flood (R-Neb.), Andrew Garbarino (R-N.Y.), Morgan Griffith (R-Va.), Erin Houchin (R-Ind.), Bill Huizenga (R-Mich.), Young Kim (R-Calif.), Nick Langworthy (R-N.Y.), Jake LaTurner (R-Kan.), Mike Lawler (R-N.Y.), Barry Loudermilk (R-Ga.), Dan Meuser (R-Pa.), Carol Miller (R-W. Va.), Alex Mooney (R-W. Va.), Ralph Norman (R-S.C.), Zach Nunn (R-Iowa), Andy Ogles (R-Tenn.), August Pfluger (R-Texas), Bill Posey (R-Fla.), John Rose (R-Tenn.), David Schweikert (R-Ariz.), Bryan Steil (R-Wis.), Claudia Tenney (R-N.Y.), Glenn Thompson (R-Pa.), William Timmons (R-S.C.), Ann Wager (R-Mo.), Roger Williams (R-Texas), and Rob Wittman (R-Va.).

Full text of the letter can be found here.

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