European Union countries have reportedly agreed to a joint EU-U.S. declaration on technology trade co-operation on 29th August. The move came after France refused to back the proposal unless certain terms were watered down.

Senior officials from the U.S. and the EU plan to deliberate on matters of international concern such as semiconductor shortages, tech competition issues, and artificial intelligence at the initial meeting of the TTC (Trade and Technology Council).

According to sources, the TTC meeting was likely to be canceled last week due to French ire caused by Australia scrapping a USD 40 billion submarine deal and opting instead for a contract with the U.S. and Britain to purchase nuclear-power vessels.

EU diplomats stated that France was in favor of striking out a reference to a second meet scheduled in spring 2022, which is when the country’s presidential election will be held. It also sought to soften language on a proposed chip supply chain partnership that deemed U.S. and EU to be mutually dependent.

After several discussions, the tentative second meeting was canceled, and the semiconductor reference was altered to denote supply dependency only in the short term. The revised text was then approved at a meeting held among EU ministers on the competitiveness of the EU market.

Notably, diplomats asserted that the disagreements from France were not linked to the submarine dispute but France's strong belief in the EU autonomy.

U.S. State Secretary Antony Blinken, Trade Representative Katherine Tai, and Secretary of Commerce Gina Raimondo are set to host vice presidents of the European Commission Margrethe Vestager as well as Valdis Dombrovskis at a Pittsburgh forum planned to set tech standards.

It is worth noting that the U.S. and Europe are planning on curbing the growing power of American technology giants such as Facebook, Google, Apple, and Amazon. This cooperation will be pivotal for protecting the interests of regulators on both sides of the Atlantic.

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https://money.usnews.com/investing/news/articles/2021-09-29/eu-backs-us-tech-trade-declaration-after-french-concerns