Saudi Press

Saudi Arabia and the world
Saturday, Apr 11, 2026

EU Reportedly Considering 'New Legal Tool' as Response to Biden's 'Buy American' Order

EU Reportedly Considering 'New Legal Tool' as Response to Biden's 'Buy American' Order

In late January, POTUS inked the so-called "Buy American" order, an executive action that Joe Biden said would help "rebuild the backbone of America: manufacturing, unions, and the middle class".

In the coming weeks, Brussels may take a countermeasure to press EU member states to "Buy European", in retaliation for Washington's "Buy American" drive, Politico reports.

According to the US news outlet, the so-called International Procurement Initiative is touted as "a new legal tool" that stipulates sticking to the concept of "reciprocity" in major public contracts to shore up the EU's industrial giants.

The new law aims "to effectively shut out companies from countries where European businesses are barred from tenders, leveraging the EU's giant €2 trillion [$2.4 trillion] procurement market in everything from highways and trains to public IT systems", Politico underlined.


The news outlet cited unnamed sources as saying that the International Procurement Initiative is expected to provide Brussels with more authority "to force Washington to keep its market open".

The law will allow the European Commission to investigate whether certain procurement markets in countries outside the EU are closed to the bloc's bids. If Brussels concludes that those markets are closed, it will start consultations to make local authorities open them, according to the sources.

They added "should that fail, the Commission would then decide whether to propose a 'score adjustment' — essentially making bids from the penalised country more costly through a points-based regime — or to completely exclude bids from companies based in that country".

EU Trade Boss Vows to Assess Biden's 'Buy American' Push for Compliance With WTO Rules


The comments come after European Commissioner for Trade Valdis Dombrovskis told Politico in February that the EU is concerned about the Biden administration's push to implement its "Buy American" plan.

Dombrovskis pledged that the EU would keep a watchful eye on whether preferential treatment for US contractors working on public projects was in line with Washington's international obligations. At the same time, the commissioner kept mum on whether the Biden administration is breaking World Trade Organisation (WTO) rules with the "Buy American" mantra.

"As regards 'Buy American', this is something which will require some more in-depth assessment, what are the exact implications, what are the implications for EU companies, what does it mean for US commitments in the WTO framework", Dombrovskis noted.

He spoke after US President Joe Biden signed an executive order on 25 January to strengthen domestic manufacturing and create a spate of markets for new technologies. He told reporters before signing the "Buy American" order that the US "can't sit on the sidelines in the race to the future" because its competitors "aren't waiting".

Last summer, then-White House trade adviser Peter Navarro accused then-presumptive Democratic presidential candidate Biden of trying to copy part of former President Donald Trump's 2016 economic plan.

"He's just blatantly ripping off the president's 'Buy American' agenda […]", Navarro told Fox News at the time, describing Biden as a "poll-driven plagiarist".

Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Strategic Saudi-Bahrain Causeway Closed Amid Security Concerns as Trump Deadline Approaches
Saudi Arabia Keeps Red Sea Oil Exports Flowing Despite Regional Tensions
Pipeline Attack Cuts Significant Share of Saudi Arabia’s Oil Export Capacity
Saudi Business Leader Abudawood Appointed Chairman of Merit Incentives Group
TotalEnergies Confirms Damage at Saudi Refinery Following Security Incident
Saudi Arabia Launches Early Construction Phase for King Salman Stadium Project
Saudi Shift Away from Longstanding Dollar Oil Framework Gains Attention Amid Iran Conflict
Türkiye and Saudi Arabia Resolve Long-Running Transit Visa Dispute
Saudi Oil Capacity and Pipeline Flows Reduced as Supply Risks Intensify
TotalEnergies Reports Damage to Saudi SATORP Refinery Following Security Incidents
Gulf States Assess Prospects of U.S.-Iran Truce as Regional Stability Efforts Intensify
South Korea Resumes Honey Exports to Saudi Arabia Following Sanitary Approval
Saudi Arabia Carries Out Sentences in Eastern Province Following Security Convictions
Saudi Sovereign Wealth Fund Backs King Street’s Regional Credit Strategy
Saudi Arabia Secures World Cup Return as Egypt Celebrates Landmark Qualification
Iran and Saudi Arabia Intensify Diplomatic Engagement Amid Regional Tensions
Russia and Saudi Arabia Open Visa-Free Travel Corridor for Citizens
Saudi Oil Output Capacity Reduced by 600,000 Barrels Per Day Amid Regional Conflict
Saudi Arabia Suspends Operations at Select Energy Sites as Precautionary Measure
Saudi Arabia Halts Operations at Multiple Energy Facilities Amid Heightened Tensions
Global Markets Jolt as Iran Signals Ceasefire Breakdown and Rising Regional Tensions
King Street Aligns with Saudi Sovereign Wealth Fund to Expand Alternative Investments in Middle East
Attack on Saudi Arabia’s Jubail Petrochemical Hub Raises Global Supply Concerns
Debate Emerges Over Saudi Strategic Decisions as Gulf Cooperation Council Dynamics Come Into Focus
Saudi Arabia Expands Full Workforce Localisation to 69 Professions in Major Labour Reform
Emerging Alliance of Pakistan, Turkey, Egypt and Saudi Arabia Signals New Regional Power Dynamic Amid Iran Conflict
Iran Linked to Strikes Across Gulf States Following Refinery Attack Escalation
Saudi Arabia Voices Concern Over Fragile US–Iran Ceasefire Stability
Starmer Warns Sustained Effort Needed to Ensure US–Iran Ceasefire Holds
Saudi Arabia’s Key East-West Oil Pipeline Targeted Following Ceasefire Announcement
Iran Targets Saudi Arabia’s East-West Oil Pipeline in Escalating Regional Tensions
Trump Warns of Civilizational Stakes as Iran Halts Negotiations
Saudi Companies Expand Remote Work Measures Ahead of Iran-Related Security Concerns
Iran Warns of Strikes on Saudi Energy Infrastructure if US Targets Its Facilities
Iran Urges Civilians to Form Human Shields Around Nuclear Sites as Diplomatic Deadline Approaches
Saudi Arabia Raises Oil Prices to Record Premiums Amid Supply Pressures Linked to Iran Conflict
Key Saudi-Bahrain Causeway Closed Amid Heightened Security Concerns Linked to Iran
Formula One Calendar Gap Explained as Fans Await Next Grand Prix
Growing Strain on the Petrodollar System Comes Into Focus Amid Iran Conflict
Reported Strike on Saudi Arabia’s Jubail Complex Raises Global Energy Supply Concerns
FedEx Introduces New Digital Tool to Streamline Imports into Saudi Arabia
Iran Claims Strike on Saudi Arabia’s Jubail Petrochemical Complex Amid Rising Regional Tensions
Taiwan to Source Oil Shipments from Saudi Arabia’s Red Sea Ports
Saudi Arabia Evacuates Riyadh Financial District as Precaution Amid Regional Tensions
Saudi Arabia Balances Ambitious Economic Vision Amid Regional Tensions and Financial Pressures
Budget Saudi Arabia Reports Strong Full-Year 2025 Financial Performance
Saudi Arabia Expands Investment in Capcom With Stake Reaching Six Percent
Saudi Arabia Assesses Significant Economic Impact From Regional Conflict Involving Iran
US Beef Secures Expanded Market Access in Saudi Arabia
Jordan and Saudi Arabia Declare Absolute Solidarity in Response to Iranian Threats
×