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Op-Ed: Carl Holshouser: America’s global leadership in the digital economy is under threat. Donald Trump must act
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Op-Ed: Carl Holshouser: America’s global leadership in the digital economy is under threat. Donald Trump must act

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The Washington Reporter
Jan 05, 2025
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Op-Ed: Carl Holshouser: America’s global leadership in the digital economy is under threat. Donald Trump must act
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For decades, the United States has been the undisputed leader in technological innovation. From Silicon Valley to Main Street, American ingenuity has transformed industries, created millions of jobs, and added over $2.6 trillion to our gross domestic product (GDP).

But today, that leadership faces unprecedented challenges from anti-American policies abroad and a failure to stand up for jobs and innovation at home. President-elect Donald Trump has a chance to fix that.

Foreign governments are rapidly advancing discriminatory trade policies that unfairly target U.S. companies, and the Biden administration has emboldened those efforts.

The European Union’s Digital Markets Act, for example, singles out American innovators while giving competitors from China and Russia a free pass. Canada’s digital services tax places disproportionate burdens on U.S. businesses, draining billions from our economy each year. These measures aren’t just attacks on our companies — they undermine the principles of fairness and competition that have fueled America’s success.

Meanwhile, weak trade policy responses from the Biden administration have emboldened allies and adversaries alike to rewrite the rules that cemented America’s status as the global tech leader. If we don’t act decisively, we risk losing not just economic power but also the ability to shape the future of innovation.

Fortunately, we know what effective leadership looks like. The United States-Mexico-Canada Agreement (USMCA), forged under the first Trump administration, set a gold standard for digital trade. By safeguarding cross-border data flows and banning data localization mandates, USMCA ensured that American businesses could compete on a level playing field.

USMCA laid the groundwork for success, but the work is far from over. Expanding and defending these principles is critical to preserving America’s competitive edge and global leadership.

The incoming Trump administration has a pivotal opportunity. Nominees for U.S. Trade Representative and Commerce Secretary, Jamieson Greer and Howard Lutnick, must reaffirm America’s leadership in the global digital economy. As they seek confirmation from the U.S. Senate, they should publicly commit to policies that resist discriminatory trade barriers, hold bad actors accountable, and put American innovation at the forefront of our trade policies.

We are at a crossroads. The stakes have never been higher. America’s role as a global leader in technology and innovation is not guaranteed — it must be earned and defended. It’s time to confront unfair practices, strengthen our alliances, and reaffirm our position as the engine of global progress. Together, we can secure a legacy of leadership that drives economic growth and redefines what’s possible for generations to come.

Carl Holshouser is Executive Vice President and Head of Federal Policy and Government Relations at TechNet.


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Op-Ed: Carl Holshouser: America’s global leadership in the digital economy is under threat. Donald Trump must act
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