US Vice President JD Vance
urged the European Union to support free speech rather than attack
‘American companies over garbage’ in a post on X on Thursday night.
Vance was reacting to reports that the European Commission is planning
to fine Elon Musk’s social-media platform before the end of 2025.
Rumours surfaced last week that the Commission is preparing to fine X
two years after launching its first-ever probe under the Digital
Services Act (DSA) in December 2023. While the broader investigation
into alleged illegal content and information manipulation remains
ongoing, any near-term penalty would focus on alleged violations
identified in July 2024.
At that time, Brussels concluded that X’s paid blue-checkmark system
deceived users, since anyone could purchase the verified badge. Although
the platform later added a disclaimer, the Commission also accused X of
failing to provide adequate transparency about advertising and of
withholding public-interest data from researchers.
Commission’s tech chief Henna Virkkunen said recently that she
expects ‘to conclude some of the investigations’ soon, though she did
not confirm whether the X probe is among them. The scale of a potential
fine also remains uncertain. The DSA allows penalties of up to 6 per
cent of global annual revenues, and the Commission could base its
calculation either on X’s turnover or on Musk’s broader business empire,
including Tesla—a choice that would raise the magnitude of the fine to
substantial levels. According to Forbes’ real-time billionaire tracker,
Musk’s net worth reached $500 billion in October 2025.
According to media reports, Brussels would weigh the impact of the
fine in connection with attempts to influence Washington’s plans to end
the war in Ukraine. After US President Donald Trump presented his 28-point peace plan
at the end of November—negotiated first with Russia and subsequently
with Ukraine—EU leaders were excluded from the talks, raising concerns
that Europe’s future security architecture will be decided without the
continent having a say in the process.
Freedom of speech has become a major flashpoint between Washington
and Brussels since the Trump administration took office at the beginning
of 2025. In his Munich speech, JD Vance sharply criticized Western
European countries, especially Germany and the United Kingdom, for
restricting free speech and cracking down on right-wing voices on social
media. The probe against X has been central to these tensions.
‘Imposing a fine on X could prompt further US retaliations under the emerging trade framework’
Meanwhile, European Commission President Ursula von der Leyen and Trump have reached an agreement
intended to settle trade issues between the EU and the US. The deal is
widely viewed as humiliating for the European Union and a sell-out
arrangement, with Brussels making commitments worth hundreds of billions
of dollars to Washington in the areas of energy and defence, while the
US maintains its 15 per cent tariffs on a significant share of EU
exports. The agreement remains in framework form, with key elements
still under negotiation.
Imposing a fine on X could prompt further US retaliations under the
emerging trade framework. During a visit to Brussels at the end of
November, US Commerce Secretary Howard Lutnick openly criticized
the bloc’s digital rulebook, calling for ‘old cases’ to be resolved as
part of broader discussions on steel tariffs. He added that if the EU
devises a regulatory framework that Washington considers ‘balanced’ and
fair, the US would be willing to ‘handle the steel and aluminium
issues’—meaning reconsider tariffs or trade restrictions. Lutnick also
claimed that such a renegotiated framework could unlock substantial US
investment in Europe.
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