Denmark and Netherlands Respond to Trump's DEI Ultimatum

April 2, 2025

In response to recent directives from the Trump administration targeting diversity, equity, and inclusion (DEI) initiatives, officials from Denmark and the Netherlands have voiced concerns. They are calling for a coordinated approach within the European Union (EU) against what they perceive as overreach by the U.S. government.

European Reaction to U.S. Directives

A Danish official has urged the EU to adopt a united stance regarding President Donald Trump's orders to foreign companies with U.S. contracts, which demand compliance with new restrictions on DEI programs. Denmark’s Industry Minister Morten Bodskov highlighted the importance of diversity in corporate leadership and suggested that the EU would need to discuss an appropriate collective response, characterizing the orders as yet another potential American trade barrier.

In the Netherlands, Minister of Foreign Trade Reinette Klever indicated that she had no prior knowledge of specific U.S. orders impacting Dutch firms. However, she expressed concern that such directives could create "more uncertainty" for European companies dealing with the U.S. market.

Context of the U.S. Orders

The Trump administration's recent initiatives, including letters sent to European companies—particularly those in France, Denmark, and beyond—require them to confirm they do not engage in DEI practices. These measures fall under Trump’s Executive Order 14173, aimed at ending what his administration terms "illegal discrimination" and restoring merit-based opportunities within government contracts.

As part of this effort, U.S. embassies sent questionnaires to firms to assess compliance with the executive order. A representative from the U.S. State Department clarified to Newsweek that the additional paperwork required of foreign contractors was merely a self-certification process related to U.S. federal anti-discrimination laws, which typically do not apply to companies operating outside the United States unless they are controlled by U.S. entities.

Wider European Concerns

The backlash from Denmark and the Netherlands echoes sentiments from other European countries. French Foreign Trade Minister Laurent Saint-Martin expressed shock over the U.S. letters, describing them as a denial of French and EU policies regarding inclusion. Belgium's Foreign Minister Maxime Prevot confirmed that Belgian firms had also received similar communications but stressed that Belgium would not compromise on diversity initiatives.

The European Commission is currently reviewing these letters to evaluate whether they impose restrictions that contravene existing international agreements, particularly the World Trade Organization's General Procurement Agreement.

Looking Ahead

As the situation develops, the U.S. State Department reiterated that the letters are part of an effort to ensure compliance with the executive order but emphasized that there was no requirement for verification beyond the self-certification process.

The European Commission has stated that further details are needed before making any declarations on the implications of the U.S. orders, highlighting the fluidity of this transatlantic issue and the possibility of emerging tensions between the EU and the U.S. regarding diversity policies.

As the EU contemplates its response, the debate around DEI initiatives continues, pointing to a growing divide between U.S. policies and European values concerning diversity and inclusion in the corporate sector.