The Trump administration has directed certain French companies with U.S. government contracts to adhere to an executive order that bans diversity, equity, and inclusion (DEI) programs, highlighting the extraterritorial influence of U.S. policies and their potential ramifications on European corporate practices.
The companies are required to confirm their compliance through a questionnaire titled "Certification Regarding Compliance With Applicable Federal Anti-Discrimination Law." This document has been reviewed.
President Trump's "America First" policies have fueled economic and political tensions between the U.S. and Europe since his inauguration.
The U.S. questionnaire raises questions about the practical changes these companies may need to undertake, given the contrasting approaches of the U.S. and France. U.S. companies have largely adopted DEI policies, tracking race and ethnicity data and establishing diversity targets. In contrast, France's secular approach restricts such practices through laws limiting data collection, with corporate initiatives primarily focusing on gender and socioeconomic background.
This situation is likely to provoke concerns among European executives that the Trump administration is extending its battle against DEI policies internationally, coinciding with actions on tariffs and security ties that have strained transatlantic relations.
French business daily Les Echos, which first reported the U.S. demand, noted that the questionnaire was sent to firms by the U.S. embassy in Paris. The correspondence states that Executive Order 14173, Ending Illegal Discrimination and Restoring Merit-based Opportunities, applies to all suppliers and service providers of the U.S. government, regardless of their nationality or location.
The letter requests that companies complete and return the document in English within five days and includes a prompt for those unwilling to sign to provide detailed reasons, which would be forwarded to legal services.
There is no indication that the companies targeted were selected based on their presence in the U.S. Notably, France's state-controlled telecom group Orange, which has no U.S. operations, received the letter, while defense electronics firm Thales and oil major TotalEnergies, both operating in the U.S., did not.
France's Ministry of Foreign Trade expressed that "American interference in the inclusion policies of French companies, along with threats of unjustified tariffs, is unacceptable." The ministry asserted that France and Europe will defend their businesses, consumers, and values.
It remains unclear if similar communications have been sent to foreign companies in other European nations.