Washington, D.C.—As the U.S. navigates an ongoing technological cold war with China, American innovators face increasing challenges—not from global competition, but from misguided government intervention. The Federal Trade Commission’s (FTC) antitrust case against Amazon, now revealed to have been partially supported by testimony from Chinese competitor Temu, highlights the troubling trend of bureaucratic overreach that weakens U.S. companies while benefiting foreign adversaries. Logan Kolas, Director of Technology Policy at the American Consumer Institute, has provided the following comment:
“Amidst an ongoing technological cold war with China, American innovators have been fighting with one hand tied behind their back thanks to meddling by bureaucrats inside that Beltway. Look no further than the Federal Trade Commission’s weak antitrust case against Amazon, which was recently revealed to be at least partially supported with testimony by Chinese competitor, Temu. Unfortunately for the Biden-era FTC, not only does the “online superstore” definition not accurately reflect how consumers actually shop, it conveniently excludes Temu as an Amazon competitor.
For the better part of four years, the Federal Trade Commission’s pursuit of novel legal theories and motivated reasoning has made a mockery of a once widely respected institution. Relying on the testimony of companies tied to adversarial powers is not helping matters. As a second Trump administration decides how to handle competition policy, it should work to promote American innovation at home and abroad by letting market competition strengthen American technology—not saddle it with lawsuits and testimonies that will only make matters worse.”
As the U.S. prepares for the next phase of its competition policy, the new administration must restore trust in the FTC and promote policies that strengthen American innovation at home and abroad. Policymakers should focus on fostering market competition rather than pursuing politically motivated lawsuits that only benefit foreign adversaries.
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