European firms have found a legal route to fund U.S. political campaigns through American subsidiaries, contributing an estimated $14.3 million (€13.2 million) in the current electoral cycle, according to data analyzed by Euronews and OpenSecrets, a non-profit monitoring political finance. Despite foreign companies being barred from directly funding U.S. elections, they leverage political action committees (PACs) affiliated with U.S.-based subsidiaries to channel funds into U.S. campaigns.
How PACs with European Ties Work
PACs operate by collecting donations from American employees within U.S. subsidiaries of foreign firms. While direct campaign contributions from these PACs are capped, they can legally fund advertising in support of preferred candidates or parties. This two-year election cycle saw 143 European companies, headquartered across 13 countries (10 of which are EU member states), engage in U.S. politics through PAC contributions.
Of these contributions, roughly 56% went to Republican candidates, and 44% to Democrats, reflecting a general preference for bipartisan engagement. For these companies, political influence helps address regulatory issues, ensuring favorable policies for operations within the U.S.
Significant European Contributions to U.S. Campaigns
The leading European corporations participating in U.S. elections through PACs include the Swiss investment bank UBS, German telecommunications giant T-Mobile, and British defense firm BAE Systems. Sarah Bryner, director of research at OpenSecrets, highlights that the contributions are less about shifting election outcomes and more about gaining access to policymakers. "These companies rely on U.S.-based customers and must engage in political discourse to maintain a favorable regulatory environment,” Bryner explained.
These European-linked PACs, while slightly more aligned with Republican campaigns, commonly contribute to both sides to secure influence across a range of political seats and committees. This bipartisan approach enables these firms to stay connected with a variety of decision-makers.
The Bigger Picture: U.S. Campaign Finance
European PAC contributions are a drop in the ocean compared to the total campaign funding landscape. In 2024 alone, U.S. elections raised around $8.6 billion (€7.9 billion) for presidential, House, and Senate campaigns. Increasingly, individual billionaires’ contributions and super PAC spending play a dominant role in election financing.
The 2010 Citizens United Supreme Court ruling has empowered super PACs, allowing them to raise and spend unlimited amounts independently of candidates. These entities now wield significant power through campaign advertising and digital media outreach. The ruling has faced criticism over the potential for unchecked influence, especially as outside groups find new ways to impact U.S. elections. Just recently, the Philadelphia district attorney filed a lawsuit against a pro-Trump super PAC over a $1 million (€925,000) daily voter giveaway scheme, which raised ethical and legal concerns around electioneering practices.
Future Implications of European Influence in U.S. Elections
While relatively modest, the ongoing involvement of European PACs highlights the global economic stakes in U.S. policy decisions, especially as companies navigate complex markets. The data reflects a growing trend among international firms that rely on access to U.S. legislators to support their American business interests. As super PACs continue to grow in influence, scrutiny over campaign finance rules is likely to increase, pushing policymakers to rethink existing guidelines on foreign-linked political funding.
Source: Euronews
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