I don't want my data in the hands of the NSA as much as you don't want yours in the hands of the BND, FSB, or the People's Liberation Army.
The CLOUD Act requires US based companies to comply with US requests for data even when that data is stored exclusively outside the US. It's in direct conflict with the GDPR.
However I don't see that, and thus Europeans familiar with the relevant cases give “dominance of Americans” as the reason.
The European Comission has repeteadly tried to figure out a framework that would let US providers access EU markets safely, respecting EU laws. Every single attempt has been broken because there is no way for an US company to respect EU law and also comply with the CLOUD act.
The bit of law you suggest would essentially make it impossible for a company to respect both EU law and US law.