Downsides with your approach is:
1. Now whenever you want to change something both in Europe and (assuming) USA you have to do it in 2 places. If the change is the same for both, in my system, you could just update the default/shared config. If the change is different for both it's equally easy, but faster, since the overrides are smaller files.
2. It's not clear what the difference is between Europe and USA if there is 1 line different amongst thousands. If there are more differences in the future, it becomes increasingly difficult to tell the difference easily.
3. If in the future you also need to add Africa, you just compounded the problems of 1. and 2.