Well, it kind of did. The EU's highest court, the European Court of Justice just passed its final ruling last month stating that the "Safe Harbor" agreements called Privacy Shield etc. that US companies use to be able to operate in the EU in compliance with EU privacy laws are inadequate given the widespread mass surveillance used by the US. [0] That's not banning but it requires US companies to actually invest and change their modes of operation if they want to continue to operate in the EU without being fined.

[0]: https://www.eff.org/deeplinks/2020/07/eu-court-again-rules-n...