I can’t see EU’s balkanization in positive light either. Seems good ol protectionism instead of actually innovating. Privacy is a trope, they give away data at US’s whim.
The EU isn't "the" EU. The GDPR was created by the elected representatives of the EU citizens. The EU commission consisting of representatives of the EU member state's governments are giving away the data.
We wanted data protection, we got data protection. The commission is losing in court with its idea to give data away (e.g. privacy shield invented by commission, stopped by the court).