Washington, Oct 30 (IANS): The US needs to tighten privacy laws to rebuild trust, damaged during the National Security Agency (NSA) eavesdropping scandal, as the issue has already put Transatlantic Trade and Investment Partnership (TTIP) negotiations in jeopardy, an EU official has said.

Speaking at a Washington thinktank, Viviane Reding, vice- president of the European Commission as well as the EU justice commissioner, said: "...Recent developments concerning intelligence issues... have unfortunately shaken and damaged our relationship", Xinhua reported.

"Friends and partners do not spy on each other," said Reding. " Spying certainly does not lead to trust. That is why it is urgent and essential that our partners take clear action to rebuild trust. "

"Restoring such trust will be very much needed if we want to successfully conclude the TTIP negotiations in the foreseeable future. Otherwise, the European Parliament may decide to reject the TTIP," Reding said.

The US side is under fire after revelation that the NSA and other US intelligence agencies have monitored emails and phone calls of European leaders including German Chancellor Angela Merkel.

Some reports also alleged the US monitored phone calls between millions of French and Spanish citizens, although NSA chief Keith Alexander denied the allegation Tuesday at a House of Representatives hearing.