European trade chief Peter Mandelson has called on the US to allow European companies renewed access to its multibillion-dollar online gambling industry.

Mandelson pushed for an end to the exclusion of European companies and other trading partners from the US online gambling market, arguing that it is a better and fairer solution than compensation.

European online gambling companies saw billions of euros wiped of their market values last year following Washington's decision to close off its market.

"The US has so far opted for compensation to make right what is wrong. I do not think that compensation does that job," Mandelson told the European Parliament.

"What we really need is for the legislation to be put right and for foreign operators to stop being excluded and discriminated against in this way."