Donald Trump has threatened to impose a ‘100% TARIFF’ on all goods from any country that hits US tech giants with a digital services tax
Donald Trump has threatened to impose a “100% TARIFF” on all goods from any country that hits US tech giants with a digital tax.
“Numerous European Countries have been discussing the imminent implementation of a Digital Services Tax on American Companies,” the US President wrote in a Truth Social post on Friday.
“Some of these Countries are close to actually doing this. Please let this statement serve to represent that any Country that imposes such a Tax will immediately be met with a 100% TARIFF on any and all Goods sent to the United States of America.”
Trump added that the new tax would supersede any trade deals with the US, “whether implemented, signed or not”.
It comes after French President Emmanuel Macron said last week that France would not bow to pressure from Trump and scrap its digital tax on US tech companies.
Trump had warned that the US would “have no choice” but to apply 100 per cent tariffs on French wine unless Paris removed its digital tax.
France has applied a 3 per cent levy since 2019 on revenue from digital services earned by companies with revenues of more than €25 million in the country and €750 million worldwide.
Trump has repeatedly pushed against foreign efforts to tax or regulate American tech giants. Last year, he threatened new tariffs on any country that moved to do so, writing in a Truth Social post in August that digital taxes and regulation “are all designed to harm, or discriminate against, American Technology”.
The threat comes ahead of Trump’s July 4 deadline for the European Union and US to approve a tariff deal that caps tariffs on most EU exports at 15 per cent.
In May, the EU finalised a trade deal with the US that caps most tariffs on EU exports at 15 per cent.
Digital taxes were not part of the agreement and have remained a sticking point between the US and the European bloc.
