WASHINGTON – On Friday, President Donald Trump issued a stern warning, threatening to impose a 100% tax on imports from any nation that decides to levy taxes on digital services provided by companies from the United States.
Through a social media post, Trump targeted European countries, accusing them of contemplating “imminent” taxation on American businesses.
“Consider this a statement that any Country imposing such a Tax will instantly face a 100% TARIFF on all products shipped to the USA,” Trump declared in his post.
He further clarified that this new tax policy would override any previous trade agreements. While Trump stated the penalty would apply to any country moving forward with these taxes, he particularly highlighted European nations.
Trump has consistently opposed international attempts to tax or regulate U.S. tech behemoths. Last year, he hinted at fresh tariffs against countries taking such actions, criticizing that digital taxes and regulations are primarily aimed at harming or discriminating against American tech companies.
The threat comes ahead of Trump’s July 4 deadline for the European Union and United States to approve a tariff deal that caps tariffs on most EU exports at 15%.
The European Union in May finalized a trade deal with the United States that caps most tariffs on EU exports at 15%. The deal followed months of debate within the EU after European Commission chief Ursula von der Leyen tentatively struck the deal while visiting Trump’s golf course in Scotland.
Digital taxes were not part of the agreement and have remained a sticking point between the U.S. and the European bloc.
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