Trump Threatens to Impose 100% Tariff on European Countries Over Tech Taxes

President Trump threatened to scrap a just-finalized trade deal with the European Union on Friday, saying that any country that levies a digital services tax would be hit immediately with a 100 percent tariff on all exports to the United States.Mr.Trump seized on the fact that several European countries are discussing imposing such taxes.

Those taxes would apply to the revenue that major U.S.tech firms earn in Europe.

If they choose to proceed, the United States would “immediately" impose a 100 percent tariff on them, he said.“This TARIFF will supersede Trade Deals made with the Country, whether implemented, signed, or not,” he wrote on Truth Social.Earlier in June, Mr.Trump threatened to put a 100 percent tariff on French wines over the nation’s digital taxes, but has not done so.It’s unclear how quickly the president could impose any such levies.

The Supreme Court in February struck down tariffs Mr.Trump had issued last year using an emergency law that allowed him to impose levies on any country by issuing an executive order.Other legal options that would allow the president to issue tariffs typically take more time to impose.

But the United States has investigated digital service taxes in France, Austria, Spain and Italy in the past using a legal provision known as Section 301, which could allow the administration to issue tariffs on a shorter timeline.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access.If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe....

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Publisher: The New York Times

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