The President of the United States has reignited trade tensions with Europe by warning that countries imposing digital taxes on American companies could face tariffs of up to 100%.
Donald Trump stated on his social media platform, Truth Social, that any country introducing or maintaining digital taxes would be subject to steep tariffs on all exports to the United States. According to Trump, these measures would replace existing trade arrangements and be broadly applied to imported goods.
The remarks prompted an immediate response from the European Union, which described the threats as unjustified and contrary to the principles of international trade.
The EU emphasized that its member states have the sovereign right to regulate their own fiscal and economic policies, including the taxation of the digital economy, adding that any unilateral measures would be met with a swift and firm response.
Brussels also reiterated its commitment to pursuing a global solution for the fair taxation of technology companies in cooperation with international partners, including the G7.
The renewed tensions come at a time when the EU and the United States had been taking steps toward easing certain trade barriers, raising concerns over a potential new escalation in economic relations between the two sides.
