The European Commission has firmly rejected President Donald Trump’s threat to impose tariffs of up to 100% on goods from countries maintaining digital services taxes on US tech giants.
In a statement on Friday, EU officials warned that such punitive measures would be counterproductive and risk igniting a broader transatlantic trade conflict.
The European stance comes as Washington escalates pressure on allies to abandon levies on American technology companies.
Trump previously issued the warning via Truth Social, targeting nations that continue to tax digital services provided by US firms.
The EU’s response underscores its determination to defend its fiscal sovereignty while avoiding a retaliatory spiral that could disrupt global supply chains.
This development marks a significant hardening of positions in the ongoing dispute over digital taxation.