Trump threatens 100% Tariff on nations imposing digital services taxes

U.S. President Donald Trump has announced to impose 100 % new tariffs against companies who impose DST.

Trump warned on Friday to impose a 100% tariff on all goods from any country that imposes a digital services tax on American companies, inflaming transatlantic trade tensions a day after European Union countries met his July 4 deadline to cut tariffs on U.S. goods.

"Numerous European Countries have been discussing the imminent implementation of a Digital Services Tax on American Companies," Trump said in a social media post. "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 said the new tariff would supersede any trade deals with the United States, "whether implemented, signed or not."

The US President emphasized that these tariffs would supersede any existing trade agreements, stating that they would apply "whether implemented, signed, or not."

That would include the deal the U.S. and EU agreed to last year, which caps U.S. tariffs on European goods at 15% in exchange for EU countries reducing tariffs on U.S. industrial goods to zero.

But a lengthy EU legislative process to meet the bloc's commitments under the deal prompted ‌Trump to threaten to reimpose a 25% tariff on imports from Europe, including autos. EU lawmakers then scrambled to meet a deadline from Trump to implement the changes by July 4.

The administration signaled that the penalty would be triggered immediately upon the implementation of such taxes by any foreign government.