U.S. President Donald Trump has vowed to confront nations imposing digital taxes on American technology giants, escalating trade tensions as digital policy becomes a flashpoint in global economic competition.
On Monday, Trump announced via his Truth Social platform that, if elected, he would deploy new additional tariffs and curb technology exports to countries targeting U.S. tech firms with levies or restrictive regulations.
Digital Service Taxes (DSTs), which are levied on the gross revenues generated by multinational tech companies through digital activities within national borders, have gained traction particularly among European states. These taxes specifically affect major American companies such as Alphabet’s Google, Amazon, Meta’s Facebook and Apple, whose global reach has prompted regulators abroad to devise new taxing frameworks.
Trump criticized foreign governments for what he described as regulatory discrimination against U.S. firms, alleging that these measures enable Chinese technology companies to escape similar scrutiny. While European policymakers claim that DSTs ensure fair taxation in the digital economy, Washington has repeatedly argued that such policies disproportionately target Silicon Valley behemoths, jeopardizing cross-border trade and investment.
The calls for retaliatory tariffs and export restrictions signal a renewed willingness from the U.S. to defend its technology sector amid intensifying global debates over digital regulation, taxation, and the balance of economic power.
