Trump Threatens 100% Tariffs on European Imports Over Digital Services Taxes

On June 28, 2026 President Donald J. Trump posted on Truth Social that any country imposing a digital services tax (DST) on U.S. companies will face an immediate 100 % tariff on all goods to the United States, overriding existing trade deals.

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The United Kingdom introduced a 2 % DST in 2020; Canada’s 3 % DST was repealed in early 2026. The Tax Foundation estimates about half of the 26 European OECD members have a DST. The EU-U.S. trade pact signed in May 2026 caps most tariffs at 15 % and excludes digital taxes, leaving Trump’s threat outside the agreement.

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Trump’s Truth Social post said the 100 % tariff would “supersede any trade deals.” The DST policy paper argues the tax corrects a “misalignment between the place where profits are taxed and the place where value is created” and seeks a “fair contribution to supporting public services.” The U.S. State Department has not set an enforcement timeline.

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The February 2026 Supreme Court ruled the president cannot impose tariffs without clear congressional authority; Chief Justice John Roberts warned that Congress grants tariff power “clearly and with careful constraints.” Liberty Justice Center senior counsel Jeffrey Schwab said “none of the authority Congress has granted the president to impose tariffs allows him to do so whenever he wants.” The Congressional Research Service noted DSTs target U.S. tech firms but cautioned that sweeping retaliatory tariffs could breach trade-law rules.

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Sources disagree on whether the 100 % tariff would be global or targeted, and the administration has not clarified the timeline for any Section 301 finding or how the threat would coexist with the 15 % tariff ceiling in the EU-U.S. trade pact.

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• “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.” — Donald J. Trump, President, Truth Social post

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• “When Congress grants the power to impose tariffs, it does so clearly and with careful constraints,” — John Roberts, Chief Justice, Supreme Court majority opinion

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• “None of the authority Congress has granted the president to impose tariffs allows him to do so whenever he wants,” — Jeffrey Schwab, senior counsel, Liberty Justice Center

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• “The issue of digital tax remained unresolved Digital taxes were excluded from that pact and remain a primary source of friction between the US and the European bloc.” — Summary of EU-U.S. trade deal statements (PBS/Euronews)

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The EU-U.S. trade pact’s July 4 implementation deadline approaches, but digital-tax disputes remain unresolved. The administration could revive Section 301 investigations, which might generate targeted duties later in 2026 if Congress authorizes them. Any broad tariff would require new legislation, making congressional debate the likely next arena.

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