President Donald Trump posted on Truth Social Friday that he’ll impose a 100% tariff on goods from any country that levies a digital services tax on American companies — language broad enough to immediately capture France, Denmark, and Portugal, which already have such taxes in place.
The post didn’t mince words: “This TARIFF will supersede Trade Deals made with the Country, whether implemented, signed, or not.” That clause matters because the 2025 EU-U.S. deal that capped most European tariffs at 15% left digital services taxes unresolved. Trump is explicitly overriding his own agreement.
France isn’t backing down. Macron said last week he won’t scrap France’s digital tax, and Trump had already threatened a 100% tariff on French wine earlier this month as a separate warning shot. The EU’s response Friday was blunt: “Unilateral measures targeting such legitimate policies are unjustified. If pursued, the EU will respond swiftly and decisively to defend its rights and regulatory autonomy.”
Here’s the structural problem. SCOTUS ruled 6-3 in February 2026 that the International Emergency Economic Powers Act doesn’t authorize tariffs, eliminating the statute Trump used for his reciprocal tariffs. The authority behind his current 10% global tariff has a 150-day cap. CNBC reported Friday that no one in the administration has identified what law would carry a new 100% rate, and any country that moves forward with a digital tax will likely face a court challenge before the tariff takes effect.
Poland is preparing digital services tax legislation, and other European countries have been weighing similar moves for years.
Trump has named no statute and set no response deadline. Europe moves next.
James Okafor