Space News from SpaceDaily.com
EU head tells FT it could tax US Big Tech if tariff talks fail
Brussels, Belgium, April 10 (AFP) Apr 10, 2025
Brussels could hit US Big Tech with taxes if negotiations fail to end Donald Trump's tariff war against the EU, the bloc's chief Ursula von der Leyen said in a Financial Times interview published Thursday.

Since the US president unleashed tariffs targeting steel and aluminium, cars, and finally a majority of imports from the European Union, the bloc has insisted it seeks a mutually beneficial agreement with Washington.

But now in her strongest comments yet, von der Leyen indicated that she was ready to step up her threats of retaliation and target American services if negotiations fall short.

"There's a wide range of countermeasures ," she said, if talks yielded no result.

"An example is you could put a levy on the advertising revenues of digital services" applying across the bloc, said von der Leyen, who raised the use of a new trade weapon called the anti-coercion instrument, according to the FT.

Dubbed a "bazooka", the weapon has never been used but empowers the EU to target services and could limit American companies' access to public procurement contracts in Europe.

Among the grievances fueling its tariff campaign against Europe, the US administration has complained about so-called non-tariff barriers that it argues unfairly hamper American exports.

In particular officials have taken umbrage at the bloc's value-added taxes (VAT) and stringent rules on tech, the Digital Markets Act and the Digital Services Act, which regulate tech competition and content moderation online respectively.

The tech laws were "untouchable", von der Leyen told the newspaper, and said the EU would not be open to negotiate on VAT, which applies to both domestic and imported goods.

While the interview laid down a series of red lines, von der Leyen has sent strong signals she wants the talks to be successful.

She announced earlier on Thursday that the bloc would put planned tariffs on US goods on hold "to give negotiations a chance" after Trump's U-turn on massive new duties, despite the fact that his previous levies on metals and cars remain in force, as does a baseline 10 percent tariff on all goods.


ADVERTISEMENT




Space News from SpaceDaily.com
Vast to Collaborate with CASIS on ISS Research Access
Chinese study reveals lower water content in lunar farside mantle
How alien energy patterns may reveal extraterrestrial life

24/7 Energy News Coverage
Using liquid air for grid-scale energy storage
GE Hitachi moves forward with UK SMR bid
Hopping gives this tiny robot a leg up

Military Space News, Nuclear Weapons, Missile Defense
Saltzman details Space Force's international partnership strategy at Space Symposium
Ukraine needs 10 more Patriot air defence systems: Zelensky
Hegseth cuts $5.1B in spending on 'wasteful' Pentagon consulting contracts

24/7 News Coverage
Missing nitrogen traced to deep Earth core in planetary formation simulations
EarthDaily Prepares to Launch Advanced Change Detection Satellite
'Hard on the body': Canadian troops train for Arctic defense


All rights reserved. Copyright Agence France-Presse. Sections of the information displayed on this page (dispatches, photographs, logos) are protected by intellectual property rights owned by Agence France-Presse. As a consequence, you may not copy, reproduce, modify, transmit, publish, display or in any way commercially exploit any of the content of this section without the prior written consent of Agence France-Presse.