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Trump Threatens Tariffs and Chip Export Limits Over Digital Rules as EU Pushes Back

Brussels says its digital laws reflect sovereign policy choices separate from ongoing tariff talks.

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La bandera de la Unión Europea ondea fuera de las oficinas generales del organismo en Bruselas, el jueves 21 de agosto 2025. (AP Foto/Virginia Mayo)

Overview

  • President Donald Trump warned on Truth Social that he would levy additional tariffs and restrict U.S. technology and chip exports against countries with digital taxes or regulations he says discriminate against American tech firms.
  • He did not name specific countries, but the remarks were widely interpreted as directed at European Union rules governing major platforms such as Google, Apple and Meta.
  • The European Commission said the EU has the sovereign right to regulate economic activity and stressed that digital regulation stands apart from its tariff agreement with the United States.
  • EU measures include the Digital Services Act and Digital Markets Act, which police online platforms and curb dominance with hefty penalties, and officials noted the framework applies regardless of a company's origin.
  • Several European countries, including France, Italy and Spain, as well as the United Kingdom, already apply a digital services tax, and no specific U.S. trade measures have been announced following the threat despite a recent U.S.-EU pledge to address unjustified digital trade barriers.