# US‑EU digital‑tax tariff standoff persists > Live situation record from CLSTR: https://clstr.news/situations/usfrance-wine-tariff-dispute > Updated: 2026-07-01T18:11:00.000Z. Sources: 242. Developments: 14. President Donald Trump reiterated on Truth Social on 28 June 2026 that any European nation adopting a digital services tax (DST) targeting U.S. tech firms will trigger an automatic 100 % tariff on all goods exported to the United States, superseding existing accords under Section 301 of the 1974 Trade Act. He cited France, Italy, Spain, the United Kingdom, Germany and other states pursuing DST rates of 2‑3 % of platform revenue. The European Commission replied that EU members retain the sovereign right to regulate economic activity and that the taxes are non‑discriminatory, stressing a multilateral solution within the OECD’s two‑pillar framework. NATO observers warned that the escalating dispute could strain trans‑Atlantic security cooperation. EU officials said the threat jeopardises the U.S.–EU Economic Prosperity Deal, due for full implementation in early July, which would eliminate U.S. tariffs on European industrial goods and seafood and contains safeguard clauses. Analysts note the standoff could revive a broader trade conflict and affect billions of dollars in trade flows, while polls show declining Trump popularity in Europe. On 1 July 2026, European Parliament member Brando Benifei rejected the White House warnings, defending the EU’s DST as a necessary measure against profit‑shifting by large digital companies, particularly American firms. Benifei’s remarks in Brussels underscored the EU’s resolve to maintain the tax despite Trump’s threat of punitive tariffs, keeping the dispute alive and raising the stakes for any forthcoming negotiations. ## Timeline ### 2026-07-01: EU digital services tax defended amid Trump threats EU MP Brando Benifei rejects US threats and defends the bloc's digital services tax aimed at big tech tax avoidance. 2 sources. https://clstr.news/cluster/eu-digital-services-tax-defended-amid-trump-threats ### 2026-06-29: Donald Trump vows 100% US tariffs on countries imposing digital services taxes Trump announced that any country imposing a digital services tax on US tech firms will face a 100% tariff on all its exports to the United States, threatening European agricultural trade. 2 sources. https://clstr.news/cluster/donald-trump-vows-100-us-tariffs-on-countries-imposing-digital-services-taxes ### 2026-06-29: France pushes EU-wide taxes on US tech giants to fund €2 trillion budget France urges the EU to tax US tech firms and other foreign polluters to raise about €400 bn for its €2 trillion budget, aiming to cut national contributions before the 2027 election. 2 sources. https://clstr.news/cluster/france-pushes-eu-wide-taxes-on-us-tech-giants-to-fund-2-trillion-budget ### 2026-06-28: Trump threatens 100% tariffs on EU goods over digital services tax Trump warned the EU that adopting a digital services tax on U.S. tech firms will trigger a 100% tariff on all European exports, a move the EU calls unjustified and a threat to transatlantic ties. 39 sources. https://clstr.news/cluster/donald-trump-threatens-100-tariffs-on-nations-taxing-us-big-tech ### 2026-06-27: President Donald Trump threatens 100% US tariffs on nations that levy digital services taxes President Trump warned that any country imposing a digital services tax on U.S. tech firms will face a 100% tariff on all U.S. imports, threatening existing US‑EU trade deals. 3 sources. https://clstr.news/cluster/trump-threatens-100-us-tariffs-on-countries-that-levy-digital-services-taxes ### 2026-06-26: Donald Trump threatens 100% US tariffs on European digital services taxes Donald Trump warned Europe of 100% US tariffs over digital services taxes, but a Supreme Court ruling has limited his tariff authority. 2 sources. https://clstr.news/cluster/donald-trump-threatens-100-us-tariffs-on-european-digital-services-taxes ### 2026-06-26: Donald Trump warns Europe of 100% tariffs over digital services taxes Donald Trump warned that any country imposing a digital services tax on U.S. tech firms will face a 100% tariff on all imports, raising fresh U.S.–EU trade tensions after a Supreme Court limit on his tariff‑pwo 4 sources. https://clstr.news/cluster/trump-threatens-100-tariffs-on-european-nations-imposing-digital-services-taxes ### 2026-06-26: Donald Trump threatens 100% tariff on EU nations over digital services tax Trump warned that any EU country adopting a digital services tax will face a 100 % U.S. tariff, sparking a possible trans‑Atlantic trade clash. 21 sources. https://clstr.news/cluster/trump-threatens-100-tariffs-on-nations-adopting-digital-services-taxes ### 2026-06-26: France refuses to repeal digital tax despite US threat of 100% tariffs Macron says France will not drop its 3% digital tax on U.S. tech firms, despite Trump’s warning of 100% U.S. tariffs on French products ahead of the G7 summit. 2 sources. https://clstr.news/cluster/france-refuses-to-repeal-digital-tax-despite-us-threat-of-100-tariffs ### 2026-06-25: Donald Trump threatens 100% tariffs on European nations adopting digital services taxes Trump warned on June 26 that any country imposing a digital services tax on U.S. tech firms will face a 100 % tariff on all exports, overriding existing trade deals and sparking EU backlash. 137 sources. https://clstr.news/cluster/donald-trump-threatens-100-tariffs-over-european-digital-services-tax ### 2026-06-21: Trump threatens 100% tariff on French wine over digital tax Trump warned France of a 100% U.S. tariff on wine unless its digital services tax on U.S. tech firms is removed, risking €9 bn in annual exports ahead of the G7 summit. 2 sources. https://clstr.news/cluster/trump-threatens-100-tariff-on-french-wine-over-digital-tax ### 2026-06-20: Trump threatens 100% tariffs on French wine and champagne over digital tax dispute President Trump warned he could levy 100% tariffs on French wine and champagne if Paris keeps its 3% digital tax on U.S. tech firms, threatening a $2 billion U.S. market. 2 sources. https://clstr.news/cluster/trump-threatens-100-tariffs-on-french-wine-and-champagne-over-digital-tax-dispute ### 2026-06-15: Trump threatens 100% US tariffs on French wine over digital tax Trump warned the US will levy 100% tariffs on French wine and champagne unless France scrapes its digital services tax on US tech giants, heightening US‑France trade tensions. 2 sources. https://clstr.news/cluster/trump-threatens-100-tariffs-on-french-wine-over-digital-tax-dispute ### 2026-06-15: Trump threatens 100% U.S. tariff on French wine over digital services tax Trump warned of a 100% tariff on French wine unless Paris drops its 3% digital services tax, raising stakes at the G7 summit and threatening $2 bn of U.S. wine trade. 32 sources. https://clstr.news/cluster/trump-warns-france-of-100-us-wine-tariffs-unless-tech-tax-is-dropped --- Cite as: US‑EU digital‑tax tariff standoff persists. CLSTR, https://clstr.news/situations/usfrance-wine-tariff-dispute