U.S. Threatens Tariffs On Six Countries Over Digital Services Taxes


U.S. Trade Representative Katherine Tai on Wednesday said the U.S. will slap trade tariffs on six countries after an investigation by her office concluded their digital services taxes unfairly discriminate against U.S. businesses – but the tariffs won’t take effect for six months as she seeks to negotiate a resolution to the dispute.

Key Facts

Tai said in a statement that a Section 301 investigation into the taxes, launched by the Trump administration in June 2020, concluded “additional tariffs on certain goods” should be levied on Austria, India, Italy, Spain, Turkey and the U.K. 

But Tai said the tariffs will be suspended for 180 days so that an international deal can be negotiated.

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