(MENAFN) US President Donald Trump on Monday warned that countries maintaining digital taxes or regulations that he claims discriminate against American tech firms could face “substantial” new tariffs and stricter controls on semiconductor exports.

Digital services taxes (DSTs), adopted by numerous countries, are intended to generate revenue from major tech companies, including Meta, Alphabet, and Amazon. Trump has repeatedly argued that these measures unfairly target U.S. firms and has pressured trade partners to abandon them.

In a post on Truth Social, Trump criticized “Digital Taxes, Legislation, Rules, or Regulations,” asserting that the U.S. and its companies should no longer serve as the global “piggy bank” or “doormat.” He also claimed that such measures favor China’s largest tech firms and must end immediately.

The threat could heighten trade tensions with the UK and EU, despite recent agreements with Washington. U.S. officials have criticized Britain’s digital services tax and the EU’s Digital Services Act, which requires tech companies to regulate content more strictly. Countries including France, Italy, and Spain also maintain their own DSTs.

Digital taxes have become a key point of friction in Trump’s trade agenda. In June, he threatened to halt negotiations with Canada over a similar levy, which Ottawa eventually withdrew before it took effect. Advocates of DSTs argue the taxes are justified because large tech companies earn significant profits from local markets while paying little or no local tax.

MENAFN26082025000070015687ID1109977110