Trump Threatens EU with Tariffs Over USD3.5B Google Fine

(MENAFN) U.S. President Donald Trump has warned the European Union (EU) of potential retaliatory measures, including higher tariffs, following a landmark antitrust penalty imposed on Google by EU regulators.

On Friday, the European Commission fined Google €2.95 billion ($3.5 billion) for allegedly exploiting its dominant position in the advertising market by promoting its own services over competitors, violating EU antitrust laws. According to officials, the company’s actions led to inflated fees, undermining rival companies and harming online publishers.

The Commission mandated that Google cease these “self-preferencing” practices, address conflicts of interest, and submit a compliance plan within 60 days to avoid further sanctions.

Trump condemned the fine on Truth Social, calling it “unfair” and “discriminatory.” He added, “Europe today hit another great American company, Google, with a $3.5 Billion Dollar fine, effectively taking money that would otherwise go to American Investments and Jobs.” Trump emphasized that the U.S. could not stand by as such penalties were levied against “brilliant and unprecedented American Ingenuity,” warning that he would initiate a Section 301 trade proceeding to nullify the fines if necessary.

Under Section 301 of the 1974 Trade Act, the U.S. can impose tariffs on foreign countries accused of harmful trade practices. Trump has repeatedly criticized the EU for imposing stricter privacy and antitrust regulations on American tech companies than those in place within the U.S.

This latest threat comes after Trump secured a trade deal with the EU earlier this year, which imposed a 15% tariff on most EU exports, while eliminating tariffs on U.S. industrial goods. The agreement was met with criticism from EU officials, who claimed it disproportionately benefitted the U.S.

Google, which reported $264.6 billion in advertising revenue for 2024, or 75.6% of its total income, rejected the ruling and vowed to appeal the fine. This penalty marks the fourth such fine the EU has imposed on Google since 2017. Additionally, Google faces a separate trial in the U.S. later this month, where a judge found the company guilty of holding illegal monopolies in the online advertising sector.

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