Trump to impose retaliatory tariffs on Canada, France over digital services taxes

WASHINGTON, Feb. 14 (Xinhua) -- As U.S. President Donald Trump signed an executive order for reciprocal tariffs on Thursday, his administration planned to impose tariffs on Canada and France over their digital services taxes on U.S. technology giants.

Trump assigned his economic team the task of creating a plan to impose retaliatory tariffs on any country that had imposed duties on U.S. exports.

In June 2024, Canada began imposing a tax to address the challenge of taxing digital giants like Google's parent company Alphabet and Amazon.com, which are able to book their profits in low-tax countries.

The White House sent out a fact sheet calling digital services taxes in Canada and France "unfair," with each country collecting over 500 million U.S. dollars annually from U.S. businesses.