The measure would involve a tariff implemented uniformly across the single market, unlike digital sales taxes, which are levied separately by individual member states, explained Von der Leyen.
Von der Leyen warned, “We are developing retaliatory measures,” which may involve the first application of the bloc's anti-coercion instrument, which has the authority to target services exports. Depending on how the negotiations unfold, this could lead to tariffs on services trade between the U.S. and the EU.
Last Thursday, the EU Commission suspended its planned response to U.S. steel and aluminium tariffs, citing the necessity of negotiations with Washington. These measures would have impacted approximately €21 billion ($23.90 billion) worth of U.S. imports, including items like orange juice, poultry and yachts.
If negotiations fail, the EU will reinstate retaliatory measures against the steel and aluminium tariffs by the U.S.. Von der Leyen also warned that additional countermeasures could target the U.S.’s large services trade surplus with the EU.
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