On Wednesday, the United States had announced a 25 per cent tariff on more than $2 billion worth of imports from six countries such as Britain, Italy, Spain, Turkey, India alongside Austria over their digital taxation rules, however, had momentarily stalled the additional levies in a bid to offer times to continue international tax negotiations.
In factuality, office of USTR (United States Trade Representative) said earlier in the day that it approved an additional 25 per cent levies on imported goods of six countries after a “section 301” investigation had found that the countries’ digital taxation policies had been discriminating against the US-based tech titans.
Aside from that, the office of United States Trade Representative had added that the aforementioned countries would be met with an additional import tariffs unless international tax negotiations could find a solution to prevent the countries from inclining unilateral digital taxes.
US to incline 25% tariff on $2 billion worth of imported items
More importantly, latest US move came forth as a plausible threat of retaliation ahead of a two-day meet of G7 finance ministers scheduled to take place on Friday and Saturday in London, which would more likely to focus on digital taxation alongside a US proposal of a 15 per cent global minimum corporate tax.
In tandem, according to the office of USTR’s announcement, the United States would incline a 25 per cent tariff on roughly $887 million worth of imported items from Britain including footwear, cosmetics, clothing and overcoats, while another $386 million worth of goods from Italy including handbags and optical lenses would be subject to additional duties.
Besides, USTR has been set to impose an additional tariff on goods worth of $323 million from Spain, $118 million from India, $323 million from Spain alongside $65 million from Austria, the announcement added.