It becomes very hard to tariff intangible services like those provided by tech, or financial securities.
If the datacenter is in the EU and that EU data center is servicing EU does it get tariffed? I think they should just do shit like requiring certain infrastructure and job investments in the EU or pay higher tax rates on revenue.
Current US tax policy, GILTI and FDII already kinda incentivize offshoring for multinational companies based in the US. Companies that deal largely in intangible good are already outsourcing jobs. EU forcing them to speed up this process puts both Trump and the multinational companies in a double bind.
Neither can really make a move in their best interest without pissing the other off.
It becomes very hard to tariff intangible services like those provided by tech, or financial securities.
If the datacenter is in the EU and that EU data center is servicing EU does it get tariffed? I think they should just do shit like requiring certain infrastructure and job investments in the EU or pay higher tax rates on revenue.
Current US tax policy, GILTI and FDII already kinda incentivize offshoring for multinational companies based in the US. Companies that deal largely in intangible good are already outsourcing jobs. EU forcing them to speed up this process puts both Trump and the multinational companies in a double bind.
Neither can really make a move in their best interest without pissing the other off.