Donald Trump revives 100% tariff threat against countries imposing digital services tax
Donald Trump has once again revived his tariff threats, warning that any country that imposes a digital services tax on American companies will be hit with a 100% tariff on all goods.
He said in a social media post that the new tariff would supersede any trade deals with the US.
“Numerous European Countries have been discussing the imminent implementation of a Digital Services Tax on American Companies,” Trump wrote. “Some of these Countries are close to actually doing this. Please let this statement serve to represent that any Country that imposes such a Tax will immediately be met with a 100% TARIFF on any and all Goods sent to the United States of America.
“This TARIFF will supersede Trade Deals made with the Country, whether implemented, signed, or not,” he added. “Additionally, the 100% TARIFF will be immediately imposed, if they proceed.”
Last month, the US trade court ruled against Trump’s latest attempt at a 10% global tariff, finding across-the-board tariffs were not justified under a 1970s trade law. But courts striking down his tariffs have done little to discourage his threats, as earlier this month he threatened tariffs of between 10% and 12.5% on 60 trading partners including the UK, the EU and Australia over alleged forced labor failures.
Key events
Texas makes Bible passages required reading for millions of public school students
Marina Dunbar
The Texas education board has approved a broad new statewide reading list that, for the first time, will make passages from the Bible required reading for more than 5 million public school students.
Under the new initiative, Bible stories will become mandatory reading for millions of public school students in addition to a more standard collection of books, renewing debate over growing efforts in the US to increase the role of religion in classrooms.
The rollout will be staggered, starting with elementary school students in 2030.
The Republican-controlled Texas state board of education gave final approval to the plan during a vote today. Last year, Texas became the largest state to require the Ten Commandments to be displayed in every classroom.
House speaker Mike Johnson will officially transmit the bipartisan housing bill to the White House on Monday, NBC News is reporting citing two people with direct knowledge of the process, after Donald Trump decided to hold the landmark bill hostage earlier this week.
Johnson said yesterday, after a lengthy meeting with Trump, that he would be “transmitting the housing bill to the White House” but did not specify when that would take place (see my earlier post).
It remains unclear whether this means Trump will also sign the bill on Monday, or indeed if the president plans to sign it at all. Once the bill is officially transmitted, it triggers a 10-day clock for the president to either sign or veto the legislation, or it becomes law at the end of that window.
David Smith
Earlier I was at the Washington Hilton hotel, where Donald Trump made his first appearance since being rushed off stage after a failed assassination attempt at the White House Correspondents’ Association dinner in April.
Security was unsurprisingly tight. Roads were closed and police vehicles conspicuous as I approached the hotel, which is hosting the Faith & Freedom Coalition’s annual Road to Majority conference. Just as in April, I went down an escalator and stood in line for airport-style metal detectors operated by the Secret Service.
I emptied my pockets as usual and noticed the officer seemed especially diligent in rummaging through my bag and asking me to turn on my laptop to ensure it was real. But ultimately the people in front of and behind me seemed to pass through without trouble.
The hotel’s vast underground ballroom has patriotic red, white and blue lighting. I could see the spot where I dived for cover under a dining table the night shots were fired when Cole Allen allegedly stormed a security checkpoint with a shotgun, a handgun and several knives.
This time there were rows of seats for delegates at this event for religious conservatives, where speakers have included House speaker Mike Johnson and treasury secretary Scott Bessent. Trump himself took the stage just before 2pm ET.
“I remember this place not so long ago,” he quipped. “Hopefully, we’ll have a little more pleasant – we’re going to have a little more pleasant experience.”
Trump calls democratic socialist victories in New York ‘most serious threat to US in its history’
In bizarre, hateful remarks earlier at the Faith and Freedom Coalition event, Donald Trump rambled for some time about the democratic socialist candidates who swept primary elections in New York earlier this week, calling them (wrongly) “ruthless communists” and branded the leftist wave in the Democrat party “the most serious threat to our country in its existence”.
At the same time he boasted that he “would be the greatest communist in history” but said it would lead to Americans living in squalor, railing against the leftists who “hate” America.
I looked at some of the people that got elected the other night in New York. These are in many ways stupid people, in some ways, and intellectually probably pretty smart, but they’re people that want to destroy our country.
They hate our country, they hate our people, they hate the Democrat party. The Democrat party is in big trouble, because this isn’t stopping with New York.
The president added:
It’s ironic we’re celebrating a very important birthday … 250 years, and instead of speaking about Christ and freedom and victories of all different kinds, we’re speaking about yet another threat to the foundations of America.
Among the wild (false) claims he made, Trump said “the hardcore, godless communists” would “take American down” by targeting churches and Christians, turning buildings into “ghettos and slums”, and that everyone would leave New York, and that this would spread across the country “like an uncontrollable cancer” and leave the United States a “third-world country”.
Netanyahu also said that Lebanese civilians displaced from the so-called “security zone” that Israeli forces are occupying in southern Lebanon will not be allowed to return home after a new deal was announced with Lebanon and the US.
“We are maintaining the original security zone at all times, outside the range of anti-tank fire. We are not allowing Hezbollah to enter it, nor are we allowing the civilian population to enter,” Netanyahu said.
Israeli prime minister Benjamin Netanyahu has said that Israel would remain in the parts of southern Lebanon it is occupying until Hezbollah disarms, shortly after the announcement in Washington of a framework agreement between Israel, the United States and Lebanon.
“The most important thing is, first of all, that Israel remains in the security zone in southern Lebanon. This is a major achievement, and we will maintain it as long as Hezbollah has not disarmed,” Netanyahu said in a pre-recorded video shared with Israeli media.
Netanyahu added that Israel’s military would also allow the Lebanese army to control territory in “two pilot areas”, one south of Lebanon’s Litani River and another north of it.
Israel’s airstrikes and ground invasion has killed more than 4,000 people in Lebanon and displaced more than a million.
Gavin Newsom urges a national ‘billionaires’ tax’ while fighting one in California
Nick Robins-Early
California’s governor, Gavin Newsom, has called for a national “billionaires tax” as he fights a ballot measure targeting the ultra-wealthy in his home state.
Newsom, who is expected to run for president in 2028, published his proposal the day after California officials certified a ballot proposal to levy a one-time 5% tax on residents worth more than $1bn. The proposal, called the California Billionaire Tax Act, was brought by the Service Employees International Union-United Healthcare Workers West (SEIU-UHW) and would fund the state’s healthcare, education and food assistance programs.
The proposal has received more than 1.55m signatures, but has spurred intense pushback from the state’s richest residents as well as several other prominent labor unions.
Newsom strongly opposes the measure, arguing it will hurt the state’s economy.
In his Substack post today, Newsom expanded on his opposition and framed it as an ineffective solution. “I understand the anxiety driving the wealth tax proposal in California. But I’m voting no because this measure dedicates almost all of the revenue it raises to a single category of state spending,” Newsom wrote.
Newsom argued that a state-level billionaire tax would be easily dodged by wealthy people who are able to move their assets to other states. Already, several billionaires, including Google co-founder Larry Page, have either threatened to leave California or made efforts to cut ties with the state.
“You may not be able to pick up and move to Texas or Florida to shelter your income from taxation, but I promise you that billionaires can, and do,” Newsom wrote. “Wealth is movable, and it shops for the state with the lowest taxes. The fight belongs at the federal level, where this broken system was created in the first place.”
In today’s announcement, Newsom offered a counterproposal, a new national tax policy, rather than a state-by-state system. He proposed a minimum tax on anyone with a net worth above $100m. He also wants to make it illegal for the wealthy to borrow against their stock portfolios to fund their luxury lifestyles tax-free.
More on this story here:
Israel, Lebanon and US sign trilateral framework agreement in Washington
Israel, Lebanon and the United States have signed a trilateral framework agreement aimed at paving the way for a peace deal to end the ongoing hostilities.
“We are happy to announce a framework agreement between the sovereign government of Lebanon and of course the government of Israel, with a mediation and support of the United States of America,” US secretary of state Marco Rubio said at the signing ceremony.
The agreement “begins to put in place a framework for lasting peace and security”, Rubio added.
I’ll bring you more on this as I get it.
Leon Black accused of stonewalling Congress as Epstein hearing ends abruptly
Victoria Bekiempis and Anna Betts
Billionaire financier Leon Black’s testimony before a House committee investigating Jeffrey Epstein ended abruptly this morning after members from both parties said Black refused to answer questions about non-disclosure agreements.
James Comer, the Republican who chairs the committee, told reporters that the committee had already issued two subpoenas to Black on Friday – one demanding he produce any non-disclosure agreements, and another to appear again before the committee next month.
Speaking to reporters outside the room, Comer said that “the NDAs are between him and other women” and that the committee wants to know “was Jeffrey Epstein involved in the NDAs? Was he involved in writing? Was he involved in awarding funds to the women for the NDAs? … What was the reason for the NDAs? We want to know everything about the NDAs.
“During today’s voluntary transcribed interview, Mr Black stated he wouldn’t answer questions about NDAs,” Comer said. “Answers about the terms and substance of these NDAs are critical to our investigation. For this reason, today I issued subpoenas to Mr Black for NDAs and to appear for a deposition in the near future.”
Representative Robert Garcia, the top Democrat on the committee, told reporters that he supports Comer’s subpoenas. “The NDAs are central to us understanding what actually happened,” Garcia said.
Black’s lawyers said in a statement the committee’s move was a political stunt. “Mr Black came here voluntarily to assist the committee. This was nothing more than a planned political stunt. Mr Epstein had no involvement with any NDAs, whether they exist or not,” said Susan Estrich, an attorney for Black.
The interview this morning was conducted behind closed doors, though the committee is expected to release a transcript at a later date, as it has done with previous interviews.
“Of all the witnesses that have come thus far, this one has the potential to be the most groundbreaking deposition in my opinion,” Comer told reporters this morning before the hearing began.
Black, the former Apollo Global Management CEO, has faced questions over his past ties to Epstein for years, with scrutiny intensifying after the justice department released millions of records related to Epstein late last year and earlier this year. In 2021, Black stepped down as chairman and chief executive of Apollo Global Management.
According to a report commissioned by Apollo several years ago, Epstein provided financial services to Black between 2012 and 2017. After Epstein pleaded guilty to Florida state prostitution charges in 2008, including procuring a minor, Black became Epstein’s largest client, paying him a total of roughly $170m in fees, according to an investigation by the Senate finance committee. Black has described his work for Epstein as tax and estate-planning services.
Here’s the full report:
Hours before the two met at the G7 summit last week, French president Emmanuel Macron said France would not give in to pressure from Donald Trump to scrap its digital tax on large US tech companies.
Before setting off for the summit in France, Trump had warned that the US would “have no choice” but to apply 100% tariffs on French wine unless Paris eliminated its digital tax, but his latest threat changes the target from wine to all goods.
France has applied a 3% levy since 2019 on revenue from digital services earned by companies with revenues of more than €25m (~$28.5m) in the country and €750m (~$850m) worldwide.
Donald Trump revives 100% tariff threat against countries imposing digital services tax
Donald Trump has once again revived his tariff threats, warning that any country that imposes a digital services tax on American companies will be hit with a 100% tariff on all goods.
He said in a social media post that the new tariff would supersede any trade deals with the US.
“Numerous European Countries have been discussing the imminent implementation of a Digital Services Tax on American Companies,” Trump wrote. “Some of these Countries are close to actually doing this. Please let this statement serve to represent that any Country that imposes such a Tax will immediately be met with a 100% TARIFF on any and all Goods sent to the United States of America.
“This TARIFF will supersede Trade Deals made with the Country, whether implemented, signed, or not,” he added. “Additionally, the 100% TARIFF will be immediately imposed, if they proceed.”
Last month, the US trade court ruled against Trump’s latest attempt at a 10% global tariff, finding across-the-board tariffs were not justified under a 1970s trade law. But courts striking down his tariffs have done little to discourage his threats, as earlier this month he threatened tariffs of between 10% and 12.5% on 60 trading partners including the UK, the EU and Australia over alleged forced labor failures.
Donald Trump is blaming Iran for the drone strike on a ship in the strait of Hormuz Friday morning, calling it a “foolish violation” of the ceasefire agreement.
“The Islamic Republic of Iran shot at least four One Way Attack Drones at Ships transversing the Strait of Hormuz,” Trump wrote on his Truth Social platform. “One of the Drones solidly hit the upper deck of a large and very expensive Cargo Carrying Ship. Damage was done, but the Ship was able to proceed on its way. We knocked down three other Drones. Obviously, this is a foolish violation of our Ceasefire Agreement.”
Earlier, a United Nations agency paused the evacuation of ships through the strait after the British military said a vessel was hit by a projectile off the coast of Oman following the passage of several tankers that used a route backed by the UN.
Also speaking after the guilty plea, John Bolton’s lawyer, Abbe Lowell, compared the case to the 2023 indictment of Donald Trump, which accused him of illegally retaining dozens of boxes of classified documents at his Mar-a-Lago estate after his first term.
The judge overseeing the case against Trump, Aileen M Cannon, dismissed those charges before it went to trial, ruling that the special counsel who brought the prosecution (Jack Smith) had been improperly appointed.
Bolton “did what real leaders do. He took responsibility for a mistake he made,” Lowell said. “By contrast, President Trump thumbed his nose at the classified information laws, took actual classified documents to his Florida mansion, interfered with the investigation of that conduct, and has never accepted any accountability for his conduct.”
Bolton, he added, “kept a record to preserve history, but Donald Trump kept secrets to serve himself.”
Acting deputy assistant attorney general Hayden O’Byrne told reporters that “today’s plea should be a warning to anyone, at any level of government, that if you leak America’s secrets or if you mishandle them, the US Department of Justice National Security Division and our US Attorney partners will be there to prosecute you.”