The U.S. will consider applying additional tariffs to goods from the European Union in response to fines the 27-nation bloc has levied against U.S. tech firms.

The EU this week announced it would fine Alphabet's Google $1 billion for breaching digital competition rules -- the latest in a series of penalties for American tech firms in recent years. In response, President Trump said on Friday that he would direct his government to open a tariff investigation that could result in new levies on the EU.

"Please let this TRUTH serve to represent that we will immediately initiate a 301 Investigation into the practice of 'ROBBING' American Companies and, in turn, the American Taxpayer," Trump posted on Truth Social. He added that the EU would "pay a very big price for this illegal and highly unethical conduct," and that he anticipates "a substantial TARIFF to be placed on them at the earliest possible moment."

The investigation will be run by the U.S. Trade Representative's office under Section 301 of the Trade Act of 1974, which allows the president to impose tariffs on countries that discriminate against U.S. companies. Trump used the same provision to put tariffs ranging from 10% to 12.5% on U.S. trading partners this week over forced-labor concerns -- replacing temporary tariffs put in place after the Supreme Court invalidated many of his tariffs in February.

So-called Section 301 tariffs are more legally durable than tariffs that the Supreme Court struck down, which were based on a novel interpretation of presidential emergency powers. However, they require a lengthy investigation and comment process before levies can be imposed.

Most EU goods currently face a 10% tariff under Trump's forced-labor levies unveiled this week, while certain products like automobiles have a 15% tariff. When completed, additional tariffs could stack on top of the duties already in place.

Last year, Trump and European Commission President Ursula von der Leyen signed an agreement that capped U.S. tariffs on EU goods at 15%, but the deal left the issue of digital regulation unresolved. On Thursday, U.S. Trade Representative Jamieson Greer said that the EU action against Google put the agreement at risk, but signaled openness to negotiation if fines are removed.

Write to Gavin Bade at gavin.bade@wsj.com

(END) Dow Jones Newswires

July 24, 2026 14:32 ET (18:32 GMT)

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