Germany’s new Culture Minister of State, Wolfram Weimer, has revealed plans for a 10% tax on digital platforms such as Google and Facebook, in a move that could reignite transatlantic trade tensions just as Chancellor Friedrich Merz prepares for an expected visit to Washington.
In an interview with Stern magazine, Weimer accused the companies — notably Alphabet (Google) and Meta (Facebook) — of reaping billions in profits in Germany while contributing little in return.
“These corporations do billions in business in Germany… but they pay hardly any taxes, invest too little, and give far too little back to society,” he said.
While still in draft stages, the proposal signals the new German government’s willingness to confront the digital tax dilemma head-on, following in the footsteps of countries like France, Spain, India, and Canada.
Why It Matters:
- The tax would apply to revenue generated from digital services within Germany.
- It directly targets US tech giants — a recurring point of friction between the EU and the Trump administration.
- The US previously launched Section 301 investigations into similar digital levies and threatened retaliatory tariffs.
Trump has made it clear he opposes foreign digital taxes, calling them an attempt to “appropriate America’s tax base.”
“If Google, under pressure from Donald Trump, unilaterally renames the Gulf of Mexico to the Gulf of America… then we can see the kind of problems that lie within current structures,” Weimer said, criticizing what he sees as monopolistic and culturally dominant behavior.
Stock Market & Political Implications:
- Shares of Alphabet and Meta may face regulatory overhang in European markets.
- Could trigger another Section 301 investigation and tariff threats, especially as Trump seeks to defend US tech dominance.
- Signals growing European momentum to regulate Big Tech, which could influence broader tech valuations globally.
The German government has yet to officially back the proposal, but it reflects a larger political shift — with Berlin signaling it’s ready to assert more control over digital markets, even at the cost of a diplomatic spat.
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