U.S. President Donald Trump is targeting digital taxes and other barriers placed on American tech companies, threatening retaliatory tariffs and export controls on nations that refuse to cooperate. While this is largely aimed at the EU and its Digital Markets Act, South Korean authorities are concerned that the country’s regulations might make it vulnerable if the White House follows through with its threats, as reported by Digitimes.
At the moment, Seoul has several laws that restrict and tax access to digital service providers. For example, it applies value-added tax on digital services, meaning foreign companies must remit taxes on digital sales they have made within the country. They also cannot export detailed mapping data, even if they’re an American company, because of national security concerns.
