The US government announced Wednesday it is suspending for six months any punitive tariffs on Britain, India and four European nations while it works to resolve a dispute over digital services taxes.

US Trade Representative Katherine Tai testifies before the Senate Finance Committee on Capitol Hill in Washington, DC, on May 12, 2021. (File photo: AFP)

"The United States is focused on finding a multilateral solution to a range of key issues related to international taxation, including our concerns with digital services taxes," US Trade Representative Katherine Tai said in a statement.