economy
Macron shrugs off Trump threat to place 100% tariff on French wine
A new trans-Atlantic trade showdown is brewing as President Donald Trump threatens to impose 100% tariffs on French wine unless France abandons its digital tax on U.S. technology companies.
TL;DR
- Trump threatened a 100% tariff on French wine in response to France's digital tax on U.S. tech companies.
- The U.S. market is worth over $2 billion annually to French winemakers.
- Macron stated that France's laws are not decided by the U.S.
- France's digital service tax, targeting firms like Google and Apple, was established in 2019.
- A proposal to double the tax rate to 6% was later blocked by government ministers.