Donald Trump has reportedly threatened France again with tariffs on its wines and Champagnes if it does not remove a digital tax on large US tech companies.
Media reports suggested Trump has directly warned French President Emmanuel Macron and called on him to get rid of the country’s 3% digital services levy or else face a 100% tariff on its wines and Champagnes imports to the US.
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France has ordered large US tech companies to pay a 3% digital services tax on their revenues generated in the country since 2019.
The levy applies to companies with revenues of more than €750m ($870.7m) globally and of €25m earned from services provided in France.
“I asked him not to charge American companies and, if they do, I have no choice but to charge a 100% tariff on all champagnes and all wines coming out of France,” Trump said in an interview with The New York Post.
“All [Macron] has to do is get rid of the sales tax and he wouldn’t have that kind of pressure.”
When approached by Just Drinks on the matter, a White House official said: “The President has been unequivocally clear on digital services taxes and other forms of extortion against American tech firms. The administration is committed to using the many legal authorities at our disposal to defend American workers and businesses.”
Just Drinks has also asked the Élysée for comment.
The President’s comments come ahead of the G7 summit, which is taking place in France this week.
The European wine trade association Comité Européen des Entreprises Vins said it had no comment to share on the news when approached by Just Drinks.
Wines and spirits entering the US from the EU have been subject to a 15% tariff since August.
Trump had already threatened France with 200% tariffs on its wines and Champagnes in January in an effort to persuade Macron to join his ‘Board of Peace’.
The new body was set up to solve global conflicts, such as the war in Gaza, and will be chaired by the US President.
However, Macron was reportedly set to reject an invitation to join the initiative, his office told Reuters at the time.
In a video interview, broadcast by Reuters in January, Trump was asked about his response to Macron declining the invitation.
He said: “Did he say that? Well, nobody wants him because he’s going to be out of office very soon.
“If they feel, like, hostile, I’ll put a 200% tariff on his wines and Champagnes and he’ll join. But he doesn’t have to join.”
