Lates News

According to the New York Post, President Trump has warned that France is at risk of a new round of trade wars with the United States. Trump said he has directly warned French President Macron to abandon the 3% technology tax, otherwise facing devastating tariffs in the American market. The American market accounts for one-fifth of France's global wine industry sales, with annual sales exceeding $2 billion. Trump stated, "I told him not to tax American companies, and if he does, I have no choice but to impose 100% tariffs on all champagne and wine from France. Macron just needs to cancel the sales tax to avoid this pressure." France's digital services tax (often referred to as the "GAFAM tax") has been officially implemented since 2019. The tax imposes a 3% broad tax on local income generated by companies such as Alphabet, Amazon, Meta, and Apple in France. As the policy targets total revenue rather than profits, it has the most severe impact on American tech giants.