Macron responded to Trump's threats to raise tariffs on French wine

French President Emmanuel Macron has stated his intention to hold a “respectful but firm” discussion with his American counterpart, Donald Trump, during a one-on-one meeting on the sidelines of the G7 summit. The impetus for the upcoming talks was the U.S. leader’s public threats to impose 100% tariffs on imports of French wines and champagne if Paris refuses to repeal the digital services tax on Silicon Valley companies. 

Commenting on the White House’s harsh ultimatums ahead of the G7 summit, Macron firmly stated that the establishment and regulation of digital taxes are exclusively an internal matter for European countries, not the United States. 

He emphasized that this legislative levy has already been approved by Europeans, successfully implemented in several countries, and is an integral part of current European and French legislation. The French leader added that stability in trade relations is of paramount importance, and that the introduction of any new tariffs, especially between G7 partner countries, would not benefit either side.

The main reason for Washington’s economic pressure is the 3% tax on revenue from digital services that has been in effect in France since 2019. This law applies to large technology companies whose annual revenue exceeds €25 million within France and €750 million on the global market. This issue is sensitive for Trump, who is actively supported by the leaders of many American tech giants. Last year, due to similar intense pressure from the U.S. administration, Canada even had to completely abandon the idea of introducing such a tax to protect its large-scale trade negotiations with Washington.

The French head of state made this statement while speaking with journalists in Evian, according to BFMTV.

U.S. President Donald Trump warned France of the risks of starting a new trade war and threatened to impose 100% tariffs on all imports of French wines and champagne. The American leader called such a move the only option if the French government refuses to repeal its digital tax, which directly affects the interests of leading U.S. tech giants.

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