Trump threatened France with 100% tariffs on wine and champagne

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 wine and champagne. The American leader called this move the only option if Paris refuses to repeal its digital tax, which directly affects the interests of leading U.S. tech giants. 

During a personal conversation with his French counterpart Emmanuel Macron, the U.S. leader issued a firm demand to eliminate the 3% sales tax which has been in effect in France since 2019 and taxes the local revenue of major American corporations such as Apple, the world’s largest marketplace Amazon, and Google’s parent company Alphabet. 

The American leader emphasized that to ease tensions with Paris, it would be enough to simply eliminate this tax on revenue. The introduction of restrictions could deal a severe blow to the European country, as the U.S. market accounts for one-fifth of the French wine industry’s total global sales, which amounts to more than two billion dollars annually.

The White House chief made this statement in a wide-ranging interview with the New York Post.

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