Clashing with Macron! Trump threatens: If digital tax not canceled, will impose 100% tariff on French wine

Former U.S. President Donald Trump has issued a stark warning to France, threatening to impose a 100% tariff on all French wine and champagne imports if the country does not scrap its 3% digital services tax. The ultimatum was delivered ahead of the G7 summit scheduled to take place in Evian-les-Bains, France, this week.

Trump stated his demand directly: "I told President Macron not to tax American companies. If they insist on doing so, I have no choice but to impose a 100% tariff on all Champagne and wine coming from France."

The digital services tax, which French lawmakers approved in 2019, imposes a 3% levy on the gross revenues generated by major technology firms, including U.S. giants like Amazon, within France. This tax has been a point of contention between the two nations.

The threat of retaliatory tariffs escalates the ongoing trade dispute between the U.S. and France, adding another layer of complexity to the upcoming G7 discussions. The move signals a potential return to aggressive trade tactics by the former U.S. administration.

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I told President Macron not to tax American companies. If they insist on doing so, I have no choice but to impose a 100% tariff on all Champagne and wine coming from France.