Trump Threatens 100% Tariff on French Wine Over Digital Tax Dispute

President Donald Trump has threatened to impose a 100% tariff on French wine unless France repeals its digital tax on U.S. technology companies. In an interview with the New York Post, Trump warned French President Emmanuel Macron that the 3% tech levy could jeopardize billions of dollars in French wine exports to the U.S., which generates over $2 billion annually for French winemakers and represents about 20% of the industry's global sales. Trump made this statement prior to attending the G7 summit in Évian-les-Bains, France, where global leaders are discussing trade and economic policies. Macron responded by asserting that European or French law is not determined by the U.S. The digital service tax, implemented in 2019, imposes a 3% charge on revenues earned by major tech firms in France, including Google, Apple, Facebook, Amazon, and Microsoft. Tensions regarding this tax escalated in October when France's National Assembly voted to increase the rate to 6%, although this move was later blocked by government ministers.