US President Donald Trump threatens to impose 100% tariffs on French wine and champagne unless France drops its digital services tax (DST). Multiple outlets report that Trump’s demand is linked to France’s 3% DST, imposed in 2019, which applies to large technology firms that earn revenue within France. Reports describe the DST as targeting companies with global revenues above a specified threshold and France-based revenue above a minimum, and note that it affects major US tech companies.
Coverage also places the warning ahead of the Group of Seven (G7) summit in France, with CNBC and others saying Trump delivered the threat in the run-up to the meeting in Évian-les-Bains. The Quartz report says Trump told French President Emmanuel Macron to scrap the DST or face duties on an estimated $2 billion in annual French wine exports to the US.
The New York Post reports the threat in an “exclusive,” citing a senior source associated with Macron and asserting the issue is no longer “up for debate,” while a US official disputes that characterization. France 24 adds that Macron has ruled out dropping the tax, according to its reporting.
