adminPARIS. — French Economy Minister Bruno Le Maire warned the United States yesterday that any retaliation to France’s new digital services tax could “deeply and durably” damage relations.
Washington has threatened to impose duties of up to 100 percent on imports of champagne, handbags and other French products worth $2,4 billion after a US government investigation found the French tax would harm US technology companies. If the Americans decide to go ahead and impose sanctions against the digital tax . . . in this case we would retaliate,” Le Maire told France Inter radio.
“If there were to be sanctions, and it is a possibility that we will take sanctions, we would immediately contact the WTO (World Trade Organisation)”, he added.
Le Maire said he had sent a letter on the issue to US trade negotiator Robert Lightizer and was also going to discuss it with US Treasury Secretary Steven Mnuchin by phone. — Reuters.
Peter Tanyanyiwa
Online Reporter