FX.co ★ France ready to fight back against latest US tariff threats

France is ready to respond strongly to the US threats to impose tariffs on French products. Tensions between the two countries are about to escalate. Looking back, French authorities introduced a digital tax on major US tech companies. Generally speaking, such a move on the part of France is regarded as a special measure against the major US tech giants. The new levy is aimed at the largest US companies such as Amazon, Apple, Facebook, and Google. They are going to be affected the most. France's new 3% tax is based on the revenue from digital services earned by companies this year. It applies to firms with more than 750 million euros income worldwide and 25 million euros in France. However, the US administration believes that this digital tax poses threat to national security. Meanwhile, French authorities do not consider it to be discriminatory in regards to the US and do not understand why it has triggered such an enormous controversy. The White House found these arguments unconvincing and prepared to retaliate. Thus, US president Donald Trump threatened to impose additional tariffs on imports of 63 French products worth $2.4 billion.