US agrees to hold off tariffs on French wine

The US President Donald Trump and French President Emmanuel Macron have agreed to hold the tariffs on French wine until the end of this year.

Wine cellar

Last December, the US government announced that it is planning to implement 100% tariffs on $2.4bn worth of French goods as a response to France’s digital services tax.

The tariff will be implemented on wine and other French products, such as Le Creuset Dutch ovens, Hermès handbags and Roquefort cheese, announced Trump.

US-based wine importers protest that Trump’s tariff decision on French wine will impact their livelihoods.

The digital service tax is aimed at American companies such as Google, Apple, Facebook and Amazon (GAFA).

The French government also previously announced it will be imposing a 3% tax on the annual revenues of the US-based technological companies.

However, recent discussions between the Presidents have reportedly calmed the situation to some extent.

According to French diplomatic personnel, who addressed various media agencies, Macron and Trump have agreed to hold the tariff implementation plans and focus on continuing negotiations on digital tax at the Organisation for Economic Cooperation and Development (OECD).

President Macron tweeted saying he had a ‘great discussion’ with President Trump and that the two countries would ‘work together on a good agreement to avoid tariff escalation.’

Currently, a 25% tariff has been implemented by the US government on French wine due to Airbus trade dispute.

Source: US agrees to hold off tariffs on French wine

NATO Summit: Trump slams Macron over NATO criticism

Trump used his first meeting at the summit to slam French President Emmanuel Macron.

LONDON — President Trump on Tuesday slammed as “very, very nasty” and “very disrespectful” recent comments by his French counterpart about the diminished state of the North Atlantic Treaty Organization alliance.

Referring to comments President Emmanuel Macron made last month in an interview with the Economist magazine — in which Macron described the “brain death” of NATO due to lack of American support — Trump attacked Macron during his first remarks on the first day of the NATO 70th anniversary summit in London, calling the comments “very insulting.” [ . . . ]

Continue at WASHINGTON POST: NATO Summit: Trump slams Macron over NATO criticism – The Washington Post

Trump could target French wine with tariffs

That bottle of French wine may be getting more expensive. 

That bottle of French wine may be getting more expensive.

President Trump said Monday that he plans to “do something” about the European Union tariffs imposed on American wine, saying the U.S. pays too much to export wine to France while the U.S. imposed low tariffs to import French wine.

“France charges us a lot for the wine. And yet we charge them very little for French wine,” the president told CNBC.com, adding that California winemakers have complained to him about the EU tariffs.

“So the wineries come to me and say…’Sir, we’re paying a lot of money to put our product into France, and you’re letting’ — meaning, this country is allowing — ‘these French wines, which are great wines, but we have great wines too — allowing it to come in for nothing. It’s not fair,”’ Trump said.

Source: Trump could target French wine with tariffs