France: EU to target US online services after Trump tariffs

Sarhan Basem
Credit: Dimitar DILKOFF

Paris (Brussels Morning Newspaper) – In response to new US tariffs, the French government spokeswoman said that the European Union is “ready for a trade war” with the United States and intends to “attack online services.”

In an interview with broadcaster RTL, Sophie Primas said,

“We are pretty sure that we are indeed going to see an adverse effect on production,”

expressing particular concern about the “strong” impact on wine and spirits.

A day earlier, Trump revealed stinging tariffs on major trade partners, including China and the European Union, on what he called “Liberation Day”. Additionally, President Emmanuel Macron is scheduled to meet on Thursday with representatives from French sectors “affected by the tariff measures” declared by Trump, according to his office. The meeting will occur at 1400 GMT.

How is France preparing for a trade war with the US?

“We have a whole range of tools and we are ready for this trade war,”

she also said.

“Then we will look at how we can support our production industries.”

Trump “thinks he is the master of the world”, Primas said.

“It is an imperialist stance that we had somewhat forgotten about but which is returning with great force and great determination.”

The French government spokeswoman said the EU was planning a two-stage response, with “an initial response” to be put in place around mid-April concerning aluminium and steel. Then the EU will take action against “all products and services”, with the actions probably ready at the end of April, she said, saying this was still being examined.

“But we are also going to attack services. For example, online services, which are not taxed today but could be,”

Primas added.

The EU’s response could also concern “access to our procurement contracts”, she also said. 

Why is the French wine and spirits industry at risk?

The French association for wine and spirits exporters (FEVS) expressed that the US announcement “will have very serious repercussions for the French and European wine and spirits industry. ” They estimated that exports of French wines and spirits to the United States could decrease by roughly 800 million euros ($877 million), with total EU exports projected at 1.6 billion euros.

“This decline will significantly affect employment and the economy of the sector,” the association stated. They added that the measures will also have “a profoundly negative impact on American importers, wholesalers, and retailers. “

In 2024, France exported approximately 2.4 billion euros in wines and 1.5 billion euros in spirits to the United States, its largest export market. The FEVS highlighted “the significance of sustaining an open and constructive bilateral dialogue centered on a positive agenda regarding transatlantic trade matters.” Meanwhile, the CNAOC wine and spirits association projected that the new US tariffs could result in an impact of “several hundred million euros. “

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Sarhan Basem is Brussels Morning's Senior Correspondent to the European Parliament. With a Bachelor's degree in English Literature, Sarhan brings a unique blend of linguistic finesse and analytical prowess to his reporting. Specializing in foreign affairs, human rights, civil liberties, and security issues, he delves deep into the intricacies of global politics to provide insightful commentary and in-depth coverage. Beyond the world of journalism, Sarhan is an avid traveler, exploring new cultures and cuisines, and enjoys unwinding with a good book or indulging in outdoor adventures whenever possible.
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