US President Donald Trump has promised to retaliate against France for adopting a pioneering tax on internet giants such as Google, Amazon and Facebook.
He also managed to take a shot at French wine. Mr Trump, who does not drink, tweeted: “I’ve always said American wine is better than French wine!”
The tax primarily targets companies that use consumer data to sell online advertising.
France just put a digital tax on our great American technology companies. If anybody taxes them, it should be their home Country, the USA. We will announce a substantial reciprocal action on Macron’s foolishness shortly. I’ve always said American wine is better than French wine!
— Donald J. Trump (@realDonaldTrump) July 26, 2019
Mr Trump said that if anybody taxes American technology companies, it should be their home country.
He added, referring to French President Emmanuel Macron: “We will announce a substantial reciprocal action on Macron’s foolishness shortly.”
The tax is designed to stop multinationals from avoiding taxes by setting up headquarters in low-tax EU countries.
Currently, the companies pay nearly no tax in countries where they have significant sales.