Trump Threatens 100% Tariff on French Wine and Champagne Over Digital Tax Dispute
Washington, June 15, 2026: U.S. President Donald Trump has threatened to impose a 100 percent tariff on French wine and champagne in retaliation for France’s digital tax on major American technology companies. The warning comes ahead of the upcoming G7 Summit in France.
In an interview with the New York Post, Trump said he had urged French President Emmanuel Macron not to levy taxes on U.S. technology firms. He warned that if France continues to collect the tax, his administration would have no choice but to impose a 100 percent tariff on all champagne and wine imported from France into the United States.
The dispute stems from France’s decision in 2019, during Trump’s first presidential term, to introduce a 3 percent digital services tax on the revenues of major American technology companies, including Google, Apple, Facebook and Amazon. The tax generates approximately $700 million in annual revenue for France.
By contrast, the United States remains one of the largest export markets for French wine and champagne, with annual sales valued at roughly $2 billion. Industry observers warn that a 100 percent tariff could significantly affect France’s renowned wine sector.
Recently, the lower house of the French Parliament voted in favor of increasing the digital tax rate from 3 percent to 6 percent. However, French ministers reportedly blocked the proposal amid concerns over potential economic retaliation from the United States.
Analysts note that completely abolishing the tax would also carry political risks for the French government, as many voters remain concerned about the growing influence and market dominance of large American technology firms.
Technology policy experts argue that Trump has increasingly used trade measures as a tool to defend the interests of major U.S. technology companies on the global stage. They point out that Canada withdrew its own digital tax initiative in 2025 following pressure from Washington. However, several countries, including the United Kingdom, continue to maintain their digital services taxes.
While some trade experts believe international trade regulations could make it difficult to fully implement such tariffs, the issue is expected to be a major point of contention when Trump and Macron meet during the upcoming G7 Summit.
DBTech/BMT/OR
