U.S. May Tax French Goods; France Ready To Retaliate

France is preparing to retaliate against the U.S. due to proposed tariffs on $2.4 billion worth of French goods, including champagne and cheese. The conflict arises from France's new digital service tax, which imposes a 3% tax on revenues of large tech firms operating in France. The U.S. argues this tax discriminates against American companies like Facebook, Google, and Amazon. As Washington considers implementing tariffs, it also plans to investigate similar taxes in Austria, Italy, and Turkey.

What prompted France to consider retaliatory measures against the United States?

• France was excluded from a trade agreement.

• The U.S. banned French imports.

• The U.S. imposed tariffs on French goods.

• France was accused of currency manipulation.

What is the primary focus of France's new digital service tax?

• Profits of all foreign companies.

• Sales of physical goods in France.

• Revenues of tech firms exceeding a certain threshold.

• Income generated by tech firms.

Which companies are most affected by France's digital service tax?

• Pharmaceutical companies.

• Tech firms like Facebook, Google, and Amazon.

• Automobile manufacturers.

• Energy providers.

What was the conclusion of the U.S. investigation into France's digital tax?

• It has no impact on international trade.

• It benefits European companies.

• It supports U.S. companies.

• It discriminates against U.S. companies.

Which other countries might face U.S. investigations for similar digital taxes?

• Germany, Spain, and Portugal.

• Austria, Italy, and Turkey.

• Belgium, Netherlands, and Luxembourg.

• Sweden, Norway, and Denmark.