Economy News - Baghdad
The United States on Monday threatened to raise tariffs by 100 percent on French goods worth 2.4 billion dollars in response to Paris's imposition of Internet giants Google, Amazon, Facebook and Apple taxes that Washington deems discriminatory.
The increase in tariffs could extend to wine and cheese from mid-January after a report by the US Trade Representative's Office said French taxes known as "gava" (the first letter of big companies Google, Amazon, Facebook and Apple) punished US digital giants.
The US Trade Representative, Robert Lapthezer, warned that Washington is considering the possibility of expanding the investigation to consider similar taxes imposed by Austria, Italy and Turkey.
GAVA is levied on big companies in the sector, but it is not about their enhanced profits in weak tax countries such as Ireland, but rather the turnover, pending adjustment of rules at the OECD level.
For this increase to take effect, it would require the approval of the US president, which could deepen divisions with the EU.
The threat was launched on the eve of a meeting between Trump and his French counterpart Emmanuel Macron, on Tuesday, in London on the sidelines of the NATO summit.