With visits to Paris this week and the United States the following week, EU Trade Commissioner Phil Hogan will try to avoid a new transatlantic trade dispute that a French tax on GAFA could generate.
The aim is to prevent imports from France from being subject to new targeted tariffs, following the Section 301 investigation launched by the US Trade Representative (USTR) into the French tax on digital companies (see EUROPE 12385/7, 12382/20).
In a letter sent on 3 January to Ambassador Robert Lighthizer, Paris called on Washington to listen to reason, urging it to work towards a solution satisfactory to all within the OECD framework.
This position is shared by the Commission, which on Monday 6 January reiterated its solidarity with France. “The EU will act and react to this and related matters as a single entity”, said a European Commission spokesperson, stressing that the Commission is coordinating closely with Paris on these issues. On Tuesday 7 January in Paris, Commissioner Hogan will meet with French Finance Minister Bruno Le Maire.
Hogan will then travel to Washington on 14-16 January, where he will meet with key players including Lighthizer, with whom he already met before Christmas. The issue of taxing companies in the digital sector is among the issues of mutual interest to be addressed during this visit, the Commission confirmed.
The institution also reiterated that it remains committed to the search for a stable solution at the global level and for the long term. “We are working with our international partners to achieve this goal and we are encouraged by the progress already made on this issue within the OECD”, the same spokesperson said. (Original version in French by Hermine Donceel with Marion Fontana)