Here’s a rewritten version of the article:
—
The European Union is considering measures to strike back at the United States in response to the latest round of tariffs introduced by former U.S. President Donald Trump — and digital services could be among the targets.
Last week, a French government spokesperson suggested that digital services, which are currently untaxed, might be included in Europe’s countermeasures. That proposal faced immediate and strong opposition from Ireland, home to the European headquarters of many major American tech companies, including Apple, Google, and Meta.
European Commission President Ursula von der Leyen has already pledged to respond firmly to Trump’s new tariffs. Technology is emerging as a likely area for retaliation, especially given that the EU maintains a €157 billion trade surplus in goods but runs a €109 billion deficit in services, particularly digital services — an area heavily dominated by U.S. Big Tech firms like Amazon, Microsoft, and others.
French Economy Minister Eric Lombard warned that escalating trade tensions could have serious consequences for France’s economy. In an interview with BFMTV/RMC on Friday, he said the trade war could hamper efforts to reduce the country’s already high budget deficit. “Tax revenues would likely drop, and GDP would fall short of forecasts, worsening the deficit,” he explained.
French Prime Minister François Bayrou echoed those concerns over the weekend, stating that Trump’s protectionist policies could shave more than half a percentage point off France’s GDP. In an interview with Le Parisien, he emphasized the broader risks: “The potential for job losses is substantial, as are the dangers of economic slowdown and investment stagnation. The impact of Trump’s decisions could reduce our GDP by over 0.5 percent.”
With tensions rising across the Atlantic, Europe appears poised to defend its economic interests — and tech giants could find themselves at the center of the fallout.
Leave a Reply