US-France DST tensions may spark wider EU trade war

Abstract

The US Trade Representative (USTR) proposed additional duties of up to 100% on French goods and additional fees and restrictions on French services yesterday on December 2 after determining from its investigation under Section 301 of the US Trade Act that the French DST is discriminatory against US companies. “The USTR is focused on countering the growing protectionism of EU member-states, which unfairly targets US companies, whether through digital services taxes or other efforts that target leading US digital services companies,” said Robert Lighthizer, head of USTR. A public hearing is scheduled for January 7 2020 at the US International Trade Commission in Washington on the investigation into France’s DST and proposed US actions.