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‘Everything Is on the Table’: Germany Backs France in Threat to Tax US Tech Giants

by Riah Marton
in Innovation
‘Everything Is on the Table’: Germany Backs France in Threat to Tax US Tech Giants
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Image: bearevay/Envato Elements

The European Union is preparing to strike back at the United States after President Donald Trump imposed sweeping new tariffs on EU exports. French President Emmanuel Macron, European Commission President Ursula von der Leyen, and other top EU leaders have condemned the tariffs.

Tensions escalated after President Trump announced a sweeping 20% tariff on EU exports, alongside a 25% duty on European cars.

France pushes for big tech tariffs

French government spokesperson Sophie Primas made it clear that the EU’s retaliation will include digital services, directly targeting American tech giants like Google, Apple, Facebook, Amazon, and Microsoft (GAFAM).

“The second response will cover all products, and I want to stress this — services will be included,” Primas said in an interview with RTL radio. She added that the EU is prepared to use its “anti-coercion measures” to restrict American companies’ access to European markets if necessary.

Germany has signaled its support for France’s stance. Economy Minister Robert Habeck emphasized that “everything is on the table,” suggesting that Europe may impose new taxes on U.S. tech firms operating in the EU.

Macron: “brutal and unfounded”

President Macron didn’t mince words, slamming Trump’s tariffs as “brutal and unfounded.” Macron suggested that European companies should reconsider investments in the U.S. while the tariffs remain in place. “What would be the message of having major European players start investing billions of euros in the American economy at the moment when they are hitting us?” he asked.

The French leader also hinted that the EU may need to explore alternative trade partnerships to counterbalance the impact of US protectionism.

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EU leaders call for negotiations, but prepare to retaliate

European Commission President Ursula von der Leyen called Trump’s tariffs “a major blow to the world economy” and warned that further escalation could hurt millions of workers. While she stressed the need for negotiations, she confirmed that the EU is preparing “further countermeasures” if talks fail.

Spanish Prime Minister Pedro Sánchez criticized the US tariffs as “protectionist” and harmful to businesses on both sides of the Atlantic. Meanwhile, Germany’s outgoing Chancellor Olaf Scholz described them as “fundamentally wrong” and “an attack on global trade.”

Italy’s Prime Minister Giorgia Meloni expressed hope for an agreement with the US but acknowledged that a trade war would weaken Western economies. Belgium Prime Minister Bart De Wever urged caution.

“Stupidity should not be met with stupidity,” he said, though he agreed countermeasures are necessary.

EU finalizing retaliation plans

The European Commission has been careful not to rush into a response, but officials say countermeasures are expected soon. The EU is set to retaliate against Trump’s 25% tariffs on steel and aluminum on April 15 — two days later than initially planned due to negotiations with Washington. A broader response, including possible tariffs on tech and financial services, could be announced by mid-May.

EU leaders are still hoping to avoid a full-scale trade war, but patience is wearing thin. Talks with Washington are ongoing, but the EU is making it clear that it won’t hesitate to retaliate if needed.

Tags: BacksFranceGermanyGiantsTableTaxTechThreat
Riah Marton

Riah Marton

I'm Riah Marton, a dynamic journalist for Forbes40under40. I specialize in profiling emerging leaders and innovators, bringing their stories to life with compelling storytelling and keen analysis. I am dedicated to spotlighting tomorrow's influential figures.

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