BIARRITZ, FRANCE (AP) — The Latest on the summit of leaders from the Group of Seven democracies (all times local):
French officials say the U.S. and France are nearing a possible deal on taxing online powerhouses — and avoiding new tariffs on French wine.
Two officials said Monday that progress was made at a dinner Sunday night with U.S. Treasury Secretary Steven Mnuchin, France’s finance minister and other U.S. officials on the sidelines of the Group of Seven summit in Biarritz, France.
France introduced a 3% tax last month on French revenues of big tech companies like Google and Amazon, which currently pay next to no taxes on French sales.
U.S. President Donald Trump threatened retaliatory measures on French wine, which could be announced as soon as Monday.
Asked about the wine tariffs Monday, Trump said “it depends on the deal we work out on the digital tax,” which “We’re negotiating right now.”
The French officials said France would scrap its tech tax if an international tax deal on digital multinationals is in place by 2020 or 2021 — and could reimburse the companies if the international tax is lower than the French tax.
The officials spoke only on condition of anonymity because they could not be named publicly.
G-7 leaders are wrapping up a summit dominated by tensions over U.S. trade policies and a surprise visit by Iran’s top diplomat.
U.S. President Donald Trump and summit host French President Emmanuel Macron will finish off the three-day summit with a joint news conference Monday.
But first the leaders of the Group of Seven rich democracies — the U.S., France, Britain, Germany, Japan, Canada and Italy — are holding a string of meetings on climate change, how digitalization is transforming the world and other issues.
The troubled world economy is overshadowing the meetings in the French Atlantic resort of Biarritz.
Macron also took a big gamble by inviting the Iranian foreign minister to Biarritz,, hoping to secure a breakthrough in global tensions over Iran’s nuclear program.