On Monday, the US Trade Representative (USTR) issued a notice proposing the imposition of up to a 100% tariff on $2.4 billion worth of French imports. This proposed tariff is the result of a Section 301 investigation which found that France's Digital Services Tax is unreasonable, discriminatory, and restricts US commerce. The full Section 301 report can be found here. USTR's preliminary list of goods subject to the tariff covered a wide range of French imports, including dairy and cheese products, makeup, handbags, and household goods.
USTR is soliciting comments regarding this action, including why products should be included or excluded from the final list. USTR is also inviting comments on possible fees or restrictions on services of France. Interested parties have until January 6, 2020 to file comments. There will also be a public hearing on January 7, 2020 (with requests to appear due on December 30, 2019). Post-hearing rebuttal comments will be due on January 14, 2020.
Steptoe's international trade team has been advising retailers on customer-related issues and would be happy to assist.
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