Trump Hitting French Handbags With 25 Percent Tariffs

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Count fashion as collateral damage in the growing trade battle between the U.S. and France.

The administration of President Trump said late Friday that it would impose 25 percent duties on $1.3 billion worth of French fashion goods, the response to a digital services tax in France that impacts companies such as Amazon, Apple, Google and Facebook.

When first proposed in December, the duties on French goods were set at 100 percent, so the result, while punishing for companies importing certain goods, was not as bad as it could have been. In December, the U.S. Trade Representative’s office declared a digital services tax in France was “unreasonable or discriminatory and burdens or restricts U.S. commerce.” The fix was to impose duties of 100 percent on some imports from France, including handbags, cosmetics, wine and cheese. Nate Herman, senior vice president for policy at the American Apparel & Footwear Association, said: “Our industry has absolutely nothing to do with the issue — a dispute between the U.S.

 

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