Press Releases

WASHINGTON—Congressman Ron Estes (R-Kansas) applauded an announcement today that the U.S. will launch an investigation under Section 301 of the Trade Act of 1974 into a proposed French digital services tax (DST) aimed at global technology companies. The 301 investigation will give U.S. Trade Representative Robert Lighthizer up to one year to investigate whether France’s digital tax would hurt U.S. technology companies, opening the door for retaliatory action from the U.S. Today’s announcement follows a letter Rep. Estes sent to President Donald Trump on June 27, urging the administration to combat the French government’s prospective implementation of a DST.

“France’s DST will unfairly target American companies and creates a dangerous precedent that will hurt jobs and innovation in the future,” said Rep. Estes. “I strongly urge French officials to abandon implementing the unprecedented DST and applaud the investigation into the negative impacts of this policy. As I recently wrote to President Trump, I recommend the administration use any and all tools at our disposal to ensure American companies are not targeted and discriminated against.”

On July 11, the French Senate will vote on passage of the DST proposal, following passage of the measure by the French National Assembly on July 4. If passed, France will become the first country to implement a DST.

Last month, Rep. Estes questioned Ambassador Lighthizer about what actions the U.S. may take in response to France’s DST. Ambassador Lighthizer responded, “I think we ought to take an action against the digital tax if someone puts that in place.”

Ron Estes is a 5th generation Kansan and represents Kansas’ 4th Congressional District in the U.S. House of Representatives. He serves on the House Committee on Ways and Means.