The European Commission wants to settle the latest trade dispute with the US over the French digital tax “amicably” but warned that the bloc will “react as one” if Washington slaps tariffs on Paris.

A Commission spokesperson said on Tuesday (3 December) that the EU will seek “immediate discussions to solve this issue amicably” to prevent a dispute at the World Trade Organisation.

But if talks fail, the differences between the two largest trading partners over the French levy should be addressed at the organization. “It is the place to settle a trade dispute,” the spokesperson added.

The comments came after the US Administration threatened France with 100% tariffs on exports, including luxury goods and wine, worth $2.4 billion, after a US investigation found that the digital tax “discriminates against US companies” like Google, Apple, Facebook and Amazon.

The European side should submit its comments by 6 January, and a hearing on this case will take place the following day in the US Congress.

If the US decides to move against French goods, the Commission spokesperson said that the EU “will act and react as one, and will remain united”.

Last July, France adopted a 3% tax that applies to firms with global revenues above €750 million yearly generated from digital activities, of which €25 million are made in its territory.

Read more: euractiv