Macron Seeks Ways to Impose Pan-European Taxes on Foreign Companies

Paris wants Brussels to raise more money through EU-wide levies on American tech giants and foreign polluters, rather than by increasing contributions from national governments.

The initiative emerged after EU countries failed to agree on a package of new revenue sources proposed by the European Commission last July.

Unlike Germany and the Netherlands, France does not want to cut the EU budget itself, since it funds large subsidies for the influential French agricultural sector.

“If no agreement can be reached on new taxes, Paris will have to send more money to Brussels, giving additional arguments to France’s far-right National Rally, which is leading in opinion polls ahead of the April 2027 presidential election,” Politico writes.

Tax issues remain among the most sensitive in the EU, so a breakthrough in the negotiations is unlikely before the final stage. European Council President António Costa hopes to reach an overall agreement on the budget at a summit in December 2026.

To break the deadlock, the European Parliament in May proposed new levies on cryptocurrency companies, digital giants and online gambling. France and Spain have given preliminary support to these ideas.

In addition, according to two EU diplomats, France is informally exploring the possibility of tightening climate obligations for foreign airlines.

After a meeting last week, Macron and Italian Prime Minister Giorgia Meloni also pledged to “make progress on creating new own resources,” including a digital levy.

However, Germany and several other cautious governments remain opposed to such measures, fearing they could provoke retaliatory trade steps from the United States, Politico writes.