The office of the USTR (US Trade Representative) has been conducting an investigation into the tax, which took effect in July, and held a public hearing on the proposed action against France earlier this month, including possible sanctions on several French products worth USD 2.4 billion in annual trade.
Following the call between Macron and US President Donald Trump, the White House issued a summary, seen by Bloomberg, stating that the two leaders agreed on the importance of successful talks on the matter. French finance minister Bruno Le Maire confirmed to the press that the two presidents were keen to avoid a trade war, while adding that "it remains a difficult negotiation".
According to a French official quoted by Bloomberg, the truce will refocus attention on the ongoing process led by the OECD to find a common international solution to taxation for multinational companies, which would replace the need for unilateral action by individual countries.
A spokesperson for the French finance ministry told Le Monde that the tax office would suspend any further payments linked to the new tax until the end of 2020. This is to give the OECD time to find a way forward at a global level. However, if there is no multilateral agreement by then, France will go ahead and collect the payments due.
