France's call to abandon investments in US could hit EU economy

France's President Emmanuel Macron has reacted to Donald Trump's decision to impose restrictive tariffs on the European Union by calling on companies in the trading bloc to stop investing in the United States.

According to the French leader, who spoke at a meeting with industry groups, it makes no sense for companies to invest in the US amid its economic pressure on Europe.

However, as Bloomberg notes, companies in the region which have strong trade ties with the US may find it difficult to follow Macron's advice. At the same time, the new duties create an unfavorable environment for their operations in the American market and threaten to push them out of there.

According to the latest figures released by the US Bureau of Economic Analysis, in 2023, French direct investment in the US amounted to about $370 billion. That is nearly 7% of total foreign direct investment in the United States.

Earlier on Thursday, France pushed for the EU to impose retaliatory measures against US tech companies and extend them to the services sector, according to the country's government spokeswoman Sophie Primas.