President Emmanuel Macron’s request for French firms to cease investments in the US has been mocked and dismissed by local business leaders.
Paris reacted to backlash this week following President Donald Trump’s tariff announcement labeled “liberation day,” with Macron condemning the move towards mutual tariffs as “a harsh and unjustified measure.” However, Macron escalated his stance by urging French and European businesses to refrain from investing in the US.
“What is the message we send when major European companies starting to invest billions of euros in the American market face challenges? We need to demonstrate collective unity.” I stated to Le Figaro.
He also expressed that “future investments or those recently announced” should “be paused temporarily until we resolve issues with the United States.”
Economy Minister Eric Lombard echoed this sentiment, urging French firms to show “patriotism” in the context of a trade conflict. “If a large French corporation decides to establish a factory in the US, it inevitably benefits the Americans,” he insisted.
Nevertheless, the appeal seems to have gone unheard, with notable national business figures ridiculing the suggestion and opting to maintain their presence in the American market.
“Some of us were shocked.” I remarked this week after speaking with one of the business leaders Macron invited to Elisse Palace regarding France’s response to the tariffs from the US.
“We don’t have a regulated economy,” another individual declared with frustration, “Don’t heed Macron’s statements. We function in the US. There’s no way we’re just going to abandon our operations. We must honor our commitments to our employees, clients, and shareholders.”
A third individual noted, “Halting investment in the US is not an option, especially given the ongoing economic downturn.”
Others highlighted that numerous French and other European firms depend significantly on the US market, with some even choosing to relocate entirely to the US to capitalize on the more affordable energy and favorable tax conditions.
French corporations have already invested substantially in the US, including Pernod Ricard, which allocated 240 million euros to establish a bourbon distillery in Kentucky. Additionally, Fashion House Dior is set to launch outlets in New York City and Beverly Hills in the near future.
The US President’s envoy for special missions and former German ambassador, Rick Grenell, warned that the US should consider alternative economic measures against France if Paris seeks to “manipulate the tariff situation” in an effort to deter investments in the US.
“What the French public is unaware of is that there are [are] entities in the US known as DFCs, [Export-Import] banks that secure loans guaranteed by American taxpayers to French investments in significant infrastructure projects. We should not condone this. If they attempt to manipulate the customs framework, we should not assist the French.”
