Investors largely expected the FOMC to cut rates by a quarter point.The Fedread more
The lack of clarity surrounding the U.S.-China trade war is what's really hitting global growth, says ex- Deputy Treasury Secretary Sarah Bloom Raskin.World Economyread more
China's economy has long relied on factors such high levels of investments and an expanding labor force for growth. Those growth drivers are running out of steam.China Economyread more
India could benefit from the fallout in the U.S.-China trade war, experts told CNBC — but much-needed reforms on land and labor could prove to be a challenge for companies...Asia Economyread more
New crash tests show the Tesla Model 3 and the Audi e-tron, are among the safest models out on the road. The results bolster the theory electric vehicles may be better...Autosread more
U.S. consumers and growth in sectors such as technology have offset declines in other American industries, says Tom Finke, chairman and CEO of investment management firm...US Economyread more
The FAA administrator's comments come on the eve of his visit to Boeing facilities outside Seattle. While there, he's scheduled to meet with Boeing executives and be briefed...Airlinesread more
Last weekend's attacks on oil facilities — and the spike in crude prices that followed — should show that the world needs to stop relying on oil, says Helen Clark.Energyread more
The photo depicts Canadian leader Justin Trudeau wearing a turban and robe, with dark makeup on his hands, face and neck. Liberal Party spokesman confirms the photo is of...Electionsread more
As the Fed was meeting to consider cutting interest rates, it lost control of the very benchmark rate that it manages.Market Insiderread more
CBS, CNN and other major media companies are starting to pull e-cigarette advertising off their airways, as the death toll from a mysterious vaping-related illness continues...Health and Scienceread more
Virginie Lemaire recently opened her email to an unsettling message from Amazon: fees for sellers like her in France will be increasing by 3%.
Lemaire, a single mother of two, started her jewelry company Perle d'un jour in 2011. Trained as an artisan jeweler, she makes handmade custom pieces like necklaces, bracelets and rings.
The French small business owner started selling her products on Amazon two years ago and now generates one-fifth of her sales from the e-commerce giant's marketplace.
So it was an unwelcome surprise when she found out Amazon would be raising seller fees for her and thousands of other small and medium-sized French businesses starting in October. The reason the company cited was simple: a 3% digital tax passed by the French government in July.
Amazon's move appears to directly conflict with the French government's aim of leveling the playing field between Big Tech and small and medium-sized enterprises, and further complicates France's effort to rein in companies like Amazon, Facebook and Google.
"The fact that such companies pay less tax in France than a large bakery or a cheese producer in Quercy creates a real problem," French Finance Minister Bruno Le Maire said earlier this year.
France's tax targets companies that make at least 750 million euros ($832 million) in annual revenues from "digital activities," including 25 million euros from within France. The levy applies retroactively from January 1, 2019 and will raise an estimated 500 million euros per year.
The French tax has already faced significant backlash. The President Donald Trump administration initiated an investigation into the measure and threatened retaliatory tariffs, saying the tax "unfairly targets American companies." Economists and tech firms including Amazon had warned France's tax would ultimately result in higher prices for consumers.
Executives from Amazon, Facebook and Google will testify at a U.S. government hearing on the French digital tax Monday. In prepared testimony, Peter Hiltz, Amazon's director of international tax policy and planning, called the 3% levy "harmful" and "discriminatory." He said it will "negatively affect the hundreds of thousands of small and medium-size businesses that use Amazon's services to help reach customers in France," including more than 10,000 sellers based in the country.
"This tax is aimed squarely at the marketplace services we provide to businesses, so we had no choice but to pass it down to Selling Partners," Amazon said in a statement. "We recognize that this may place small firms in France at a competitive disadvantage to their counterparts in other countries."
Jewelry-maker Lemaire, for example, will now pay Amazon 12.36% of every sale she makes on the marketplace as of October 1, up from 12% previously. In an interview with CNBC, she said any increase in fees squeezes her profits, with margins already tight from other taxes and the cost of materials.
Lemaire finds herself in a predicament alongside thousands of other French small businesses who sell their products on Amazon. She must either raise her prices for consumers or absorb the higher costs.
"We're not at all respected," she said via a translation.
Lemaire said selling with Amazon is already a stressful experience where the "customer is king." She prefers Etsy, which brings in 70% of her total sales, because she said it only charges 10% in fees. Lemaire is also paying for ads on Facebook to drive traffic to her own website.
In their prepared testimony, Facebook, Google and Amazon all voiced concerns that France's unilateral approach with the digital tax will encourage other countries to impose similar measures. They instead argued an OECD-wide effort to address digital taxation would be less harmful to business and consumers.
— CNBC's Chanel Monteine contributed reporting