Amazon (AMZN.O), which launched a new tab, criticized a book shipping tax that France imposed two years ago, saying Europe’s top court on Thursday that the move violated EU law and was discriminatory and protectionist.
France has often been at conflict with internet and online corporations, particularly one of the largest Amazon, because of its efforts to preserve its cultural history and traditions.
In order to help local small bookstores compete with Amazon, which had previously charged a euro cent for book shipping in France, Paris implemented a three euro ($3.31) tax in October 2023. Purchases over €35 are exempt from the French charge.
Amazon appealed the cost to France’s highest administrative court, which then asked the Court of Justice of the European Union for advice.
“A member state has taken this economic action to safeguard its physical stores. Yann Utzschneider, an attorney for Amazon, told the CJEU, “It is a discriminatory measure that only benefits retailers with a physical presence in France.”
“This is a protectionist measure in complete breach of EU laws,” he stated.
According to Utzschneider, the initiative also benefits big-box stores like FNAC and hypermarkets like Carrefour, where clients may pick up their book purchases without paying a fee.
According to him, the action violates the EU e-commerce directive, which regulates online transactions in the EU’s 27 member states.
“France can’t be allowed to carve up the single market to suit their own national interests,” Utzschneider stated.
