I agree with you.
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twistedthistle......"I support France. They're the team wearing blue."This is one of the differences between English
But a friend insists that it should be "It's the team wearing blue." Your friend's opinion has merit too. After all, both "France" and "team" are singular.
This is one of the differences between English in the U.S. and the U.K.And this difference is especially noticeable in sports reporting in the U.K.