Europe warns Trump of “dangerous downward spiral” and threatens tariff retaliation

Europe has warned of a “dangerous downward spiral” in transatlantic relations after U.S. President Donald Trump threatened new tariffs on European countries, prompting the EU to signal possible retaliation. European leaders said using trade measures against allies could escalate economic and diplomatic tensions, damage NATO unity, and disrupt global trade. In response, EU officials confirmed they are preparing countermeasures, including retaliatory tariffs on U.S. goods, if Washington proceeds. The standoff highlights growing strain between the U.S. and Europe, with markets and global partners closely watching for further escalation.