Those measures would apply "across sectors of the United States economy", the letter reportedly said. The EU has targeted US$3.2 billion in American goods exported to the 28-member bloc, including bourbon and Harley Davidson motorcycles.
Eighty-five percent of those exports, or $2.6 billion worth, could be impacted by Chinese tariffs, with the other $400 million primarily being hit by Canada and Mexico, based on U.S. Commerce Department statistics.
These tariffs will immediately and drastically increase the cost of building our instruments, and have the very real potential of forcing us to lay off workers and could (in a worst case scenario) require us to move some, if not all, of our manufacturing overseas.
There are already signs in the Asian region that the trade war is starting to hurt.
Brent crude prices slid on more supply from Saudi Arabia and Russian Federation and that pulled down energy stocks.
Trump is also considering a 20 percent tax on imported cars in the name of national security, and has tariffs on $200 billion in Chinese goods.
In May, the White House had said it would announce curbs on Chinese investment in USA technology by June 30 and impose those restrictions shortly thereafter. Investors are expecting strong earnings from the tech sector.
But in a submission sent to the US Department of Commerce, the European Union said that such an increase would be to the detriment of the US's own interests. We're also going to complain to the WTO. Only Texas and Alabama have a higher exposure to new tariffs.
The ISM said that demand remained strong but supply chains continued to "struggle" because of import tariffs and the robust economy.
Mr Trump is now mulling tariffs of up to 20% on all cars and vehicle parts made in the EU. New orders, exports and confidence fell.
Coming up today, the Reserve Bank is expected to keep official interest rates on hold for yet another month with the post-meeting statement to be carefully scrutinised.
Foreign business groups argue that "Made in China 2025" is unfairly forcing them to the sidelines in those industries.