The European Union responded to American steel and aluminum tariffs with its own tariffs on boats and bourbon — and pledges of more to come.

Trump slapped similar tariffs on EU steel and aluminum during his first term in office, which enraged European and other allies. The EU also imposed countermeasures in retaliation at the time, raising tariffs on U.S.-made motorcycles, bourbon, peanut butter and jeans, among other items.

A full-scale global trade war would hurt the United States in particular and could re-energise Europe's push towards unity, European Central Bank President Christine Lagarde said on Friday. The U.S. has imposed a raft of tariffs on friends and foes alike and threatened even more measures,