If he moves forward with the tariffs, it could have ramifications for nearly every aspect of the global economy.

Senior EU officials told the FT that they did not expect Trump to ultimately go through with his new threat of 30 per cent tariffs, which is being widely interpreted by Brussels as a bid by the US president to increase pressure on the bloc in the remaining time left for negotiations.

European Union President Ursula von der Leyen says the bloc will extend its halt on imposing tariff countermeasures while it continues to seek a negotiated trade agreement with the Trump administration.