EU's trade war with Donald Trump erupts as bombshell retaliation tactics announced

has a list of counter measures that could be slapped on US imports in response to Donald Trump's tariffs. The measures, which were presented to member states this week, include a raft of potential options as the bloc continues to work towards a united response to the action being .

Countries such as and are understood to favour a strong response, although other nations are more reluctant to take drastic action out of fear of provoking a stronger US response. One official told Politico: "The counter-measures must be applied to the entire spectrum, not just goods, but should also include all the instruments we have."

It comes as the commission also drafts a list of concessions that it is willing to make to keep the Trump administration on side.

Such measures include lowering duties on imported cars, co-operating on a response to Chinese trade barriers and the further opening of European markets.

Despite the US President placing his Liberation Day tariffs on a 90 day pause, Europe is still working to formulate a response to 25% levy imposed on cars and the 10 percent tariff still applied to EU goods.

The commission is believed to be considering a response that targets US tech companies, in a bid to hurt and influence key stakeholders in the industry who are believed to hold sway with Trump.

The US and EU are understood to have made progress on discussions in recent weeks, with European Commissioner for Trade Maroš Šefovi stating that "his ambition" was still to strike a "balanced and fair" deal with the White House.

Such a deal could include the EU purchasing an additional €50 billion of US goods to offset the perceived trade deficit that sits at the heart of the Trump administration's tariffs.

Additional imports could come in the form of oil and gas, soy beans or American vehicles, something that Šefovi believes that the bloc could accomplish "very quickly".

Šefovi insists that any potential deal will hinge on tariffs of 10% on EU goods being removed which he described as being at a "very high level".