President Donald Trump has threatened a 30 per cent tariff on imports from the EU from August 1, a level the bloc says is unacceptable and would end normal trade between two of the world's largest markets.
ASML, the world's biggest supplier of computer chip-making equipment, warned on Wednesday that uncertainty in tariff negotiations is spurring chipmakers in the US to delay finalising investments, clouding its outlook for the full year.Â
Its shares sank as much as 7.3 per cent in early trading.
"Trump's tariffs have only losers," German Finance Minister Lars Klingbeil told a press conference, saying the tariffs threaten the US economy at least as much as those of the European countries.
The European Commission, which oversees trade for the EU, has prepared to target 72 billion euros ($A128.6 billion) worth of US goods - from Boeing aircraft and bourbon whiskey to cars - for possible tariffs if trade talks with the US fail.
"Our hand remains extended but we will not go along with everything, possible countermeasures must continue to be prepared," Klingbeil told a press conference alongside his French counterpart Eric Lombard, saying the two were in full agreement.
The list of possible counter-measures, sent to EU member states and seen by Reuters on Tuesday, pre-dated Trump's move over the weekend to ramp up pressure on the 27-member bloc and was a response to US duties on cars and car parts and a 10 per cent baseline tariff.
The package also covers chemicals, medical devices, electrical and precision equipment as well as agriculture and food products - a range of fruits and vegetables, along with wine, beer and spirits - valued at 6.35 billion euros.
Shares in European car makers, including Germany's Volkswagen, were lower after Renault's profit warning late on Tuesday, which stirred worries about the health of the car industry as it struggles with 25 per cent US import tariffs.
The only acceptable tariff on EU exports to the United States would be zero as the bloc is already facing a detrimental exchange rate, the head of Italy's business lobby said on Wednesday.
"The real issue is that, to date, not only do we have to consider the burden of tariffs ... we must add to that the euro's appreciation against the (US) dollar," said Confindustria President Emanuele Orsini.
