The measures, which coincide with an even broader push on levies, represent a major escalation in an already brewing global trade war.

Leaders in both countries warned that tariffs would fan inflation in the United States and upend global supply chains.

Germany's economy minister and its autos association slammed Donald Trump's newly-announced 25% tariff on imported vehicles to the U.S. as bad for European and U.S. economies, calling for urgent negotiations to ward off a spiralling trade war.