The EU’s trade chief said Brussels was “ready” to retaliate against US products if Washington slapped tariffs on cars, as Donald Trump’s threatened levies on the automotive sector cast a cloud over budding trade talks between the EU and the US. 

On a visit to Washington, Cecilia Malmstrom, the EU’s trade commissioner, told reporters that Brussels was working on a “rebalancing list” of US goods that would face retaliatory measures if the Trump administration proceeded with the car tariffs. 

She said it would cover “a lot of different sectors” and would be “compatible” with global trade rules. “It could be all kinds of issues, it could be cars, it could agriculture, industrial products?.?.?.?we will do that but we hope we don’t have to get to that.”