German Chancellor Olaf Scholz said that Europe has the capacity to react to new US tariffs if President Donald Trump follows through on his recent threats, joining a chorus of European leaders pledging to retaliate if necessary.

European Union leaders are grappling with how to respond to the United States as it appears determined to start a trade war or even seize part of their territory.

Donald Trump threatened tariffs on Europe, European Union leaders are seeking unity on defense spending and a response to economic blackmail. Polish Prime Minister Donald Tusk stated in Brussels that EU state leaders and the EU itself "must do everything to avoid this totally unnecessary and stupid trade war.

Since taking office last month, US President Donald Trump has threatened to impose tariffs on EU imports and refused to rule out military force to take control of Greenland, an autonomous territory of NATO ally Denmark.

European leaders warned on Monday that U.S. President Donald Trump's threat to expand tariffs to the EU risked igniting a trade war that would harm consumers on both sides of the Atlantic. European Union foreign policy chief Kaja Kallas said if the U.

Since taking office last month, US President Donald Trump has threatened to impose tariffs on EU imports and refused to rule out military force to take control of Greenland, an autonomous territory of NATO ally Denmark.

EU leaders meeting in Brussels Monday warned there would be no winners in a trade war with the United States, insisting they would hit back if President Donald Trump imposes tariffs. French President Emmanuel Macron said the European Union must show its muscle if US President Donald Trump makes good on his threat to target the bloc with a volley of tariffs.