European Commission President Ursula von der Leyen issued a stern warning on Thursday, stating that President Donald Trump’s sweeping tariff measures pose a “major blow to the world economy.” Speaking amid rising global trade tensions, von der Leyen emphasized the profound negative consequences these actions could have worldwide.

“Let’s be clear about the immense consequences: the global economy will massively suffer, uncertainty will spiral and trigger the rise of further protectionism,” she said. Von der Leyen warned of “dire consequences” that could affect millions of people globally, from businesses to consumers across all sectors.

The European Union, she announced, is finalizing its first package of response measures, which will target the initial U.S. tariffs on steel. In addition, the EU is preparing further retaliatory actions if negotiations with Washington fail to reach a compromise.

In a strong statement of unity, von der Leyen declared, “We [Europe] are in this together. If you take on one of us, you take on all of us.” She positioned the European Union as a unified economic and political force committed to defending its industries and values.

“Europe stands together—for business, for citizens, and for all Europeans—and we will continue to build bridges with all those who, like us, care about fair and rules-based trade as a basis for prosperity,” she added, highlighting the EU’s dedication to international cooperation based on established trade principles.

The comments come as the EU prepares for what could become a deepening trade rift with the United States. Von der Leyen’s remarks reflect growing frustration among U.S. allies who are being drawn into the ripple effects of Trump’s tariff policy, a centerpiece of his recently declared “Liberation Day” trade doctrine.

With retaliatory measures now imminent, the prospect of an escalating trade war between the transatlantic allies looms large. Markets, industries, and governments around the world are bracing for the economic fallout as negotiations and diplomatic efforts continue behind the scenes.