Jack Sidders
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That would allow the EU to impose additional tariffs, new taxes on tech companies or targeted curbs on investment in the bloc.
Speaking on Sunday, Italy's Prime Minister Giorgio Maloney sought to cool tensions between the world's biggest trading partners after speaking to President Trump.
Despite Giorgio Maloney's efforts, Trump's plan to impose tariffs over Greenland calls into question the validity of the trade deal sealed last year between the EU and the US.
That deal has already been partially implemented, but still needs approval from the European Parliament, which is now likely to halt the process.
The annual gathering of the world's business elite in Davos is set to be dominated by Donald Trump's rewriting of the global economic order.
Bloomberg's James Wolcock has more.
That's news when you want it with Bloomberg News Now.
I'm Jack Sidders.
I'm Stephen Carroll.
And this is Bloomberg.