Europe has taken its first shot at the United States over new tariffs on steel and aluminium imports.

After China, the US is increasing tariffs on the European market and it seems like big protectionism in US could menace good relations between mentioned economics. It can cause dangerous tariff war.

The European Union plans to slap tariffs of 25% on roughly 200 American products, including orange juice, as soon as June 20. US denim, bourbon, motorcycles, peanut butter, motor boats and cigarettes are also in the firing line.

The American exports targeted in the initial wave of EU retaliatory tariffs are worth roughly €2.8 billion ($3.3 billion) annually, according to EU officials.

The stakes in a trade war are high: The United States and European Union trade just over €1 trillion ($1.2 trillion) in goods and services each year. Industry experts have warned that EU retaliation could encourage the Trump administration to strike back with more trade barriers on items like European cars. That could spark another round of escalation.

Canada and Mexico, which are top steel exporters to the United States, have also said they would pursue countermeasures.The Mexican government plans to retaliate with comparable penalties on US products including lamps, pork, fruit, cheese and flat steel.Canada’s minister of foreign affairs, Chrystia Freeland, said her country would place tariffs on up to 16 billion Canadian dollars ($12.4 billion) worth of American goods, including steel and aluminium. That’s on par with the value of Canadian steel and aluminium exports to the United States, according to CNN.com

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