Italian Foreign Minister Antonio Tajani warned Monday that the EU is ready to impose billions in retaliatory tariffs on US goods if trade talks fail, stressing that “tariffs hurt everyone,” including American consumers and investors, Xinhua reported.

The warning follows US President Trump’s plan to introduce a 30 percent tariff on EU and Mexican imports starting August 1.

Italian Prime Minister Giorgia Meloni echoed concerns, urging diplomacy over a “damaging trade war” that would weaken both sides.

Reports suggest Italy could lose up to €12.4bn in exports and 150,000 jobs. Agricultural producers would be hit hardest, with cheese, wine, and pasta facing steep tariff hikes, according to Xinhua.