Global stocks fell on Friday after U.S. President Donald Trump ramped up his tariff war against Canada, leaving Europe squarely in the firing line, sparking a modest investor push into safe havens like gold,

The European Union is still hoping for a rough outline of a deal, even after President Trump talked about sending the bloc a letter outlining tariffs that would be imposed Aug. 1.

European vehicle makers are feeling the pain of President Donald Trump’s trade policies. Volkswagen sold fewer of its most profitable cars in the second quarter as US tariffs cut into deliveries of its premium brands Porsche,

The new tariff rates threatened in the letters Trump shared Wednesday are similar to those he announced on what the White House dubbed “Liberation Day” in early April.

Equity markets slid on Friday as President Trump intensified trade and tariff tensions with Canada. He also hinted at measures targeting Europe, driving investors to seek refuge in gold. Investors were unsettled when Trump sent a letter late Thursday announcing a 35% levy on all Canadian imports effective August 1,

European Commission President Ursula von der Leyen said that there needed to be a “genuine rebalancing” in the China-Europe relationship.

The letters listed a range of tariffs. Goods entering the U.S. from Japan, South Korea, Malaysia, Kazakhstan, and Tunisia will be subject to a 25 percent levy. There will be a 30 percent levy on South African and Bosnian goods, while imports from Indonesia will be subject to a 32 percent rate.