Donald Trump continues to destabilise the international economic balance. On Saturday, the U.S. president once again strained relations with his longstanding partner, Europe.

In a lengthy statement on his social network, Truth Social, Trump threatened eight countries, including France, Germany and the UK, with additional tariffs in response to their opposition to his plans to seize Greenland, provoking indignation across Europe. On Sunday, ahead of a meeting of European Union (EU) ambassadors in Brussels, they responded by insisting they would remain “united.”

“Tariff threats undermine transatlantic relations and risk leading to a dangerous spiral. We will continue to remain united and coordinated in our response. We are determined to defend our sovereignty”, said Denmark, Finland, France, Germany, the Netherlands, Norway, Sweden and the UK.

Since his return to office a year ago, the American president has regularly spoken of taking control of the vast autonomous Danish territory, citing national security concerns in the face of Russian and Chinese advances in the Arctic.

He stepped up his rhetoric again on Saturday, following the dispatch in recent days of European troops to the vast island, as part of Danish manoeuvres.

“Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands and Finland have travelled to Greenland for an unknown purpose. (…) These countries, playing this very dangerous game, have taken an unacceptable risk,” wrote the American president on Truth Social. “After centuries, it is time for Denmark to return it – world peace is at stake!” he thundered.

He threatened these countries with new tariffs until “an agreement is reached for the full and complete sale of Greenland.”

This 10% surcharge will take effect from February 1 and could rise to 25% by June 1. Since August 7, the United States has applied a floor rate of 15% for products originating in the European Union.

Before the return of the Trump administration, rates, particularly in the fashion sector, were generally below 7%. The current situation is likely to add to the uncertainty over customs arrangements. If Trump follows through on these threats, rates could potentially rise to 25% on February 1 and 40% on June 1.

‘Dangerous spiral’

The Republican has deployed trade barriers as a blunt instrument in international relations, including against Washington’s traditional partners. But he is taking an unprecedented step here: the United States, a pillar of NATO, is threatening its allies with sanctions in order to seize a territory belonging to one of its partners, Denmark, a sovereign and democratic country.

The European Union warned against a “dangerous spiral.”

“A very bad thing,” said British Prime Minister Keir Starmer, while his Swedish counterpart, Ulf Kristersson, asserted: “We will not be intimidated.”

The move was also condemned by Emmanuel Macron. “Tariff threats are unacceptable and have no place in this context. Europeans will respond in a united and coordinated way if they are confirmed. We will ensure that European sovereignty is respected,” wrote the French president on X, on Saturday evening.

“As members of NATO, we are determined to strengthen Arctic security, a common transatlantic interest,” the eight European countries said in a joint statement on Sunday.

“The pre-coordinated Danish exercise ‘Arctic Endurance’, conducted with our allies, meets this need. It poses no threat to anyone,” they stressed.

“We express our full solidarity with the Kingdom of Denmark and the people of Greenland. Building on the process begun last week, we are ready to engage in a dialogue based on the principles of sovereignty and territorial integrity that we firmly defend,” they added.

One of Greenland’s most prominent government ministers, Naaja Nathanielsen, welcomed the strong reactions, saying she was “grateful and full of hope.”
Danish foreign minister, Lars Løkke Rasmussen, said he was “surprised” by Trump’s announcements. Trump, who has said that he would “one way or another” seize Greenland, nevertheless said he was “immediately open to negotiations with Denmark and/or other European countries.”

‘Not for sale’

Danish and Greenlandic leaders were received in Washington on Wednesday, with Copenhagen noting the impossibility of reaching an immediate agreement.

In Denmark and Greenland, several thousand demonstrators gathered on Saturday to denounce these territorial ambitions. In the centre of Nuuk, the capital of Greenland, protesters gathered under a light drizzle, wearing caps stamped “Make America Go Away” (a play on the MAGA slogan) and singing traditional Inuit songs, an AFP journalist observed on the ground.

In Copenhagen, a red-and-white human tide, in the colours of the Greenlandic and Danish flags, marched in front of the U.S. embassy, chanting the name of Greenland in Greenlandic: “Kalaallit Nunaat!” “Greenland is not for sale,” chanted demonstrators.

While the United States considers that Denmark is unable to guarantee security in the region, the Danish government points out that it has invested almost 90 billion kroner (12 billion euros) to strengthen its military presence in the Arctic.

France, Sweden, Germany and Norway, joined by the Netherlands, Finland, Slovenia and the UK, sent military personnel to the island this week for a reconnaissance mission as part of the Danish “Arctic Endurance” exercise organised with NATO allies.

According to the latest poll published in January, 85% of Greenlanders are opposed to Greenland becoming part of the United States. Only 6% are in favour.

With AFP