EU Braces for Trade War over Trump’s Greenland Tariffs

PAK Staff Writer
5 Min Read

The European Union (EU) is preparing potential retaliation against United States President Donald Trump’s Greenland tariffs.

This comes after Trump threatened to escalate import duties on several European nations unless Denmark agrees to sell the Arctic island of Greenland to the United States. 

Trump’s Greenland tariffs, announced over the weekend, have sparked widespread condemnation across Europe, with diplomats describing them as “blackmail” and a direct threat to transatlantic unity.

Trump stated on his Truth Social platform that a 10% tariff would be imposed starting February 1 on goods from Denmark, Sweden, France, Germany, the Netherlands, Finland, the United Kingdom, and Norway. 

The rate would rise to 25% on June 1 and remain in effect “until a Deal is reached for the Complete and Total purchase of Greenland.” 

The U.S president justified the pressure by citing national security concerns, claiming Greenland is vital to counter Russian and Chinese influence in the Arctic.

In response, European Union ambassadors held an emergency meeting in Brussels on Sunday, reaching a broad agreement to intensify diplomatic efforts to address the situation while actively preparing retaliation against Trump’s Greenland tariffs if the duties are implemented. 

This was made known by Germany’s vice chancellor Lars Klingbeil on Monday.

“We will not allow ourselves to be blackmailed,” said Lars Klingbeil, at a Berlin press conference alongside the French economy and finance minister, Roland Lescure.

“Europe will respond with a united, clear response, and we are now preparing countermeasures together with our European partners.”

Klingbeil said Europe’s response could have three main strands.

First, the current tariff deal with the United States would be put on hold, he said.

Second, European tariffs on imports from the United States, currently suspended until early February, could come into force, said Klingbeil, who is also Germany’s finance minister.

And thirdly, the EU should consider using its toolbox of instruments that can be deployed to respond to “economic blackmail” against Washington, he added.

Lescure agreed with Klingbeil that Trump’s Greenland tariffs threat amounted to “blackmail”.

“Blackmail between allies of 250 years, blackmail between friends, is obviously unacceptable,” said the French minister.

“We Europeans must remain united and coordinated in our response and, above all, be prepared to make full use of the instruments” of the European Union, he said.

“We are determined to defend our sovereignty.”

Lescure said a meeting of G7 finance ministers would be convened in the coming days to discuss pressing issues, including Greenland. France is the current chair of the grouping, and the United States is a member.

Klingbeil stressed that the “limit has been reached” when it came to the US leader making threats.

“We are constantly experiencing a new confrontation that President Trump is seeking,” he said.

Also, Britain, Denmark, Finland, France, Germany, the Netherlands, Norway, and Sweden already hit back at the threat in a joint statement over the weekend.

The statement reads: “​As members of NATO, we are committed to strengthening Arctic security as a shared transatlantic interest. The pre-coordinated Danish exercise “Arctic Endurance” conducted with Allies, responds to this necessity. It poses no threat to anyone.

“​We stand in full solidarity with the Kingdom of Denmark and the people of Greenland. Building on the process begun last week, we stand ready to engage in a dialogue based on the principles of sovereignty and territorial integrity that we stand firmly behind.

“​Tariff threats undermine transatlantic relations and risk a dangerous downward spiral. We will continue to stand united and coordinated in our response. We are committed to upholding our sovereignty.”

Pan-Atlantic Kompass

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