Trump Softens Tariff Threat After NATO Talks

US President Donald Trump has stepped back from his threat to impose tariffs on several European countries over Greenland after holding talks with NATO leaders during the World Economic Forum in Davos. The move came after Trump said he had agreed on a “framework of a future deal” focused on Arctic security.

Earlier, Trump had warned of tariffs of up to 25 per cent on Denmark and seven other European allies, linking trade penalties to US efforts to gain control over Greenland. The tariffs were expected to begin in February but have now been withdrawn.

Sudden Shift After Davos Meeting

Trump’s change in tone followed discussions with NATO Secretary-General Mark Rutte. While Trump described the meeting as “very productive,” NATO later clarified that the issue of Greenland’s ownership was not discussed.

Rutte said talks focused only on maintaining security in the Arctic region. Greenland remains an autonomous territory within the Danish kingdom and hosts a key US military base.

Trump Repeats Claims on Greenland

Despite backing off on tariffs, Trump continued to push his argument that Greenland is vital for US and global security. Speaking at Davos, he said the United States needed the island to counter future threats from Russia and China.

Trump ruled out using military force but warned that strong pressure could still be applied. “Military is not on the table,” he said later, adding that negotiations were the preferred path.

Denmark Responds With Caution

Denmark welcomed Trump’s statement that force would not be used but expressed concern over his broader remarks. Danish Foreign Minister Lars Løkke Rasmussen said Greenland’s sovereignty must be respected.

“Greenland is part of NATO. Denmark is part of NATO,” Rasmussen said, adding that territorial integrity remains a red line for Copenhagen.

Europe Pushes Back

Trump’s earlier warnings had caused alarm across Europe, raising fears of a major diplomatic rift within NATO. European Commission President Ursula von der Leyen warned that any US tariffs would face a united and firm response.

UK Prime Minister Keir Starmer also rejected the use of trade pressure, saying Europe would not compromise its principles under threat.

Concerns Grow in Greenland

Trump’s repeated statements have triggered unease among Greenland’s residents. The local government issued emergency preparedness advice, urging people to keep essential supplies at home.

Some residents described Trump’s comments as insulting and worrying. Many said they hoped the situation would not escalate further.

Trade and Alliance at Risk

Analysts warn that renewed tariff threats could disrupt US-EU trade relations and weaken one of the world’s strongest military alliances. Although US markets recovered after initial uncertainty, experts say continued pressure over Greenland could have long-term consequences.

While Trump has paused tariff action for now, his continued focus on Greenland keeps tensions alive between Washington and its European allies.