Europe's Trade "Bazooka": The EU's Response to Trump's Greenland Tariff Threat

The bloc’s weapon – dubbed its trade “bazooka” – allows for curbing imports of goods and services into the EU, a market of 27 countries with a combined population of 450 million. Trump has repeatedly expressed his desire to seize Greenland since returning to the White House for a second term. His rhetoric towards that goal has hardened since he ordered a military operation against Venezuela early this month to capture its leader, Nicolas Maduro. Trump and his administration have argued that Greenland coming under US rule would serve American “national security”. He and his aides have also argued that Denmark – although a Nato ally – would be unable to defend Greenland should Russia or China ever seek to invade. Denmark and several of its European Nato allies responded by recently sending small numbers of military personnel to Greenland for an exercise, to which the United States was also invited. Some German soldiers were seen boarding a flight on Sunday to leave Greenland after completing a recon mission. And on Saturday, thousands of people in Greenland and in Denmark held protests to declare that they did not want the Arctic island to fall under US control. “Make America Go Away” read the wording on caps worn by many of the protesters, riffing on Trump’s “Make America Great Again” slogan. Trump responded with a threat to slap goods coming into the US from Britain, Denmark, Norway, Sweden, France, Germany, the Netherlands, and Finland with 10% tariffs starting February 1. The tariffs would rise to 25% from June 1 “until such time as a Deal is reached for the Complete and Total purchase of Greenland”, Trump wrote on his social media platform, Truth Social. Even Trump’s European allies baulked at the threat. Italy’s far-right Prime Minister, Giorgia Meloni, called the threatened tariffs a “mistake” “I believe that imposing new sanctions today would be a mistake,” she told journalists during a trip to Seoul, adding that “I spoke to Donald Trump a few hours ago and told him what I think”. Dutch Foreign Minister David van Weel meanwhile called Trump’s threat an “inexplicable” form of “blackmail”. British Prime Minister Keir Starmer was planning to discuss the situation with Trump “at the earliest opportunity”, UK culture minister Lisa Nandy told the BBC, calling the President’s tariff threat “wrong”. “We believe it’s deeply unhelpful, and we believe it’s counterproductive, and the Prime Minister has not shied away from making that clear,” she said. France’s Agricultural Minister Annie Genevard warned that tariffs would hurt Washington, too. “In this escalation of tariffs, [Trump] has a lot to lose as well, as do his own farmers and industrialists,” she told broadcasters Europe 1 and CNews. Norway, targeted by Trump’s tariffs threat but, like Britain, not an EU member, said it was not currently looking at retaliation against US goods. “I think one needs to stop and think so that a trade war can be averted that would lead to a downward spiral. Nobody would win,” Norwegian Prime Minister Jonas Gahr Store told NRK television. Faced with the increased pressure over Greenland, Denmark’s Foreign Minister Lars Lokke Rasmussen announced on Sunday that he would visit fellow Nato members Norway, Britain and Sweden in the coming days to discuss the alliance’s Arctic security policy.