U.S. President Donald Trump has threatened to impose new tariffs on a group of European countries that oppose his push for U.S. control of Greenland, escalating tensions with key allies and raising fresh concerns about the use of trade as a geopolitical weapon.
Trump said countries resisting the proposal could face import tariffs of up to 10% from February 2026, with the possibility of steeper levies later in the year if opposition continues. The affected countries include Denmark, which administers Greenland, as well as several European allies that have publicly rejected the idea of a U.S. takeover.
The U.S. president framed the move as a matter of national security, arguing that Greenland’s strategic Arctic location and mineral resources are vital to American interests. Critics, however, say the threat underscores a growing willingness to deploy trade measures to achieve political objectives rather than resolve disputes through diplomacy.
European leaders have pushed back strongly. Officials in Denmark and other European capitals reiterated that Greenland is not for sale, warning that tariff threats would damage transatlantic trade and undermine long-standing alliances. Political leaders in the United Kingdom and elsewhere also criticised the move, citing potential harm to businesses and consumers.
The episode comes at a time when global trade tensions are already elevated. Analysts note that the threat aligns with a broader trend in which tariffs, sanctions and financial pressure are increasingly used as tools of influence, blurring the line between economic policy and geopolitics.
Markets have so far reacted cautiously, but trade experts warn that sustained uncertainty could disrupt supply chains and investor confidence, particularly if tariff threats translate into concrete policy actions.
The latest development adds to concerns that global economic relations are becoming more unpredictable, with trade policy increasingly shaped by strategic rivalry rather than multilateral rules and institutions.