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Trump issues an ultimatum on Greenland: “Tariffs or sell.” But Europe stands firm.

Donald Trump has decided to treat Arctic geopolitics like a Manhattan real estate acquisition, but this time the deal is decidedly complicated. In a move that stunned government agencies but didn't surprise anyone familiar with his transactional style, the US President issued a brutal ultimatum: either Denmark cedes Greenland, or hefty tariffs will be imposed on half of Europe.

The approach is direct, almost violent, but risks colliding with two formidable obstacles: the political reaction of an unexpectedly united Europe and, above all, the technicalities of a Single Market that make "leopard-spot" sanctions a bureaucratic nightmare that is almost unenforceable.

Let's start with the facts, reading verbatim what the White House tenant wrote.

The Ultimatum Text: “World Peace is at Stake”

Here's the full translation of Trump's latest post on Truth Social, in which he formalized his threat, maintaining his trademark emphasis and capitalization:

We have subsidized Denmark, and all the countries of the European Union, and others, for many years by not charging them duties or other forms of remuneration, while providing maximum protection. Now, after centuries, it is time for Denmark to give something back: World Peace is at stake!

Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands, and Finland have traveled to Greenland for unknown purposes. This is a very dangerous situation for the safety, security, and survival of our planet. These countries, playing this very dangerous game, have created a level of risk that is neither sustainable nor bearable. Therefore, it is imperative that, in order to protect global peace and security, strong measures be taken to ensure that this potentially dangerous situation ends quickly and without discussion.

Effective February 1, 2026, all of the above-mentioned countries will be charged a 10% tariff on all goods shipped to the United States. On June 1, 2026, the tariff will be increased to 25%. This tariff will be due and payable until an agreement is reached for the Full and Total Purchase of Greenland. The United States is immediately open to negotiations with Denmark and/or any of these countries that have put so much at risk, despite all we have done for them.”

The reaction: “We will not be intimidated”

If Trump's goal was to isolate tiny Denmark and force it to the negotiating table, the immediate political result was the exact opposite. Copenhagen merely declared itself "surprised" by the news, but it was the European heavyweights who erected the defensive wall.

Swedish Prime Minister Ulf Kristersson responded with a harshness rare in Scandinavian diplomacy. In a message broadcast on Saturday, he made it clear that Sweden "will not be intimidated" by tariff threats.

"We will not be intimidated. Only Denmark and Greenland decide on matters that concern them. I will always defend my country and our neighbouring allies," Kristersson declared, underlining that this has now become "a European issue" and not a bilateral affair.

Emmanuel Macron also stepped in to reinforce the front. The French president echoed the Swedish words, stating categorically that France will not give in to intimidation or commercial blackmail. Trump's move, paradoxically, offered Macron the perfect assist to relaunch the need for strategic and military "European sovereignty."

The Analysis: Why the Threat Is a Technical Boomerang

Beyond the rhetoric, the executive order announced via social media contains structural flaws that any economist (or customs official) could point out in a matter of seconds. Trump treats the EU as a collection of independent states, forgetting that it is a Customs Union.

Here's why this strategy is likely to fail:

  • The "Belgium Loophole" paradox: Trump has drawn up a blacklist of countries (Denmark, Germany, France, the Netherlands, etc.), but has "forgotten" other key ones like Belgium, Spain, and Italy. Because the EU is a single market, goods circulate freely. A German company can ship its machinery from the port of Antwerp (Belgium) or transit the goods via Italy. Targeting only certain EU member states is technically ineffective: the goods simply reroute, leaving US customs officials in a state of disarray as they attempt to trace their true origin.
  • Germany vs. France: The threat is asymmetric. Germany, with its enormous trade surplus with the US, would be the sacrificial victim (and indeed, German industry is trembling). France, which has a more balanced or surplus trade balance with the US on many fronts, has less to lose and can afford to react politically. The result? Trump frightens Berlin but radicalizes Paris, making an agreement impossible.
  • The unifying effect: By threatening to buy a piece of Europe with tariffs, Trump has transformed a real estate issue into a battle of principle over sovereignty. There will undoubtedly be further European hardening, and it's not impossible that political and military measures will be taken, such as sending additional resources to Greenland or taking initiatives within NATO.

In short: the solution is becoming more complicated, rather than resolved. Europe faces two major problems: the damaging green policies, which punish European industry and which Trump has shrugged off, and the unresolved Ukrainian issue. At this point, the US has no interest in continuing its aid to Kiev, at any level. Europe cannot continue a two-sided confrontation, even if it were united.

Perhaps, before sending the armored vehicles and tanks out into the cold, it would be better to ask what Icelanders think about the issue. Also because self-determination has always been at the heart of Western policies.

Questions and Answers

Why did Trump include countries like France and Germany on the list? Trump sees these countries as Denmark's political and economic "guarantors" within the EU. By targeting the largest economies (especially Germany) and those with Arctic or military influence (France, the United Kingdom), he seeks to create internal pressure within Europe for Berlin and Paris to force Copenhagen's hand in the sale, using economics as a geopolitical lever.

Can the European Union respond to these tariffs? Absolutely. Trade policy is the exclusive responsibility of the European Commission. If the US imposes unjustified tariffs, Brussels has the power (and the duty, according to the treaties) to impose counter-tariffs on strategically sensitive American products (bourbon, jeans, motorcycles, agricultural products), often affecting key states for the US President's electorate. Macron and Kristersson have already made it clear they won't stand idly by.

Could Denmark really sell Greenland? It's extremely unlikely. Beyond Denmark's political refusal, there's the will of the Greenlandic people. Greenland enjoys extensive autonomy (Home Rule), and the local government (Naalakkersuisut) has repeatedly stated: "We are open for business, but not for sale." Without Nuuk's consent, Copenhagen cannot legally cede the territory, rendering Trump's ultimatum legally null and void even before it is politically invalid.

The article "Trump issues ultimatum on Greenland: "Tariffs or sell." But Europe puts up a wall." comes from Scenari Economici .


This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/trump-lancia-lultimatum-sulla-groenlandia-dazi-o-vendete-ma-leuropa-fa-muro/ on Sat, 17 Jan 2026 20:41:32 +0000.