Trump withdraws tariffs after NATO ‘agrees to Greenland framework’

Trump withdraws tariffs after NATO ‘agrees to Greenland framework’

President said the U.S. and NATO had ‘formed the framework of a future deal with respect to Greenland and the entire Arctic Region’; European leaders have tried a mixture of flattery and tough talking to counter threats from the U.S. leader

U.S. President Donald Trump called off his threat of tariffs on eight European countries, including Denmark, announced last Saturday to compel them to transfer the semi-autonomous Danish territory of Greenland to the U.S.

Mr. Trump had said he would acquire the strategically located Arctic island “one way or another”. The countries in question had each sent a small number of troops to Greenland earlier this month, following Mr. Trump’s recent threats.

Mr. Trump announced that he was cancelling the tariffs on Wednesday evening, on his Truth Social media platform, after what he called a “very productive” meeting with Mark Rutte, the Secretary General of NATO in Davos.

Mr. Trump said the U.S. and NATO had “formed the framework of a future deal with respect to Greenland and, in fact, the entire Arctic Region” and that he would not be imposing the tariffs set to begin February 1 based on the understanding reached. The tariffs were set to kick off at a rate of 10%, increasing to 25% in June 2026.

“Additional discussions are being held concerning the Golden Dome as it pertains to Greenland,” said Mr. Trump, referring to a multi-layered missile and air defence system he intends to build for the U.S.

Just prior to his discussions with Mr. Rutte, the U.S. President told a gathering in Davos that he was not going to use force to annex Greenland. Europe has been on edge over Mr. Trump’s aggressive pursuit of the Arctic island Mr. Trump has suggested that Russia and China pose an imminent threat to Greenland, a claim denied by the Russians. European leaders, who in general do not share the same risk assessment on Russia and China’s intentions in the Arctic, have tried a mixture of flattery and tough talking in response to Mr. Trump’s threats. The European Parliament suspended the approval of a EU-U.S. trade agreement struck in 2025.

While the terms of the agreed framework appear to be under discussion, Mr. Trump said that Vice-President J.D. Vance, Secretary of State Marco Rubio, and special envoy Steve Witkoff would be among those responsible for the negotiations.