EU weighs retaliatory tariffs after Trump threatens duties over Greenland: Report

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European Union member states are considering retaliatory measures, including tariffs on up to €93 billion of US goods, in response to President Donald Trump’s threat of 10% tariffs on eight European countries over Greenland.

Donald Trump’s tariff threat on Greenland prompted European leaders to reaffirm support for Denmark and the territory, emphasizing sovereignty and territorial integrity.
Donald Trump’s tariff threat on Greenland prompted European leaders to reaffirm support for Denmark and the territory, emphasizing sovereignty and territorial integrity.(Bloomberg)

European Union member states are weighing a range of retaliatory options in response to US President Donald Trump’s latest tariff threat, including imposing levies on up to €93 billion ($108 billion) worth of US goods, Bloomberg reported, citing people familiar with the discussions.

EU ambassadors met in Brussels on Sunday evening to coordinate a joint response after Trump announced plans to impose 10% tariffs on imports from eight European countries starting February 1, linking the move to their opposition to US control of Greenland.

According to the report, one option under consideration is activating the bloc’s anti-coercion instrument, a trade defense mechanism designed to counter economic pressure from foreign governments. French President Emmanuel Macron suggested on Sunday that the EU should consider using the tool.

Retaliatory tariffs back on the table

The EU had approved retaliatory tariffs on €93 billion of US products last year, but suspended their implementation after Washington and Brussels reached a trade pact. European lawmakers said they may now delay ratifying that agreement in light of Trump’s latest tariff threat, Bloomberg reported.

European allies push back

The eight European countries targeted by the proposed US tariffs issued a joint statement on Sunday condemning the move, warning that it could undermine transatlantic relations and trigger a broader escalation.

The countries said Trump’s threat risks “a dangerous downward spiral” - a potential turning point in tensions between Washington and some of its closest allies over issues of sovereignty, security, and trade.

Standing in solidarity with Denmark and Greenland

The European and Nordic nations reaffirmed their support for Denmark and Greenland, emphasizing sovereignty and territorial integrity.

“We stand in full solidarity with the Kingdom of Denmark and the people of Greenland,” the statement said. “Building on the process begun last week, we stand ready to engage in a dialogue based on the principles of sovereignty and territorial integrity that we stand firmly behind. Tariff threats undermine transatlantic relations and risk a dangerous downward spiral.”

Trump’s announcement on Saturday appeared aimed at using tariffs as leverage to force discussions over Greenland, a semi-autonomous territory of NATO ally Denmark that he considers strategically critical to U.S. national security.

EU and NATO leaders warn against divisions

EU foreign policy chief Kaja Kallas warned that China and Russia could benefit from divisions between the U.S. and Europe. “If Greenland’s security is at risk, we can address this inside NATO. Tariffs risk making Europe and the United States poorer and undermine our shared prosperity,” she said.

NATO Secretary General Mark Rutte confirmed he had spoken with Trump and emphasized ongoing diplomacy. “We will continue working on this, and I look forward to seeing him in Davos later this week,” Rutte said.

UK, Denmark, and EU leaders push back

U.K. Prime Minister Keir Starmer also spoke with Trump, with a Downing Street spokesperson stating that Starmer told the president, “Applying tariffs on allies for pursuing the collective security of NATO allies is wrong.” The call followed consultations with Danish Prime Minister Mette Frederiksen and European Commission President Ursula von der Leyen.

Italy voices concern

Even Trump’s European allies criticized the plan. Italian Prime Minister Giorgia Meloni, considered one of Trump’s closest allies in Europe, said she spoke to him about the tariffs, calling them “a mistake.” Meloni clarified that European troop deployments to Greenland were intended to provide security against “other actors” and were not directed at the United States.

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