Trump Warns Europe of "100% Implementation of Greenland Tariffs"... Will US-EU Seek an 'Exit Strategy' at Davos? (Comprehensive)

Trump's NBC News Interview
Avoids Direct Answer on Military Option, Says "No Comment"
Links Nobel Prize Rejection to Greenland Issue
Bessent: "European Retaliation Is Unwise"
Will the Davos Forum Offer an Exit Strategy for the Atlantic

President Donald Trump of the United States has once again warned that he will definitely impose high tariffs on Europe in response to its opposition to the U.S. annexation of Greenland, further escalating the pressure. He is also openly linking his dissatisfaction over not winning the Nobel Peace Prize to the Greenland issue, heightening tensions.

There are warnings that if the conflict between the United States and Europe over the Greenland issue escalates into a trade war, it could not only fracture the transatlantic alliance but also plunge the global economy into its worst downturn since the global financial crisis. As Europe seeks to ease tensions and Trump administration officials also caution against escalating the conflict, attention is focused on whether the World Economic Forum (WEF) in Davos, Switzerland, can serve as a turning point to defuse the confrontation between the two sides.

Donald Trump, President of the United States. Photo by Reuters Yonhap News

Trump: "100% Implementation of Greenland Tariffs"... Ramping Up Pressure on Europe

On January 19 (local time), in a phone interview with NBC News, President Trump was asked whether he would actually implement plans to impose tariffs on European countries if negotiations regarding Greenland, an autonomous territory of Denmark, were not concluded. He responded, "I will 100% do it."

Previously, President Trump stated that he would impose tariffs on imports from eight European countries until a deal is reached for the "complete and comprehensive" purchase of Greenland. The targeted countries are Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands, and Finland. The plan is to impose a 10% tariff starting February 1 and a 25% tariff beginning June 1.

President Trump also strongly criticized Europe's diplomatic and security responses, referencing the war in Ukraine. He said, "Europe needs to focus on the war between Russia and Ukraine," emphasizing, "What Europe should be focusing on is the war in Ukraine, not Greenland."

However, when asked whether he was willing to occupy Greenland by force, he replied, "No comment," avoiding a direct answer. NBC News analyzed that President Trump took a "guarded" stance regarding how far the United States might go in its efforts to annex Greenland.

Europe is also considering countermeasures. The European Union (EU) is discussing the possible activation of the so-called "trade bazooka," formally known as the Anti-Coercion Instrument (ACI), to respond to third countries that pose economic threats to its member states.

Claims "No Interest in the Nobel Prize"... Yet Links Losing the Award to the Greenland Issue

President Trump also addressed reports that he was linking the Greenland issue to not winning the Nobel Peace Prize. While he stated, "I have no interest" in the Nobel Peace Prize, he openly expressed his dissatisfaction with the Norwegian government over not receiving the award.

President Trump claimed, "No matter what the Norwegian government says, they have total control over the Nobel Peace Prize selection," adding, "They say they have nothing to do with it, but in fact, they are involved in everything."

These remarks came shortly after reports that President Trump had mentioned the Nobel Peace Prize while justifying his plans for Greenland's annexation and tariffs against Europe. Earlier, PBS and Bloomberg reported that in a letter to Norwegian Prime Minister Jonas Gahr Store the previous day, President Trump wrote, "Despite ending more than eight wars, the decision was made not to award me the Nobel Peace Prize. Therefore, I no longer feel obligated to think purely about peace. Of course, peace is always a top priority, but now I can also consider what is good and right for the United States."

In the NBC interview, President Trump also emphasized that he had ended eight conflicts and saved many lives through his peace efforts since taking office, stating that this was a greater reward than the Nobel Prize. He reiterated, "I have no interest in the Nobel Prize."

In response, U.S. Treasury Secretary Scott Bessent dismissed reports linking President Trump's Greenland plans to not winning the Nobel Peace Prize as "a complete canard" during a press briefing at the Davos Forum.

Warning of 'Worst Downturn in 17 Years' if Transatlantic Trade War Materializes... Davos Forum as a Turning Point

There have been warnings that if President Trump's plans for the annexation of Greenland lead to a transatlantic trade war between the United States and Europe, the global economy could enter its worst downturn since the global financial crisis. The UK think tank Oxford Economics projected that if the United States imposes "Greenland tariffs" on European countries and Europe retaliates with equivalent measures, the GDP of both the United States and the Eurozone (the 20 countries using the euro) would decrease by about 1%. The global GDP growth rate could also slow to 2.6% in 2026 and 2027, which, excluding the COVID-19 pandemic period, would be the lowest since 2009. This is a significant contrast to the International Monetary Fund (IMF)'s forecast of 3.3% global economic growth for this year.

European countries are seeking diplomatic solutions to prevent the situation from spiraling out of control. Prime Minister Store explained in his reply to President Trump that the government has no authority over the Nobel Peace Prize decision, emphasizing "the need to ease tensions." Italian Prime Minister Giorgia Meloni also clarified that the deployment of European troops to Greenland was "aimed at forces other than the United States" and said, "It seems there was clearly a problem with understanding and communication."

Treasury Secretary Bessent also warned against escalating the conflict, calling the possibility of European retaliatory measures against U.S. Greenland tariffs "a very unwise response."

The Wall Street Journal (WSJ) reported, "This urgent diplomatic effort from Europe comes just days after several countries sent small contingents of troops to Greenland in a show of force that backfired. Europe is now seeking ways to resolve the issue without succumbing to President Trump's threats on security matters, while also avoiding an escalation into a trade dispute."

European leaders are expected to seek a breakthrough in resolving the conflict through face-to-face meetings with President Trump at the Davos Forum from January 19 to 23. President Trump will attend the forum with the largest-ever U.S. delegation and is scheduled to deliver a speech at 8:30 a.m. Eastern Time on January 21 (10:30 p.m. Korea Standard Time on January 21).