EU Warns US Tariffs Could Trigger Dangerous Downward Spiral

Ursula von der Leyen expressed full solidarity with Denmark and the people of Greenland and stressed the need for dialogue to resolve the disagreement between NATO allies

By :  ANI
Update: 2026-01-18 03:42 GMT
President of the European Commission Ursula von der Leyen listens during a press conference (Daniel Duarte / AFP)

Brussels [Belgium]: Hours after US President Donald Trump threatened to impose 10 per cent tariffs on Denmark and other European Union countries, EU Chief Ursula von der Leyen said tariffs undermine “transatlantic relations” and “risk a dangerous downward spiral.”

Ursula von der Leyen expressed full solidarity with Denmark and the people of Greenland and stressed the need for dialogue to resolve the disagreement between NATO allies.

“The EU stands in full solidarity with Denmark and the people of Greenland. Dialogue remains essential, and we are committed to building on the process begun already last week between the Kingdom of Denmark and the US,” she said in a post on X.

“Tariffs would undermine transatlantic relations and risk a dangerous downward spiral. Europe will remain united, coordinated, and committed to upholding its sovereignty,” she added.

The EU has also called for an emergency meeting on Sunday to discuss the proposed tariffs, France24 reported, citing an official.

Ursula von der Leyen reiterated her commitment to upholding international law and ensuring the territorial integrity and sovereignty of Denmark.

“Territorial integrity and sovereignty are fundamental principles of international law. They are essential for Europe and for the international community as a whole. We have consistently underlined our shared transatlantic interest in peace and security in the Arctic, including through NATO,” she said.

She further clarified that the recent deployment of troops in Greenland by EU countries is part of a pre-coordinated Danish exercise and “poses no threat to anyone.”

Trump on Saturday (local time) threatened to impose 10 per cent tariffs from February 1 on Denmark and other European countries unless they agree to sell Greenland to the US.

In a post on Truth Social, Trump claimed the move was necessary for national security, citing China’s and Russia’s interest in the territory. He offered negotiations but warned of escalating tariffs — 10 per cent from February 1, 2026, and 25 per cent from June 1, 2026.

“Starting on February 1st, 2026, all of the above-mentioned countries (Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands, and Finland) will be charged a 10% tariff on any and all goods sent to the United States of America. On June 1st, 2026, the tariff will be increased to 25%. This tariff will be due and payable until such time as a deal is reached for the complete and total purchase of Greenland,” Trump posted.

Trump has remained adamant about acquiring Greenland, a semi-autonomous territory of Denmark, citing national security concerns. He has also threatened tariffs on countries opposing the move, sparking protests in Denmark and Greenland.

The US claims Greenland’s strategic location and mineral resources are vital to its security, but leaders in Denmark and Greenland have rejected the proposal, emphasising their right to self-determination.

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