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Donald Trump addressed the World Economic Forum at Davos. Photo: X/The White House.

Trump rules out force on Greenland at Davos; slams Europe, threatens tariffs

| @indiablooms | Jan 21, 2026, at 09:22 pm

US President Donald Trump said he would not use military force to acquire Greenland but doubled down on his claim that the United States is best positioned to control the territory, triggering sharp reactions from European allies during his speech at the World Economic Forum in Davos.

Speaking before business leaders and heads of state, Trump described Greenland as “part of North America” and called Denmark, a NATO ally that governs the semi-autonomous island, ungrateful for opposing his proposal.

“This enormous unsecured island is actually part of North America. That’s our territory,” he said, dismissing European objections.

While Trump attempted to highlight domestic economic priorities such as curbing inflation and boosting growth, his address largely focused on grievances with allies.

He declared that the US economy was booming while Europe was “not heading in the right direction,” adding, “When America booms, the whole world booms.”

The president’s remarks come amid rising tensions after he threatened to impose tariffs of up to 25% on Denmark and seven other allied countries unless they negotiate the transfer of Greenland.

The tariffs are set to begin at 10% next month and could rise sharply by June, a move that economists warn may raise consumer prices and disrupt global trade.

European leaders responded firmly. British Prime Minister Keir Starmer said the UK would not yield to tariff threats, while French President Emmanuel Macron warned against accepting “the law of the strongest.”

European Commission President Ursula von der Leyen cautioned that any US tariffs would be met with a “united and proportional” response, stressing that last year’s US-EU trade agreement must be respected.

Trump’s appearance in Davos was delayed after Air Force One returned to Washington due to a minor electrical issue, though it did not affect his keynote schedule.

His arrival drew significant attention, with top business leaders such as Michael Dell and Marc Benioff seeking seats inside the packed Congress Hall.

Markets reacted nervously to the escalating trade rhetoric. US stocks fell sharply on Tuesday, with the S&P 500 recording its biggest drop since October, as investors weighed the potential impact of renewed tariff battles with Europe.

During his two-day visit, Trump is also expected to discuss the creation of a “Board of Peace” to oversee US-brokered ceasefire efforts in the Israel-Hamas war, a body that could expand its mandate beyond the Middle East.

Despite promoting affordability and housing as priorities for Americans, Trump’s aggressive stance on Greenland and trade risks overshadowing his economic message at the global forum.

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