EU vows ‘unflinching, united and proportional’ response to Trump tariff threat over Greenland

Plunging transatlantic relations into 'downward spiral' would only help the 'very adversaries we are both so committed to keeping out of strategic landscape,' says European Commission president

ISTANBUL

The EU will deliver an “unflinching, united and proportional” response to US President Donald Trump’s threat to impose new tariffs linked to Greenland, European Commission President Ursula von der Leyen said on Tuesday.

Speaking at the World Economic Forum in Davos, von der Leyen said proposed additional US tariffs were “a mistake,” stressing that the EU and US agreed to a trade deal last July.

“In politics, as in business, a deal is a deal. And when friends shake hands, it must mean something,” she said, adding that Europeans consider Americans “not just our allies, but our friends.”

Her remarks came after Trump said Washington would impose 10% tariffs on goods from Denmark, Norway, Sweden, France, Germany, the UK, the Netherlands, and Finland starting Feb. 1, rising to 25% in June, unless a deal is reached for what he called the “complete and total purchase of Greenland” by the US.

Von der Leyen said plunging transatlantic relations into a “downward spiral” would only help “the very adversaries we are both so committed to keeping out of the strategic landscape.”

She underlined the EU’s full solidarity with Greenland and Denmark, insisting that the territory’s “sovereignty and integrity are non-negotiable.”

She also announced that the bloc is preparing a package to strengthen Arctic security, including a surge in European investment in Greenland to support the local economy and infrastructure, as well as closer cooperation with the US and other partners.

Von der Leyen added that the EU plans to deepen security partnerships with countries including the UK, Canada, Norway, and Iceland, and is preparing a new European security strategy to be published later this year, alongside an upgraded Arctic strategy.

Trade deal with Mercosur, Ukraine war

Von der Leyen noted that the EU had signed the long-awaited trade agreement with the South American Mercosur bloc during her visit to Paraguay over the weekend, creating what she described as the world’s largest free trade zone, covering more than 700 million consumers and over 20% of global GDP.

The deal, she said, sends a message that Europe is choosing “fair trade over tariffs, partnership over isolation, and sustainability over exploitation.”

The agreement was approved by EU member states earlier this month, after more than 20 years of negotiations and delays in December caused by farmer protests and opposition from France, Ireland, Hungary, and Poland.

Under the deal, tariffs on agricultural products, including beef, poultry, dairy, sugar and ethanol, will be reduced for Mercosur countries, while European industries will gain increased access to South American markets.

She added that the EU has recently concluded agreements with Mexico, Indonesia and Switzerland, and is advancing talks with Australia, India, the Philippines, Thailand, Malaysia, and the United Arab Emirates.

Addressing the war in Ukraine, von der Leyen reiterated that the EU will provide Kyiv with €90 billion ($106 billion) in loans for 2026 and 2027 to support its defense capabilities and basic public services.

“Ukraine must be in a position of strength to go to the negotiation table,” she said, stressing that the bloc had decided to permanently immobilize Russian state assets and reserve the right to use them.