EU Considers Trade Restrictions Against U.S. Over Greenland Issue
France and Germany are reportedly urging the European Union to impose special trade restrictions on the United States, following President Trump’s interest in acquiring Greenland.
On Sunday, French President Emmanuel Macron began advocating for the activation of the EU’s “anti-coercion measures” in response to recent threats from the White House. These threats include potential 10% tariffs on eight EU nations that have agreed to send troops to Greenland, with President Trump hinting at increasing those tariffs to as much as 25% if the issue isn’t resolved by June.
The “anti-coercion” mechanism, developed for countering nations like China, hasn’t been utilized yet. However, European leaders started considering it as a potential response during past negotiations concerning the EU-U.S. trade agreement.
The European Commission highlighted the justification for using such “trade bazookas” in situations where a country tries to pressure the EU or its member states through trade or investment threats.
The EU is also considering tariffs on approximately 93 billion euros ($108 billion) worth of American goods if the U.S. follows through with its tariffs.
After a meeting with French Economy Minister Laurent Lescure in Berlin on Monday, German Finance Minister Lars Klingbeil expressed Germany’s readiness to back Macron’s proposal, framing the U.S. actions as “economic blackmail.”
Klingbeil stated, “Europe has legally established tools to counter economic coercion, and we should think about using them now.” He emphasized that while they are seeking solutions, intimidation will not be tolerated.
German Chancellor Friedrich Merz supported this stance, affirming unity with Denmark and Greenland. He warned that imposing tariffs could jeopardize transatlantic relations and lead to a dangerous situation.
It remains unclear how willing the rest of the region is to engage in tough discussions with Trump, but invoking the bazooka would require majority support from eligible voters.
Less severe responses could still be considered, such as sanctions on U.S. tech firms, which some EU officials may find appealing.
Additionally, there are apprehensions that the EU Parliament may refuse to ratify a trade deal concluded last year in Brussels. This deal involves reducing tariffs on U.S. goods imported into the EU to zero, while raising tariffs on EU goods heading to the U.S. by up to 15%.
In contrast to the firm positions of France and Germany, British Prime Minister Sir Keir Starmer opted for a more moderate approach. He stated that implementing reciprocal tariffs on the U.S. would be misguided.
After a call with President Trump, Starmer expressed skepticism about the U.S. taking military action to claim Greenland, believing that diplomatic discussions are the better route for resolution.
Starmer emphasized, “We need to adhere to principles regarding who determines Greenland’s future and make it clear that imposing tariffs is entirely inappropriate.”
Despite Europe’s strong negotiative efforts, Denmark has logic rooted more in historical claims than in substantial reasons to maintain control over Greenland. Under the 2009 Home Rule Act, Greenland’s residents can seek a referendum for independence, enabling them to potentially align with powers like China or Russia.
President Trump has been vocal about asserting the Monroe Doctrine, which supports U.S. influence in the Western Hemisphere. He criticized Denmark for not adequately developing Greenland’s resources or military presence, expressing that allowing interference from nations like China or Russia would be unacceptable.
On his Truth Social platform, Trump remarked that NATO has warned Denmark about the Russian threat to Greenland for years, questioning Denmark’s inaction: “The time is now, and it’s done!!!”
