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Trump clinches Greenland framework with NATO, pauses planned Europe tariffs

admin by admin
January 21, 2026
in Business
0
Trump clinches Greenland framework with NATO, pauses planned Europe tariffs

US President Donald Trump announced Wednesday that after talks with NATO Secretary-General Mark Rutte, the US and NATO have agreed to form a framework for Arctic cooperation centered on Greenland.

In a Truth Social post on Wednesday, Trump mentioned that he will pause the 10% tariffs scheduled to take effect on February 1 on eight European nations.

Based upon a very productive meeting that I have had with the Secretary General of NATO, Mark Rutte, we have formed the framework of a future deal with respect to Greenland and, in fact, the entire Arctic Region.

“This solution, if consummated, will be a great one for the United States of America and all NATO Nations. Based upon this understanding, I will not be imposing the Tariffs that were scheduled to go into effect on February 1st,” the US President said.

The announcement represents a tactical shift in what had been a week of escalating trade threats and geopolitical tension.

Just five days earlier, Trump had threatened 10% tariffs on Denmark, France, Germany, the UK, the Netherlands, Sweden, Finland, and Norway, rising to 25% by June 1 if they did not support his push to acquire Greenland.

What does the framework say?

The White House did not release a detailed text of the framework, only describing it as an agreement on broad Arctic cooperation principles.

However, Trump named the negotiators who will handle detailed discussions: Vice President J.D. Vance, Secretary of State Marco Rubio, Special Envoy Steve Witkoff, and “various others, as needed.”

“Additional discussions are being held concerning The Golden Dome as it pertains to Greenland. Further information will be made available as discussions progress,” Trump’s post said.

Vice President JD Vance, Secretary of State Marco Rubio, Special Envoy Steve Witkoff, and various others, as needed, will be responsible for the negotiations. They will report directly to me. Thank you for your attention to this matter!

The term “framework” is critical as it denotes a roadmap for future negotiation rather than a finalized treaty or purchase agreement.

Trump’s language, that the US and NATO have “formed the framework,” does not indicate Greenland has agreed to any change in its status.

The February 1 tariff pause suggests Trump believes he has extracted enough diplomatic concessions to justify delaying economic pressure, but talks remain actively contested.

NATO, Denmark and the EU hold fast on sovereignty

European responses were swift.

Danish Foreign Minister Lars Løkke Rasmussen acknowledged the “framework” development but reaffirmed that Trump’s “ambition remains intact.”

Rasmussen emphasized that Denmark will not abandon its red lines: Greenland’s sovereignty and the self-determination rights of its people are “totally unacceptable” to compromise.

Greenland’s Prime Minister Jens-Frederik Nielsen has been equally unequivocal.

“If we must make a choice between the USA and Denmark at this moment, we opt for Denmark. We align with NATO, the Kingdom of Denmark, and the EU,” he stated earlier this month.​

The EU’s response was to convene an extraordinary summit in Brussels on Thursday to coordinate a unified position.

The European Parliament had already suspended approval of the US-EU trade framework agreement agreed in July 2025, and the EU warned it stands ready to deploy €93 billion in retaliatory tariffs if the dispute escalates.

The post Trump clinches Greenland framework with NATO, pauses planned Europe tariffs appeared first on Invezz

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US midday market brief: Dow climbs over 300 points after Trump eases Greenland concerns


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