The Danish government is facing a significant crisis due to Donald Trump’s recent threats regarding Greenland. As tensions rise, both political leaders and business executives in Denmark are grappling with the situation.
Trump’s Greenland Acquisition Proposal
“We take this situation very, very seriously,” said Lars Løkke Rasmussen, Denmark’s Foreign Minister. He was referring to Trump’s proposal to acquire Greenland and impose heavy tariffs on Denmark if it opposes the acquisition.
However, Rasmussen made it clear that Denmark had “no ambition whatsoever to escalate some war of words” on the issue. Prime Minister Mette Frederiksen also downplayed Trump’s suggestion of military force. “I don’t have the fantasy to imagine that it will ever come to that,” she told Danish TV.
Lars Sandahl Sorensen, CEO of Danish Industry, echoed the sentiment. He pointed out that “no one has any interest in a trade war.”
High-Level Meetings and Behind-the-Scenes Discussions
Behind the scenes, Denmark has held several high-level meetings throughout the week. These discussions reflect the shock that Trump’s remarks have caused in the country. Greenland’s Prime Minister, Mute Egede, arrived in Copenhagen to meet with Frederiksen and King Frederik X. On Thursday, Denmark’s political leaders gathered for an extraordinary meeting in parliament to address the crisis.
Frederiksen’s Diplomatic Approach
Prime Minister Frederiksen has remained diplomatic throughout the situation. She referred to the US as Denmark’s “closest partner” and acknowledged that it was “only natural” for the US to focus on the Arctic and Greenland.
However, Frederiksen also stressed that Greenland’s future should be decided by its people. “Greenland belongs to the Greenlanders… and it’s the Greenlanders themselves who must define their future.”
This approach reflects two important factors. First, Frederiksen aims to avoid escalating the situation. She recalls the 2019 fallout when Trump canceled a state visit after Frederiksen dismissed his Greenland purchase idea as “absurd.”
Second, her comments emphasize Denmark’s policy of non-interference in Greenland’s internal affairs. Greenland is an autonomous territory with a parliament and growing nationalist sentiment, especially among younger generations.
Growing Calls for Greenland’s Independence
Greenland is increasingly moving towards independence. Recently, Greenland’s leader called for the territory to break free from the “shackles of colonialism.” Many younger Greenlanders are embracing their Inuit heritage and pushing for greater autonomy.
Experts suggest that a successful independence referendum is likely. However, Greenland relies heavily on Denmark, with 60% of its economy dependent on subsidies. As Greenland pursues independence, it must consider how to maintain economic stability without Denmark’s support.
Greenland’s political landscape is divided. Some, like Karsten Honge of the Green Left, believe Greenland could forge a new, equal partnership with Denmark. But with independence, Greenland will face tough decisions.
Opposition MP Rasmus Jarlov pointed out that Greenland is already largely self-governing. “Greenland today has more independence than Denmark has from the EU,” he noted. While full independence may come, Jarlov urges caution as Greenland considers its next steps.
International Reactions to Trump’s Threats
The US threat to Greenland has sparked international concern. German Chancellor Olaf Scholz emphasized that the principle of inviolable borders applies to all countries, regardless of size. French Foreign Minister Jean-Noël Barrot also warned that the EU would not allow any country to threaten its sovereignty.
These comments highlight broader concerns about Trump’s approach to global borders and agreements. “This is not just very serious for Greenland and Denmark – it is serious for the whole world and Europe as a whole,” said MP Karsten Honge.
Economic Impact of Trump’s Tariff Threats
Trump’s tariff threats against Denmark have added another layer of uncertainty. According to a 2024 study by Danish Industry, Denmark’s GDP could shrink by 3% if the US imposes a 10% tariff on EU imports. Targeting Danish products specifically could prove difficult, but the possibility of retaliatory measures from the EU is concerning.
With Trump’s inauguration looming, Denmark’s trade sector is preparing for potential economic disruptions. Industry professionals are already planning for possible fallout, hoping Trump’s attention will shift to other concerns.
What Lies Ahead for Denmark and Greenland?
While there is hope that Trump’s focus on Greenland will eventually subside, the threat of military intervention remains a serious concern. Denmark’s leaders must carefully navigate this delicate geopolitical crisis in the coming months.
Karsten Honge humorously noted, “They just need to send a small battleship to travel down the Greenland coast and send a polite letter to Denmark: ‘What are you going to do about it?’”
As Trump’s second term approaches, Denmark prepares for the uncertain future ahead.
