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Trump backs off from tariff threat over Greenland

by Stefan Becket
January 21, 2026
Reading Time: 4 mins read
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Trump backs off from tariff threat over Greenland

Washington — President Trump said he will not be imposing tariffs against European countries over their objections to his efforts to acquire Greenland, revealing Wednesday that he and the secretary-general of NATO reached “the framework of a future deal” regarding the island.

“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 president wrote in a Truth Social post from Davos, Switzerland, following a meeting with NATO Secretary-General Mark Rutte.

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In an interview with CNBC shortly after his post, the president said “we have a concept of a deal” and that he thinks it will be “a very good deal for the United States, also for them.” 

“We’re going to work together on something having to do with the Arctic as a whole, but also Greenland. And it has to do with the security, great security, strong security, and other things,” he said. 

He declined to provide specifics of the framework, saying “it’s a little bit complex” and that the U.S. will “explain it down the line.” He did note that the agreement would last “forever.”

“It’s the kind of a deal that I wanted to be able to make,” Mr. Trump told CNBC.

Two diplomatic sources told CBS News chief foreign affairs correspondent and “Face the Nation” moderator Margaret Brennan that that there is no agreement for U.S. control or ownership of Greenland. The framework of the deal, according to the sources, would ramp up security for Greenland beyond the existing 1951 U.S. agreement, which allowed the U.S. to establish several military bases on the island, although the only one that is still operating is Pituffik Space Base, formerly Thule Air Base. It would also increase NATO’s role with the specific intent of blocking Russia and China from gaining a foothold in Greenland, the sources said. But such a deal would still need to be directly negotiated with Denmark and Greenland. 

U.S. ownership of the territory is still a red line for Denmark and Greenland, the sources said.     

NATO was similarly tight-lipped about details of the arrangement. In a statement, Allison Hart, a spokesperson for the alliance, said Mr. Trump and Rutte’s meeting was “very productive” and that they “discussed the critical significance of security in the Arctic region to all Allies, including the United States.”

“Discussions among NATO Allies on the framework the President referenced will focus on ensuring Arctic security through the collective efforts of Allies, especially the seven Arctic Allies,” Hart said. “Negotiations between Denmark, Greenland, and the United States will go forward aimed at ensuring that Russia and China never gain a foothold — economically or militarily — in Greenland.”

Denmark’s foreign minister, Lars Løkke Rasmussen, also issued a statement, saying the day “is ending on a better note than it began.” 

“We welcome that President Trump has ruled out to take Greenland by force and paused the trade war with Europe. Now, let’s sit down and find out how we can address the American security concerns in the Arctic while respecting the red lines of the Kingdom of Denmark,” it said. 

The president addressed the annual meeting of global leaders at the World Economic Forum earlier in the day and reiterated his insistence that the U.S. needs to own the semi-autonomous Danish territory for security reasons. But, for the first time, he ruled out the use of military force to take control of the island, and said he was instead “seeking immediate negotiations” over the territory.

Over the weekend, the president threatened to impose 10% tariffs on eight European countries that opposed his Greenland push beginning next month, and said the tariff would increase to 25% if the U.S. did not acquire the island. The threat of a trade war with longstanding allies sent shockwaves through European capitals, with leaders scrambling to address the threat and defend Greenland and Denmark’s autonomy before gathering in Davos.

Mr. Trump has argued that owning Greenland is critical for completing his “Golden Dome” missile defense shield, and that NATO should back his acquisition of the territory to defend against Russia and China. In his Truth Social post, he said that discussions over the missile shield will continue. 

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

Margaret Brennan

contributed to this report.

More from CBS News

Go deeper with The Free Press


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Stefan Becket

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