“The European Union is developing a package of tough measures in response to US President Donald Trump’s threats to establish control over Greenland. Brussels is considering the possibility of introducing tariffs on US goods with a total value of 93 billion euros or restricting the access of US companies to the single European market.”, — write: www.pravda.com.ua
Donald Trump. Photo: Getty Images Source: Financial Times with reference to European officials and diplomats
Details: According to the publication, the current situation has turned into the most serious crisis in transatlantic relations in recent decades. A plan of action in response to Trump’s threats was discussed by 27 EU ambassadors to provide European leaders with leverage ahead of key meetings with the US president at the World Economic Forum in Davos starting this week.
Advertising:
According to officials involved in the preparation, the European Union is preparing a “retaliation toolkit” that includes two main directions. The first is the reactivation of a €93 billion tariff list that was drawn up last year but was suspended until February 6 to avoid a full-scale trade war.
The second, more radical step is the use of the so-called “Anti-Coercion Instrument” (ACI). This mechanism, adopted in 2023, has never been used before. It allows limiting investments and blocking the export of services, which can painfully hit the American technological giants (Big Tech) in the EU market.
France insists most strongly on the use of ACI. Paris and Berlin are already coordinating a joint response, with finance ministers from both countries planning a meeting ahead of the EU-wide discussion. At the same time, the majority of EU member states are in favor of an attempt at a dialogue with Trump before proceeding to a direct confrontation, using the “whip and gingerbread” tactic.
“Trump is using purely mafia methods. We have clear tools of retaliation at hand if this continues. But at the same time, we want to publicly call for calm and give him the opportunity to back down,” said a European diplomat familiar with the discussion.
Trump’s threats “definitely justify the ACI because it would be classic coercion,” another European official said.
As a precautionary step, the largest factions of the European Parliament decided to postpone the vote on the reduction of tariffs on goods from the USA, which was planned within the framework of previous agreements.
European Commission President Ursula von der Leyen said on Sunday that Europe “will stand firm in its commitment to protect the sovereignty of Greenland and the Kingdom of Denmark. We will always defend our strategic economic and security interests.”
In Davos, the agenda of the meeting of national security advisors of Western countries was urgently changed: instead of focusing exclusively on peace negotiations regarding Ukraine, a significant part of the time will be devoted to the crisis around Greenland.
US Treasury Secretary Scott Bessent dismissed the possibility of a compromise, saying Europe was “too weak” to guarantee the island’s security:
“The president (Trump – ed.) believes that enhanced security is impossible without Greenland becoming part of the United States,” Bessent said.
What preceded:
- January 14 Trump made a demand for the purchase of Greenlandcalling it a strategic necessity for the United States, and criticized European countries for sending a military contingent to defend the island.
- On Sunday, January 18, the ambassadors of the member states of the European Union gathered for an extraordinary meeting for discussion of the statement of the President of the United States Donald Trump on the introduction of new tariffs against a number of European countries.
- Denmark, Finland, France, Germany, the Netherlands, Norway, Sweden and the United Kingdom declaredthat US President Donald Trump’s threats of tariffs are undermining transatlantic relations.
- Spanish Prime Minister Pedro Sánchez warned that US President Donald Trump’s implementation of his encroachments on Greenland would make the ruler of the Russian Federation “the happiest in the world”. giving two victories at once.