|
||
|
TWN
Info Service on WTO and Trade Issues (Jan26/07) Geneva, 22 Jan (D. Ravi Kanth) — United States President Donald Trump assured European nations that he would not seize Greenland by force but insisted on “immediate negotiations” to purchase the semi-autonomous territory of Denmark, while removing the threat of imposing a 10% tariff on eight European countries, in a wide- ranging speech at the World Economic Forum (WEF) in Davos, Switzerland on 21 January. After days of issuing stark warnings – including threats of tariffs and even military action if Denmark refused to sell Greenland to the US – President Trump sought to recast himself as a rational deal-maker focused solely on a legal transaction. “People thought I would use force,” he told the thousands of attendees at the WEF. “I don’t have to use force. I don’t want to use force. I won’t use force,” he insisted. Nevertheless, he pressed for “immediate negotiations” to acquire Greenland, citing historical precedent: “just as we have acquired many other territories throughout our history.” Notably absent from his remarks was any mention of his earlier threat to impose a 10% tariff on Denmark, Sweden, Finland, Norway, France, Germany, The Netherlands and the United Kingdom, effective 1 February, unless they accepted his terms for a Greenland deal. He urged these nations to agree to a legally binding arrangement allowing the US to permanently acquire the island. Later, he wrote in a post on his Truth Social website that “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,” he insisted. “Based upon this understanding, I will not be imposing the Tariffs that were scheduled to go into effect on February 1st,” President Trump said, adding that, “Additional discussions are being held concerning The Golden Dome as it pertains to Greenland.” He assigned his Vice President JD Vance, Secretary of State Marco Rubio, Special Envoy Steve Witkoff, and various other officials “for negotiations.” Invoking his personal ties to Europe, President Trump recounted his heritage: “I am 100% Scottish through my mother and 100% German through my father. And we believe deeply in the bonds we share with Europe as a civilization. I want to see it do great.” Yet, he suggested that certain places in Europe are not even recognisable anymore, as well as sharply criticized European leadership over what he called their “stupid” policies. “It’s horrible what they’re doing to themselves,” he said, adding, “they’re destroying themselves.” Espousing some hardline positions on immigration and cultural identity – for instance, citing racial disparities and characterizing Somalis in the US as having low IQ – President Trump declared: “Beautiful nations are weakening due to poor policy choices on energy, immigration, and economic growth.” “We want strong allies, not seriously weakened ones,” he insisted. “These are not just political concerns – they are matters of national security.” Nowhere, he argued, is this more critical than in Greenland. “Greenland is a vast, almost entirely uninhabited and undeveloped territory, sitting undefended in a key strategic location between the United States, Russia, and China.” Trump offered his own historical narrative, claiming that the US saved Denmark during World War II by establishing bases in Greenland. “We fought for Denmark … to save it,” he said, asserting that America held the island at great cost to block Axis powers from gaining a foothold in the Western Hemisphere. After victory – “we won it big; without us, you’d all be speaking German and a little Japanese” – the US returned Greenland to Denmark. “How stupid were we to do that?” he asked, disparaging past American presidents. Turning pointedly to Europe, he said: “But how ungrateful are they now?” Today, he warned, the stakes are higher. With advanced missile technology, nuclear threats, and new weapons systems, control over Arctic geography is vital. Despite pledging over $200 million in 2019 to bolster Greenland’s defenses, President Trump claimed that Denmark spent “less than 1% of that amount,” adding that there is “no sign of Denmark there”. Thus, “it is the United States alone that can protect this giant mass of land … develop it and make it good for Europe and safe for us.” He renewed his call for “immediate negotiations to once again discuss the acquisition of Greenland by the United States,” noting that American presidents have pursued such a purchase for nearly two centuries. President Trump assured his European counterparts that such an acquisition would not undermine NATO but “greatly enhance the security of the entire alliance.” “Ownership” – not merely a lease – is essential, he maintained. “You can’t defend it on a lease. Legally it’s not defensible that way … psychologically, who wants to defend a license agreement?” After venting his frustration with NATO members, President Trump claimed, “I’ve done more to help NATO than any other President by far … You wouldn’t have NATO if I didn’t get involved in my first term.” He said that he compelled NATO member states to raise defense spending – from virtually nothing to 2%, and eventually to 5% of GDP. “They said we will never go to 5%. But they did.” He recalled confronting Switzerland over a $41 billion trade deficit. “They were paying nothing in tariffs.” After threatening a 30% tariff, Swiss leaders pleaded, “We’re a small country!” His reply: “You may be small, but you have a big deficit.” Though he reduced the tariff to avoid economic harm, the episode revealed a broader truth: “Without the United States, most countries don’t even work … We’re keeping the whole world afloat.” Militarily, the US is stronger than ever, President Trump asserted, pointing out that the US defense budget stands at $1.5 trillion. He said that the US is bringing back battleships that are “100 times more powerful” than WWII-era battleships like the USS Missouri. Also, he said that advanced aircraft like the F-35 – and a rumored “F-47,” described as the first “Stage 6” stealth fighter – are unmatched. “Our B-2 bombers flew right over Iran, undetectable … did their job, and got out.” Despite this strength, President Trump insisted that he seeks only peace. “I won’t use force” to acquire Greenland. “All the United States is asking for is a place called Greenland … a very small ask compared to what we’ve given for decades.” He outlined plans to build a “Golden Dome” missile defense system there that would also protect Canada, claiming that, “Canada lives because of the United States.” Ultimately, President Trump framed his message around reciprocity: “We’ve never asked for anything … until now.” After decades of subsidizing allies’ security, healthcare, and economies, the US deserves fairness, he said. “Strong borders, strong elections, a fair press, and economic security” – these are the pillars of a strong nation. And a strong America, he argued, is the best guarantee of peace, stability, and shared prosperity for the entire West. In conclusion, he issued a veiled warning: “A strong and secure America means a strong NATO.” But that strength, he said, must be matched by gratitude, responsibility, and strategic clarity from allies. “They have a choice. You can say yes, and we will be very appreciative. Or you can say no, and we will remember.” Denmark welcomed President Trump’s assurance against the use of force over Greenland but cautioned that the underlying issue remains unresolved. Foreign Minister Lars Lokke Rasmussen told reporters: “What’s clear after this speech is that the president’s ambition [to own Greenland] remains intact.” “It is, in isolation, positive that it is being said that military force will not be used,” he added, “but that does not make the problem go away. The challenge is there.” Norwegian Finance Minister and former NATO Secretary-General Jens Stoltenberg told CNN it was “important” that President Trump ruled out military annexation. He emphasized that “Greenland and Denmark’s territorial integrity should be respected by all.” Meanwhile, leading economic historian Adam Tooze, in an interview with The Guardian, likened the attitude of some Trump supporters he encountered to that of a “serial abuser.” He quoted a top US executive as saying: “This is how it’s going to be: we’re going to beat up on you [Europe]; it’s going to hurt – then we’re going to beat up on you some more. You’re going to squeal. And then we’re going to do some kind of a deal on our terms.” Asked how other governments should respond, Tooze said: “I think we ought to be thinking quite hard about whatever the international equivalent of getting up and leaving is. We need to strengthen ourselves, and have coalitions of friendly people.” TRADE TENSIONS ESCALATE Separately, the US Trade Representative, Ambassador Jamieson Greer, criticized the European Union on 21 January for using “excuses” to suspend its trade deal with the US over the Greenland issue, according to media reports. “The United States and EU have – and will always have – a number of foreign policy and economic matters that fall outside the four corners of the deal,” Ambassador Greer wrote in an email to the Financial Times, referring to the reciprocal framework agreement reached between the US and the EU in Turnberry, Scotland, last year. Under that agreement, the EU committed to eliminating tariffs on all American goods entering its market, while the US agreed to reduce its tariffs on European goods to 15%. “If the US can compartmentalize important yet unrelated matters, the EU should not use them as excuses for non-compliance,” Greer stated. Meanwhile, the European Parliament has decided to suspend work on the US-EU trade deal. Its trade committee had been scheduled to set its formal position in votes on 26 and 27 January, but they have now been postponed. Committee Chair Bernd Lange said at a press conference that President Trump’s new tariff threats had “broken the Turnberry deal,” which will now be “put on hold until further notice.” The European Parliament had been debating legislative proposals to eliminate many import duties on US goods – a cornerstone of the July agreement signed in Turnberry – as well as to maintain zero duties on US lobsters, initially agreed upon during President Trump’s first term in 2020. These measures require approval by both the European Parliament and EU member states. Many lawmakers have criticized the deal as being lopsided, arguing that it favours the US, since the EU must eliminate most tariffs on US goods while the US maintains a broad 15% tariff rate on EU goods. The impasse follows a high-stakes confrontation between the US and its NATO allies at Davos over Greenland. While Canadian Prime Minister Mark Carney and French President Emmanuel Macron openly challenged President Trump’s aggressive stance, the US president doubled down. In a rather critical tone towards Europe, President Trump warned that “certain places in Europe are not even recognisable,” expressing concern that the continent is “not heading in the right direction.” He also questioned the US decision in 1916 to recognize Danish sovereignty over Greenland. “How stupid were we to do that? But we did it, we gave it back. And how ungrateful are they now?” Reiterating his claim with renewed emphasis, President Trump declared that the US has the power to secure Greenland, citing its recent military operation in Venezuela as proof of American strength. Meanwhile, European Commission President Ursula von der Leyen on 21 January warned that the 27-nation bloc must accelerate efforts to strengthen its economy and defenses in response to a new global order shaped by “raw power.” Addressing the European Parliament, she stressed that Europe must become more resilient to influence global affairs – and cautioned that disputes among “allies” over Greenland could benefit the West’s adversaries. “The shift in the international order is not only seismic, it is permanent,” she told lawmakers, pointing to the “volatile situation” surrounding Greenland, Russia’s ongoing bombardment of Ukraine, and rising tensions from the Middle East to the Indo-Pacific. +
|
||
