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Trump says US exploring Greenland deal after NATO talks, backs off tariff threats
MLN -22 JAN 2026:President Donald Trump said Wednesday the United States is exploring a potential deal involving Greenland after talks with NATO, signaling a step back from earlier threats to impose tariffs on European allies that opposed his push for the U.S. to acquire the island.
Trump said discussions with NATO officials were, very productive, and resulted in what he described as a framework for a possible agreement, according to a post on his Truth Social platform. He did not provide details of the talks or outline any specific terms.
“We have formed the framework of a future deal with respect to Greenland and, in fact, the entire Arctic Region,” Trump wrote. “This solution, if consummated, will be a great one for the United States of America, and all NATO Nations.”
NATO separately described the discussions as productive. Diplomatic sources familiar with the talks told CBS News there was no agreement for U.S. ownership or control of Greenland, an autonomous territory within the Kingdom of Denmark.
Trump reiterated at the World Economic Forum in Davos, Switzerland, that Greenland remains critical to U.S. national security but said he had ruled out the use of military force to obtain it.
The president’s comments followed weeks of sharp rhetoric that strained relations with European allies. Earlier this month, Trump threatened tariffs on Denmark and other European countries that rejected his push for U.S. control of the island.
Financial markets reacted positively after Trump signaled he would not proceed with the tariff threats. All three major U.S. stock indexes rose more than 1 percent following his announcement.
European officials welcomed the apparent de-escalation. Finnish President Alexander Stubb told CNN that tensions had eased, saying, “I think we’ve now de-escalated, but obviously it’s not over yet.”
Swedish Foreign Minister Maria Malmer Stenergard wrote on social media that it was “good” Trump had reversed course on tariffs, adding that European nations had reiterated they would not accept coercion.
Despite the shift in tone, uncertainty remains among U.S. allies. Canadian Prime Minister Mark Carney said Tuesday at the Davos forum that relations with Washington were undergoing a fundamental rupture, not a transition.
Trump has argued that U.S. control of Greenland would strengthen national and global security, citing concerns about growing Russian and Chinese activity in the Arctic.
At home, Trump’s foreign policy posture has drawn mixed reactions within his own party. Some Republicans have raised concerns about escalating tensions with allies as the administration heads into a midterm election year.
Sen. Thom Tillis, R-N.C., said earlier this week that the Greenland issue was “drama that we don’t need.”
Trump’s remarks Wednesday appeared aimed at lowering tensions, though he did not rule out further action, leaving allies and lawmakers watching closely for what comes next.
