The United States is finalizing a trade agreement with the European Union (EU), but will impose 10 percent tariffs on a number of countries for sending military personnel to Greenland, according to U.S. Minister of Finance Scott Bessent.
Bessent announced the measure on January 20 at the World Economic Forum in Davos, stating that Washington plans to implement the duties on February 1 as part of its ongoing trade negotiations with the EU.
“We are in the process of finalizing a very good trade agreement for both sides,” Bessent said. “At the same time, the president [Donald Trump] announced he would impose a 10 percent tariff on February 1.”
The minister emphasized that the tariffs would be introduced if Denmark does not voluntarily abandon Greenland. Bessent also noted it is unlikely the duties would be declared illegal by the U.S. Supreme Court.
Earlier in the week, Bessent described any European response to the U.S. threats over Greenland as an “unwise step.” He stated that Washington was concerned about such a move.
On January 14, President Donald Trump noted that U.S. relations with Denmark were “good,” but he stressed that Greenland was necessary for national security. Following this statement, Trump imposed the initial 10 percent tariffs on European nations, with the potential to increase to 25 percent in response to the situation around Greenland.
