US President Donald Trump has announced a framework for a future agreement on Greenland and the Arctic following a meeting with NATO Secretary General Mark Rutte in Davos. The deal emphasizes security cooperation and access to minerals, without US ownership of the island. In response, Trump backs away from planned tariffs on European countries, including Sweden.
At the World Economic Forum in Davos on January 21, 2026, Donald Trump delivered a speech reiterating his interest in Greenland but repeatedly confused the island with Iceland. “NATO loved me until a couple of days ago when I told them about Iceland,” he said. Trump emphasized he does not want to use violence to gain control of Greenland and called for immediate negotiations on a purchase.
Following a “very productive” meeting with NATO Secretary General Mark Rutte, Trump announced on Truth Social that they had outlined a framework for an agreement on Greenland and the entire Arctic. “This solution will be very beneficial for the United States of America and all NATO countries,” he wrote. The deal includes US access to minerals and cooperation on the Golden Dome missile system, aimed at preventing Russia and China from gaining a foothold in Greenland. Trump described it as a “long-term agreement that is good for everyone” lasting “for eternity.”
Denmark is firm: “The US will not own Greenland. That is a red line,” said Foreign Minister Lars Løkke Rasmussen. Rutte confirmed the framework and called the meeting “very good.” As part of the agreement, the 10% tariffs on European countries, including Sweden, set for February 1 are withdrawn. Sweden’s Foreign Minister Maria Malmer Stenergard welcomed the decision, noting that international pressure had an effect.
Skepticism prevails in Greenland. Residents like Arnbjørn Olsen and Paula Christensen Arnaq reject Trump’s ideas, even with financial incentives of $10,000–$100,000 per person. “Greenland is the Inuit’s land,” Christensen Arnaq said. European leaders, including Canada’s Prime Minister Mark Carney, view Trump’s actions as a wake-up call for stronger cooperation among medium-sized states: “If we’re not at the table, we’re on the menu.”