President Trump's pledge to tax eight NATO allies to force a deal on Greenland triggered swift blowback across the Atlantic, jeopardizing the U.S.–EU trade agreement Trump once called the "biggest deal ever made."
Why it matters: Trump's escalating fixation on the self-governing island has triggered the sharpest European economic threats since World War II in a test of whether the post-war alliance has a breaking point.
The latest: Trump threatened 10% tariffs starting Feb. 1 on France, Germany, the U.K., the Netherlands, Denmark, Norway, Sweden and Finland until the U.S. reaches a deal to buy Greenland. The tariffs would rise to 25% in June.
- French President Emmanuel Macron and others have reportedly called for the EU to deploy its anti-coercion instrument, a 2023 tool never before used that could restrict American companies' access to the European single market.
- The White House did not immediately respond to a request for comment Sunday.
Case in point: Manfred Weber, who leads the European Parliament's largest party bloc, the center-right European People's Party, said within hours of Trump's tariff threat that approval of the EU–U.S. trade deal "is not possible at this stage."
- He added, "The 0% tariffs on U.S. products must be put on hold."
- Bernd Lange, who chairs the European Parliament's trade committee, blasted the tariff threat as "unbelievable" and "unacceptable," writing on X that a "new line has been crossed."
Threat level: He also called for the use of the anti-coercion instrument, colloquially referred to as Europe's trade "bazooka."
- As explained by The New York Times, deploying it could sharply escalate tensions and risk friction on other fronts, like the war in Ukraine.
What we're watching: António Costa, the president of the agenda-setting European Council, announced he'll convene an "extraordinary meeting" in the coming days.
- Costa said member states share a "readiness to defend ourselves against any form of coercion."
- Multiple outlets also reported that European Union leaders are holding a Sunday emergency meeting.
What they're saying: European Commission President Ursula Von der Leyen warned Saturday of the "downward spiral" new tariffs could trigger, further straining transatlantic relations.
- She added, "Europe will remain united, coordinated, and committed to upholding its sovereignty."
- Leaders from Sweden, Germany, Norway and the Netherlands all used the same word to describe Trump's threats: "blackmail."
- The eight targeted nations issued a joint statement: "We will continue to stand united and coordinated in our response."
Between the lines: While Trump suggests the U.S. needs Greenland to stave off threats from China and Russia, his tariff strategy has created openings for China as countries manage the retaliatory trade fallout, Axios' April Rubin reports.
- "China and Russia must be having a field day. They are the ones who benefit from divisions among Allies," wrote EU foreign policy chief Kaja Kallas Saturday.
- "If Greenland's security is at risk, we can address this inside NATO," she added. "Tariffs risk making Europe and the United States poorer and undermine our shared prosperity."
The other side: Still, Treasury Secretary Scott Bessent doubled down that acquiring Greenland is necessary for security purposes on NBC News' "Meet the Press" Sunday.
- "Europeans project weakness," he said. "U.S. projects strength."
Go deeper: How Americans are grading Trump on Venezuela and Greenland
Editor's note: This story has been updated with Costa's statement.
