DAVOS HERALDS RISE OF THE MIDDLE POWERS

IT was another TACO moment at Davos.

- GURBIR SINGH

Trump-Again-Chickened-Out. After bringing the transatlantic alliance with Europe to the brink over threats to take Greenland “the easy way, or the hard way”, US President Donald Trump on Wednesday backed down.“People thought I would use force. I don’t have to use force. I don’t want to use force. I won’t use force,” Trump said addressing a packed house at the World Economic Forum. For form, to show he had not let go, the President said he now has a deal for “unrestricted access to Greenland”. He also backed off from his threat to impose a 10% tariff from February 1 on eight European allies, including France and Germany, for opposing his Greenland takeover. The markets read it right. The Dow Jones lifted 589 points, or 1.12% after his Davos speech. Plummeting markets across the world also shot up.

US-based news outlet Politico, has documented Trump has made big announcements in the last three months to raise levies at least five times which have been then withdrawn. These include aborted higher levies on Canada for playing an anti-tariff ad, and on French wine and champagne.

Greenland, the trigger

But beyond all the idiosyncrasies of Trump, what we are seeing today is the tectonic shift in the global balance of power. What were firm allies of the US — Europe, Canada, and even Australia, are today standing up to the the US, refusing to be humiliated and run over. The ‘Middle Powers’, as Canada’s PM Mark Carney described them, are willing to take on both Russia and China and the US. For Europe’s new found unity and strength,they have to thank Trump.