Trump backs down over Greenland tariff threats

US president says 'framework for deal' agreed in Davos

- ANDREW FEINBERG

Donald Trump reversed course yesterday and abandoned plans to impose punitive tariffs on eight European countries that had objected to his demands to purchase Greenland. The U-turn came after what the US president described as a "very productive" meeting with Nato secretary general Mark Rutte at the World Economic Forum in Davos.

Mr Trump said US and Nato representatives had "formed the framework of a future deal with respect to Greenland and, in fact, the entire Arctic Region".

Mr Trump added that Western Arctic allies could forge a new deal that satisfies his desire for a "Golden Dome" missiledefence system and access to critical minerals while blocking Russia and China's ambitions in the Arctic.

"It's a deal that everybody's very happy with," Mr Trump told reporters after emerging from a meeting with Mr Rutte. "It's a long-term deal. It's the ultimate long-term deal. It puts everybody in a really good position, especially as it pertains to security and to minerals." He added: "It's a deal that's forever." He later told CNBC that he had lifted the tariff threats because "we have pretty much the concept of a deal" he described as "a little bit complex" and "a very good deal for the United States" having to do with "the security, great security, strong security and other things".

Mr Trump added that the putative "outlines” of the agreement included "everything we wanted." But, he offered few specifics on what the deal entails.

The eight countries under threat of the new tariffs were Denmark, Norway, Sweden, France, Germany, UK, the Netherlands and Finland. The EU had been discussing retaliatory measures.