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Trump Announces Framework Deal on Greenland, Suspends Threatened EU Tariffs

by Lydia Obinna
22 January 2026
Reading Time: 2 mins read
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Trump Announces Framework Deal on Greenland, Suspends Threatened EU Tariffs
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US President Donald Trump has announced that he has reached a preliminary understanding on Greenland following talks with NATO Secretary General Mark Rutte, a development he said has reduced tensions with European allies and made previously threatened tariffs unnecessary.

Trump revealed the update in a post on his Truth Social platform after meetings held on the sidelines of the World Economic Forum in Davos, Switzerland. He said the discussions led to a framework for a possible agreement focused on Greenland and the wider Arctic region.

According to Trump, the talks with Rutte were productive and resulted in a shared understanding that could benefit both the United States and NATO members.

“Based upon a very productive meeting that I have had with the Secretary General of NATO, Mark Rutte, we have formed the framework of a future deal with respect to Greenland and, in fact, the entire Arctic Region,” Trump wrote.
“This solution, if consummated, will be a great one for the United States of America, and all NATO Nations.”

The president said the emerging agreement prompted him to suspend plans to impose new tariffs on European countries. The tariffs, which were scheduled to take effect on February 1, were originally aimed at nations that opposed his earlier push for increased US influence over Greenland.

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Trump also disclosed that discussions are continuing on the proposed “Golden Dome” missile defence system, which he has repeatedly linked to Greenland’s strategic importance in the Arctic. He named Vice President JD Vance, Secretary of State Marco Rubio, and special envoy Steve Witkoff as the key officials leading the negotiations.

In his remarks, NATO Secretary General Mark Rutte praised Trump for pressuring European allies and Canada to increase their defence spending. Rutte said Trump’s approach helped push NATO members toward a commitment to work towards spending five per cent of their gross domestic product on defence and security by 2035. He also reaffirmed that NATO would support the United States if it were attacked.

Trump later suggested that financial compensation related to Greenland could be considered, but stressed that money was not the main issue. He said Greenland’s true value lies in its strategic and security importance for both the US and its allies.

“There’s a bigger price, and that’s the price of safety, national security — I mean international security,” Trump said, adding that he does not believe military force would be necessary.

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