Key Takeaways

• Trump threatens new tariffs on eight European countries over Greenland acquisition efforts.
• EU officials consider more aggressive retaliatory measures, including a novel “anti-coercion” tool.
• Bipartisan U.S. politicians express discontent with Trump’s approach toward allied nations.

President Donald Trump’s recent claim that he will impose higher U.S. tariffs on several European countries for opposing his interest in acquiring Greenland has provoked strong backlash from European leaders. Countries targeted include France, Germany, the United Kingdom, and Denmark, all of which may face sanctions until the U.S. secures the Danish territory.

This threat has raised concerns about the future of existing trade agreements between the U.S. and the EU, particularly as the European Parliament has not yet formally ratified the current trade deal. Lawmakers across various political parties expressed their reluctance to proceed with adoption in light of Trump’s remarks.

Last year, when Trump initially imposed tariffs on the EU, European officials retaliated with their own tariffs affecting over $100 billion in U.S. exports, including agricultural products. Reports indicate that the EU is preparing to revive this tariff strategy in response to Trump’s recent threats. There are growing calls within the EU to respond even more forcefully this time.

Bernd Lange, head of the European Parliament’s international trade committee, has urged the European Commission to activate an innovative “anti-coercion” measure, which would allow them to impose more restrictive actions beyond conventional tariffs. Such measures could significantly impact U.S. businesses, especially in light of the considerable amount of services—over $290 billion—exported from the U.S. to Europe each year.

Former EU Trade Commissioner Cecilia Malmström noted a rising frustration among European leaders towards Trump’s persistent threats regarding Greenland, emphasizing that “Greenland is not for sale” and that Europe is becoming weary of these provocations. Dan Mullaney, a former assistant U.S. Trade Representative, underscored that the chances of Europe employing more assertive retaliatory measures have indeed increased.

Some European lawmakers argue the Commission’s previous decision not to deploy retaliatory measures was flawed. Mullaney remarked that recent U.S. threats create a stronger case for a tougher response. Notably, domestic criticism of Trump’s tariff approach is also coming from his supporters. For instance, North Carolina Senator Thom Tillis spoke out against the tariffs during a recent visit to Denmark, arguing they are detrimental to American interests and harmful to investment relationships with allies.

Concerns voiced by U.S. lawmakers highlight the bipartisan opposition to Trump’s latest oppressive tactics against Europe. Other senators, including Lisa Murkowski, Jeanne Shaheen, and Chris Coons, joined Tillis in raising alarms about the potential fallout from Trump’s strategies. Meanwhile, Trump and European Commission President Ursula von der Leyen are anticipated to meet this week at the World Economic Forum in Davos, where EU officials hope to ease tensions.

Though there remains a chance for Trump to rethink his proposed tariffs—similar to past instances—analysts suggest that this situation feels distinct. With bipartisan discontent and serious potential repercussions for transatlantic relations, the stakes have never been higher.

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