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Indonesia News Portal for Traders | Financial & Business Updates

18 January 2026 12:14  |

Trump Says 8 European Nations Face Tariffs Rising to 25% if Greenland Isn’t Sold to The U.S.

Eight NATO members’ goods sent to the U.S. will face escalating tariffs “until such time as a Deal is reached for the Complete and Total purchase of Greenland,” President Donald Trump announced Saturday.

The tariffs targeting Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands and Finland will start at 10% on Feb. 1, Trump wrote in a Truth Social post.

The tariffs will shoot up to 25% on June 1, the president said.

The penalties would presumably stack on top of the existing U.S. tariffs already levied on goods from these countries.

Tariffs imposed by the U.S. on its allies already average about 15% on goods from the European Union countries in Trump’s crosshairs and roughly 10% on imports from the United Kingdom, with rates varying by sector

In sensitive areas such as metals and certain autos, stacked measures have already pushed effective tariffs into the mid-teens to mid-20% range.

The imposition of tariffs on one or more members of the EU, which comprises 27 nations, means the new tariffs would apply to all. Trump’s demands now threaten the EU-U.S. trade agreement struck in August.

Manfred Weber, a senior member of the European Parliament (MEP), said the EU trade deal with the U.S. is “not possible at this stage.”

“The EPP is in favour of the EU-U.S. trade deal, but given Donald Trump’s threats regarding Greenland, approval is not possible at this stage,” he wrote in a post on X. “The 0% tariffs on U.S. products must be put on hold.”

Ambassadors from the EU will convene for an emergency meeting on Sunday, Reuters reported. Cyprus, which holds the six-month rotating EU presidency, called the meeting, which is set to start at 5 p.m. local time (11 a.m. ET).

Tariff strategy

Trump’s post suggested that the new tariffs on European allies are being imposed in response to the countries’ moving troops to Greenland. They took that step as the Trump administration has floated utilizing the U.S. military as part of its ramped-up efforts to acquire the Danish territory.

The eight countries “have journeyed to Greenland, for purposes unknown,” Trump wrote. “This is a very dangerous situation for the Safety, Security, and Survival of our Planet.”

A day earlier, Trump hinted that he may pursue a tariff strategy on Greenland similar to the one he used to force foreign countries to lower drug prices.

“I may do that for Greenland too. I may put a tariff on countries if they don’t go along with Greenland, because we need Greenland for national security,” he said at the White House on Friday.

While the president did not cite specific legal statutes in his Truth Social announcement for his latest moves, it appears to mirror his controversial use of the International Emergency Economic Powers Act, a law that grants the president broad powers during an “unusual and extraordinary threat.”

The Supreme Court could rule as soon as next week on whether to strike down the tariffs imposed under that law and could immediately imperil this new tranche, effectively daring the judiciary to intervene in a fresh trade war.

Scott Lincicome, a trade policy scholar at the Cato Institute, warned Saturday that the new threat exposes the fragility of relying on unilateral deals rather than binding treaties.

European response

Across Europe, the targeted nations responded with condemnation, characterizing the tariffs as a hostile act against close military allies that threatens the very fabric of the trans-Atlantic partnership.

European Commission President Ursula von der Leyen, who spearheads the bloc’s trade policy, issued a sharp rebuke to the White House’s ultimatum, framing the tariffs not just as a trade dispute but as a test of Western values.

“We choose partnership and cooperation,” von der Leyen wrote in a post on Bluesky shortly after the announcement. “We choose our businesses. We choose our people.”

Likewise, Danish Prime Minister Mette Frederiksen told MS Now Saturday that Trump’s move came as a “surprise,” citing a recent “constructive meeting” with U.S. Vice President JD Vance and Secretary of State Marco Rubio.

Frederiksen pushed back on Trump’s claims regarding troop movements, stating the increased presence is strictly to “enhance security” in an Arctic region that is “no longer a low tension area,” and was done in “full transparency” with U.S. allies.

Other European leaders were equally firm. European Council President Antonio Costa said Saturday that the bloc is “coordinating a joint response” to the threat.

 

“The European Union will always be very firm in defending international law, wherever it may be,” Costa said at a press conference Saturday following the signing of a trade agreement between the EU and South American nations in Paraguay.

Source : CNBC.com

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