Davos Recap: Trump's Agenda Shakes Global Elites

The world's leaders and top executives have left Davos, but the 2026 World Economic Forum was dominated by one central figure: U.S. President Donald Trump. His administration's unpredictable policies and bold demands set the tone for discussions on geopolitics, market stability, artificial intelligence, and energy, leaving a trail of uncertainty.

Here are the key takeaways from this year's eventful meeting in the Swiss Alps.

Global leaders and executives convene at the 2026 World Economic Forum in Davos, where discussions were heavily influenced by shifts in U.S. policy.

Geopolitical Tensions Flare Over Trump's Policies

Europe’s relationship with Washington was a major focus, with many leaders finding the Trump administration’s style rude and offensive, even while acknowledging some legitimate issues had been raised. The attempt to acquire Greenland crossed a clear red line on territorial sovereignty, and Europe's resistance was seen as a key factor in his decision to back off.

The episode has severely rattled European trust in the transatlantic alliance. Leaders are now exploring ways to react more swiftly to future crises. "There are efforts to advance European decision-making. We are probably too slow," noted one European Union official.

Ukraine’s situation was initially in the background, but President Volodymyr Zelenskiy arrived for talks just as Trump announced the Greenland deal. While U.S., Ukrainian, and Russian officials mentioned progress, Zelenskiy confirmed that territorial issues remain unresolved, and a peace deal seems distant.

In a clear sign of the Trump administration's influence, Russian President Vladimir Putin's envoy, Kirill Dmitriev, also arrived in Davos for talks with U.S. officials. He was the first Russian official to visit since the 2022 invasion of Ukraine, holding meetings at the USA House without formally attending the Forum.

Uncertainty over Iran also loomed large, with leaders openly debating not just the possibility of a U.S. strike but also its potential aftermath, questioning whether the regime would fall and who would manage the consequences.

Economic Uncertainty and a Push for Diversification

On the eve of the meeting, U.S. threats to impose tariffs on European allies over the Greenland issue intensified trade tensions. This fueled concerns among CEOs that Europe can no longer depend on the United States as a stable partner.

"When you talk to CEOs today, what do they want? Stability, predictability, and the rule of law. I would say it's in short supply," said Canadian Finance Minister François-Philippe Champagne during a panel on tariffs.

Trump’s move strengthened arguments for countries and companies to diversify their commercial relationships away from an increasingly protectionist U.S. and increase trade with one another.

Financial Sector Navigates New Risks

Financial services firms entered the year hoping for growth but found themselves contending with a range of potential disruptions:

• U.S. Policy: JPMorgan CEO Jamie Dimon warned that a proposed cap on credit card interest rates would be an "economic disaster."

• New Technology: Crypto executives promoted the disruptive potential of stablecoins and blockchain. While some bankers are experimenting with the technology, others remain cautious.

• Market Fears: A challenging macroeconomic outlook, questions about the U.S. Federal Reserve's independence, and concerns over asset bubbles in AI and other sectors weighed on investors.

AI Takes Center Stage: Hype, Jobs, and Investment

The tech industry made its presence felt in Davos, with high-profile appearances from Tesla CEO Elon Musk and Nvidia's Jensen Huang. AI startup Anthropic even set up a temporary office on the main promenade to pursue enterprise sales.

The skepticism toward AI valuations seen in late 2025 appears to have faded. Executives now express confidence, framing the technology's impact on the workforce as a transformation rather than a simple loss. Two business leaders told Reuters that AI would likely be used as an excuse to justify layoffs, not necessarily be the direct cause.

However, union leaders voiced strong concerns that AI will destroy jobs and worsen inequality, calling for greater regulation and worker training programs.

A New Era for Energy: Big Oil vs. Renewables

After a year of Trump's presidency, Big Oil returned to Davos with renewed confidence. The administration's pause on wind parks and its push for U.S. companies to drill for more oil have radically changed the energy narrative.

U.S. Energy Secretary Chris Wright challenged mainstream analysis by telling a panel that global oil production must more than double to meet rising demand. He also criticized Europe and California for wasting money on green energy investments. According to one oil executive, the industry is pleased with this new direction.

In a direct break with the administration's stance, Elon Musk argued that renewable energy holds immense potential. He stated that the U.S. could generate all the electricity it needs, including for power-hungry data centers, from solar panels covering a small corner of states like Utah, Nevada, or New Mexico.

"Unfortunately, the tariff barriers for solar are extremely high and that makes the economics of deploying solar artificially high," Musk noted.

Defense Spending and Secret Weapons on the Agenda

While there was relief that Trump did not suggest a military solution for his Greenland demands, the geopolitical climate has raised expectations for increased defense spending. Executives anticipate new opportunities from rising European and U.S. defense budgets, including construction and hiring.

In a surprising turn, Trump also mentioned a secret sonic weapon that he claimed was used during the capture of Venezuela's Nicolas Maduro. He asserted that the development would force Russia and China "back to the drawing board," a claim the Kremlin said its secret services are investigating.