Trump Announces Greenland Deal, But Denmark Denies It

U.S. President Donald Trump declared on Thursday that he had secured "total and permanent" American access to Greenland through a new agreement with NATO. Speaking from the World Economic Forum in Davos, Trump’s announcement followed a period of high tension after he backed away from threats of tariffs and force to acquire the territory.

However, the declaration was immediately met with confusion and pushback from Denmark and Greenland, who insisted that sovereignty over the Arctic island was not up for negotiation. The move has sent ripples through the transatlantic alliance, calming markets but leaving deep questions about the stability of Western partnerships.

U.S. President Donald Trump speaks at the World Economic Forum in Davos, where he announced a framework deal on Greenland.

Conflicting Reports Cloud Details of the Deal

While Trump projected confidence, key stakeholders claimed to be in the dark. In an interview with Fox Business Network, Trump described the agreement as providing "total access" with "no end, there's no time limit," adding that the details were currently being negotiated.

This was news to Greenland's Prime Minister Jens-Frederik Nielsen. "I don't know what there is in the agreement, or the deal, about my country," he told reporters in Nuuk. While expressing readiness to discuss a better partnership, he drew a firm line on autonomy. "Sovereignty is a red line," Nielsen stated. "We have to respect our territorial integrity."

His Danish counterpart, Prime Minister Mette Frederiksen, confirmed that no negotiations regarding Greenland's sovereignty had occurred with NATO. "It is still a difficult and serious situation," she said, acknowledging that discussions could now focus on promoting "common security in the Arctic region."

NATO's Role and the Push for Arctic Security

The deal, as framed by Trump, centers on NATO's role in the Arctic. NATO Secretary General Mark Rutte, speaking in Davos, said it was now up to the alliance's senior commanders to define the extra security requirements. "I have no doubt we can do this quite fast," Rutte told Reuters. "Certainly I would hope for 2026, I hope even early in 2026."

Frederiksen later echoed the need for enhanced security, calling for a "permanent presence of NATO in the Arctic region, including around Greenland" ahead of an EU summit in Brussels.

Similarly, Finnish President Alexander Stubb expressed hope that allies could formulate a concrete plan to boost Arctic security by the NATO summit in Ankara in July.

US Strategic Aims: Missiles, Minerals, and Containing Rivals

The U.S. interest in Greenland is driven by clear strategic goals. After meeting with Rutte, Trump said a potential deal could satisfy his desire for a "Golden Dome" missile-defense system and secure access to critical minerals. He also emphasized the need to block the ambitions of Russia and China in the Arctic. Rutte clarified that mineral exploitation was not discussed in their meeting.

Any new arrangement would build on an existing foundation. A 1951 agreement between Washington and Copenhagen already grants the U.S. the right to build military bases and move freely in Greenland. Washington currently operates a base at Pittufik in northern Greenland.

"It is important to clarify that the U.S. had 17 bases during the Cold War and much greater activity. So that is already possible now under the current agreement," explained Marc Jacobsen, an associate professor at the Royal Danish Defence College. He anticipates concrete discussions about the missile defense system and measures to exclude Russia and China from Greenland.

Transatlantic Trust Erodes Despite Market Rebound

While Trump's U-turn from his earlier aggressive posture triggered a rebound in European markets, the episode has severely damaged business confidence and transatlantic trust.

Diplomats told Reuters that leaders in the European Union are now poised to rethink relations with the U.S. Many EU governments reportedly view Trump as an unpredictable actor that Europe must learn to stand up to.

This sense of uncertainty is also felt by residents in Greenland's capital, Nuuk. "I think it's all very confusing," said pensioner Jesper Muller. "One hour we are, well, almost at war. Next hour everything is fine and beautiful, and I think it's very hard to imagine that you can build anything on it."