European Fee President Ursula von der Leyen says the sequence of current geopolitical shocks will power the EU to construct a brand new, unbiased Europe
US President Donald Trump on Tuesday, January 20, vowed there was “no going again” on his purpose to manage Greenland, refusing to rule out taking the Arctic island by power and rounding on allies as European leaders struggled to reply.
Trump’s ambition — spelled out in social media posts and mock-up AI pictures — to wrest sovereignty over Greenland from fellow NATO member Denmark has threatened to blow aside the alliance that has underpinned Western safety for many years.
It has additionally threatened to reignite a commerce struggle with Europe that rattled markets and firms for months final 12 months, although Trump’s Treasury Secretary Scott Bessent pushed again towards what he referred to as “hysteria” over Greenland.
“As I expressed to everybody, very plainly, Greenland is crucial for Nationwide and World Safety. There will be no going again — On that, everybody agrees!” Trump mentioned after chatting with NATO Secretary Basic Mark Rutte.
To drive residence the message, Trump posted an AI picture of himself in Greenland, holding a US flag. One other confirmed him chatting with leaders subsequent to a map displaying Canada and Greenland as a part of the US.
Individually, he leaked messages together with from French President Emmanuel Macron, who questioned what Trump was “doing on Greenland.” Trump, who has vowed to impose tariffs on nations that stood in his method, had earlier threatened to hammer French wines and champagnes with a 200% tariff.
Bessent pushes again towards ‘hysteria’
The European Union has threatened to hit again with commerce measures. One choice is a bundle of tariffs on 93 billion euros ($109 billion) of US imports that would robotically kick in on February 6 after a six-month suspension.
An alternative choice is the “Anti-Coercion Instrument” (ACI), which has by no means but been used. It might restrict entry to public tenders, investments, or banking exercise, or prohibit commerce in companies, the sector through which the US has a surplus with the bloc, together with the profitable digital companies offered by US tech giants.
“This isn’t a query concerning the Kingdom of Denmark, it’s about the whole transatlantic relationship,” Denmark’s Economic system Minister Stephanie Lose instructed journalists forward of an EU assembly of economic system and finance ministers in Brussels.
“At this cut-off date, we don’t imagine that something must be dominated out. This can be a severe scenario that, though we want to de-escalate, there are others who’re contributing to escalating it proper now, and subsequently we should maintain all choices on the desk as we transfer ahead.”
Bessent, on the sidelines of the World Financial Discussion board annual assembly in Davos, Switzerland, mentioned an answer could be discovered that ensures nationwide safety for the US and Europe.
“It’s been 48 hours. As I mentioned, sit again, calm down,” he mentioned. “I’m assured that the leaders is not going to escalate and that this can work out in a way that leads to an excellent place for all.”
Requested concerning the prospect of a chronic commerce struggle between the US and Europe, Bessent replied: “Why are we leaping there? Why are you taking it to the worst case? Relax the hysteria. Take a deep breath.”
Nonetheless, in her personal speech in Davos, European Fee President Ursula von der Leyen mentioned the sequence of current geopolitical shocks will power the EU to construct a brand new, unbiased Europe.
“We are going to solely have the ability to capitalize on this chance if we acknowledge that this modification is everlasting,” she mentioned.
Russia questions Danish aovereignty over Greenland
Trump will even this week attend the Davos gathering of the worldwide political and enterprise elite. Swiss newspaper NZZ reported that protesters marched in Zurich, Switzerland, late on Monday, January 19, carrying a large banner saying: “TRUMP NOT WELCOME. NO WEF! NO OLIGARCHY! NO IMPERIALIST WARS!”
The overseas minister of Russia, which has been watching with glee as Trump’s drive to accumulate Greenland widens splits with Europe, mentioned on Tuesday that Greenland was not “a pure half” of Denmark.
Trump’s renewed tariff threats towards European allies have revived speak of the ‘Promote America’ commerce that emerged within the aftermath of his sweeping levies final April.
Inventory markets bore the brunt on Monday of fears that the commerce struggle might re-escalate, with European equities dropping over 1% and US inventory futures taking an analogous hit that factors to weak spot following Monday’s US public vacation.
The greenback was on the again foot too, an indication that the world’s No.1 reserve forex was additionally within the crosshairs of Trump’s risk on Saturday, January 17, to extend tariffs on Europe. – Rappler.com
$1 = 0.8530 euros
