Trump’s Greenland Push Places Issue Center Stage at Davos

European Commission President Ursula von der Leyen sought to project unity with Washington while drawing a clear line on sovereignty.

Canadian Prime Minister Mark Carney speaks during the annual meeting of the World Economic Forum at the Congress Center in Davos, Switzerland, on Jan. 20, 2026. Denis Balibouse/Reuters

Greenland, Arctic security, and U.S.–European trade tensions emerged as defining themes on the second day of this year’s World Economic Forum (WEF), as President Donald Trump loomed over proceedings.

In a series of early-morning posts on Truth Social ahead of the WEF forum’s second day in Davos, Switzerland, Trump shared AI-generated images of himself planting an American flag on Greenland.

The posts injected a jolt of geopolitical tension at the event, which organizers billed as the largest gathering in the forum’s history.

On Jan. 17, Trump announced tariffs on imports from European allies that oppose the United States taking over Greenland, an autonomous part of the Kingdom of Denmark. The president is scheduled to talk at the WEF on Jan. 21.

In a Davos speech on Tuesday, Canadian Prime Minister Mark Carney said the longstanding U.S.-led, rules-based international order is over.

Carney was in China last week and heaped praise on its leadership as his government seeks to deepen cooperation with Beijing.

“The old order is not coming back. We should not mourn it. Nostalgia is not a strategy. But from the fracture, we can build something better, stronger, and more just,” he said in his speech.

“The middle powers must act together because if we’re not at the table, we’re on the menu.”

Security in the High North rapidly became a central talking point. European Commission President Ursula von der Leyen, in her opening address at the WEF, sought to project unity with Washington while drawing a clear line on sovereignty.

She confirmed that Finland, one of NATO’s newest members, is selling icebreakers to the United States, an emblem, she said, of Europe’s “Arctic-ready” capabilities.

Arctic security “can only be achieved together,” von der Leyen said, calling for deeper cooperation among NATO allies, including the UK, Canada, Norway, and Iceland.

She said that proposed additional U.S. tariffs would be “a mistake,” particularly between long-standing allies.

“And in politics as in business—a deal is a deal. And when friends shake hands, it must mean something,” she said, referring to a transatlantic trade agreement reached last July.

Von der Leyen announced plans for a major European investment surge in Greenland, alongside a forthcoming EU security strategy that will include an updated Arctic pillar, and added that Greenland’s sovereignty within the Kingdom of Denmark is “non-negotiable.”

Trade tensions were echoed by French President Emmanuel Macron, who delivered a Davos speech after Trump threatened tariffs against French wine and champagne and posted private messages from Macron on Truth Social.

“When we look at the situation, it’s clearly a very concerning time because we are killing the structure where we can fix the situation and the common challenges we have,” Macron said.

“Without collective governance, cooperation gives way to relentless competition.”

He said that competition from the United States through trade agreements “undermines our export interests, demands maximum concessions, and openly aims to weaken and subordinate Europe, combined with an endless accumulation of new tariffs that are fundamentally unacceptable, even more so when they are used as leverage against territorial sovereignty.”

When asked about the prospect of a prolonged trade war between the United States and Europe on the sidelines of a WEF talk, Treasury Secretary Scott Bessent said: “Why are we jumping there? Why are you taking it to the worst case?... Calm down the hysteria. Take a deep breath.

“It’s been 48 hours. As I said, sit back, relax.

“I am confident that the leaders will not escalate and that this will work out in a manner that ends up in a very good place for all.

“As I said on April 2nd [for the Liberation Day tariffs], the worst thing countries can do is escalate against the United States.”