The Trump administration plans to use a two-stage tariff to force Europe to cede Greenland, aiming to control Arctic shipping routes, rare earth resources, and national defense outposts. This article explores the issue from multiple perspectives.
(Background summary: Trump announced that in February, tariffs of 10% would be imposed on Denmark and eight other European countries, vowing to “take Greenland.” The EU responded by forming a coalition to counter.)
(Additional background: Trump’s proposal to buy Greenland with “$100,000 per resident” in exchange for becoming American citizens sparked strong opposition from Denmark and the EU.)

Table of Contents

• Four Reasons Why Trump Is Not Buying Greenland
  • “The Golden Dome”: The Frontline of U.S. Homeland Defense
  • The Lifeline to Break the “Rare Earth Lock”
  • Arctic Passage: Controlling the Future Trade Toll Booths
  • Massive Energy Reserves
• The Heritage of History: A Millennia-Long “Claim” Dispute
  • “The Green Land”: Viking Marketing Strategy
  • The Word Games of the “Kiel Treaty”
• The Current Situation in Greenland: Aspiring for Independence but “Lacking Milk”
• Personal Legacy: Trump’s Ambition for Historical Positioning
• The Fate at the Crossroads of the Arctic Century

Today (18th), the global political stage was shaken again as U.S. President Trump announced: starting February 1, the United States will impose a 10% import tariff on eight NATO member countries including Denmark, Norway, Sweden, France, Germany, the UK, the Netherlands, and Finland. If these countries do not cooperate on the Greenland issue, the tariffs will further increase to 25% on June 1.

Trump openly stated: “This tariff rate will remain until the transaction to fully purchase Greenland is completed,” and accused these European countries of sending troops to Greenland as a “dangerous game of playing with fire.”

Why is this island, which is 60 times larger than Taiwan but has a population of less than 60,000 and 80% of which is permanently ice-covered, so important to Trump? We will explain below.

Four Reasons Why Trump Is Not Buying Greenland

For Trump, the reason behind buying Greenland is its irreplaceable strategic value in the current technological and military landscape.

“The Golden Dome”: The Frontline of U.S. Homeland Defense

In multiple statements in 2025, Trump repeatedly mentioned a concept: “The Golden Dome.” This is the most advanced missile defense system in the U.S., designed to intercept missile attacks from China and Russia.

• Geographical Advantage: Greenland is located within the Arctic Circle, providing the shortest path for Russian missiles to attack the U.S. mainland.

• Radar Eyes: The U.S. has deployed the world’s strongest early warning radar at the “Pituffik Base” on the island. Gaining full sovereignty would allow the U.S. to expand defense facilities and further shield the entire North American continent under a secure umbrella.

Breaking the “Rare Earth Lock” as a Lifeline

On the other hand, Greenland is known as the “Frozen Treasure,” possessing the world’s largest undeveloped rare earth mineral deposits.

• Tech Heart: Rare earths are core components of semiconductors, electric vehicles, and radar systems. Over 85% of the global supply chain is controlled by China.

• National Security: The Trump administration understands that establishing an independent rare earth production base in Greenland would allow the U.S. high-tech industry and military-industrial complex to break free from reliance on other countries, no longer being “held hostage” by foreign powers.

Arctic Passage: Controlling the Future Trade Toll Booths

With global warming, the previously blocked Arctic shipping routes are gradually opening.

• Time and Space Compression: The Arctic route shortens the traditional Suez Canal route by about 40%, saving 7–15 days.

• Commercial Empire: Controlling Greenland means controlling the “highway entrance” for future Eurasian trade. This is not only a commercial interest but also a strategic high ground to block enemy shipping during wartime.

Massive Energy Reserves

According to geological surveys, the northeastern waters of Greenland contain about 31 billion barrels of oil and large amounts of natural gas. As climate crises intensify, Greenland has shifted from oil exploration to environmental protection, focusing on renewable energy and key mineral development.

However, for Trump, who has always dismissed global warming, this is equivalent to adding a highly valuable oil field to the U.S.

From these four reasons, it is clear that Greenland is not just a desolate icy island but a strategic land of potential for North American defense and resources.

Heritage of History: A Millennia-Long “Claim” Dispute

After discussing the interests, you might wonder why this large island, closer to North America, is still under the sovereignty of Denmark, far in Europe. This is actually the result of a series of historical accidents:

“The Green Land”: Viking Marketing Strategy

In the 10th century, Vikings nicknamed “Redbeard Erik” was exiled from Iceland after killing someone. He sailed to this vast land, which, although 80% covered in ice and snow, he cleverly named Greenland to attract investment and settlement.

This strategy worked well, and Norwegian Vikings established roots here. Greenland initially became part of Norway’s sphere of influence.

The Word Games of the “Kiel Treaty”

Later, Denmark and Norway formed a union, with Denmark as the leading power. After the Napoleonic Wars ended in 1814, Denmark was defeated and forced to sign the Kiel Treaty, ceding “Norway” to Sweden.

But during the treaty negotiations, Denmark played a clever word game: the treaty stipulated that Norway would go to Sweden, but Norway’s overseas territories—Greenland, the Faroe Islands, and Iceland—were quietly retained by Denmark. Sweden at the time was not interested in this icy wasteland, which allowed Denmark to maintain sovereignty to this day.

Greenland’s Current Situation: Aspiring for Independence but “Lacking Milk”

Although Greenland has belonged to Denmark for a long time, local attitudes are extremely complex.

2009 “Coming of Age”

Greenland is currently a highly autonomous territory. Since 2009, except for defense and foreign affairs managed by Denmark, resource development, justice, and education are handled by Greenlanders themselves. This means Denmark does not have the authority to sell the island “without Greenland’s consent.”

The Fiscal Umbilical Effect

Greenland’s economy is highly dependent on fishing (accounting for 90% of exports). It relies on about $600 million in annual subsidies from Denmark (one-third of its GDP). While Greenlanders desire full independence, the prospect of losing this “milk” and facing fiscal collapse makes them hesitant to take the final step.

Trump’s strategy is to leverage this. He hints that the U.S. can offer more generous “compensation” and directly states: “Denmark can’t protect you; they only have two sleds patrolling!”

Personal Legacy: Trump’s Ambition for Historical Positioning

Beyond strategy and resources, some believe Trump harbors a deep desire for historical significance. He sees himself as a great leader comparable to Jefferson (Louisiana Purchase), Polk (California acquisition), and Seward (Alaska Purchase).

In his view, if he can complete this “largest real estate deal in human history,” he will become a giant in expanding America’s territory, securing future century-long hegemony for the U.S., and restoring America’s glory.

The Crossroads of the Arctic Century

In summary, the Greenland dispute is essentially a microcosm of geopolitical reshuffling under climate change and great power competition. This icy treasure trove is becoming a new battleground for major powers in the 21st century.

For Denmark, it’s a battle to defend sovereignty and dignity; for Greenlanders, it’s a choice between independence dreams and the squeeze of power; for Trump, it’s a high-stakes gamble he is determined to win. As the tariff deadline of approaches on February 1, the controversy over this century-defining deal will continue to escalate.

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