DAVOS, SWITZERLAND, Jan 20 (Reuters) – US Treasury Secretary Scott Bessent expressed confidence on Tuesday that the United States and European countries will find a solution to the US government’s goal of taking control of Greenland, minimizing ‘hysteria’ over a possible trade war.
US President Donald Trump on Saturday announced tariffs on imports from European allies who oppose the United States’ takeover of Greenland, an autonomous part of the Kingdom of Denmark.
European countries say this would violate a trade deal reached with Trump last year, and EU leaders are expected to discuss possible retaliation at an emergency summit in Brussels on Thursday.
One option is a package of tariffs on 93 billion euros of U.S. imports that could automatically take effect on February 6 after a six-month suspension.
Bessent said the issue only arose recently and that a solution will be found that guarantees the national security of the United States and Europe.
‘It’s been 48 hours. As I said, sit back and relax,’ Bessent told reporters on the sidelines of the World Economic Forum’s annual meeting in Davos, Switzerland. “I’m confident that leaders will not escalate the tension and that this will resolve itself in a way that ends in a very good place for everyone.”
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Asked about the prospect of a protracted trade war between the United States and Europe, Bessent replied: ‘Why are we jumping into this? Why are you considering the worst case?… Calm the hysteria. Take a deep breath.’
Trump has repeatedly insisted that he will not settle for anything less than ownership of Greenland. The leaders of Denmark and Greenland have said the island is not for sale and does not want to be part of the United States.
