{"id":422775,"date":"2026-01-19T07:08:11","date_gmt":"2026-01-19T07:08:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/422775\/"},"modified":"2026-01-19T07:08:11","modified_gmt":"2026-01-19T07:08:11","slug":"european-leaders-warn-of-dangerous-downward-spiral-with-us-over-trumps-tariff-threats","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/422775\/","title":{"rendered":"European leaders warn of &#8216;dangerous downward spiral&#8217; with US over Trump&#8217;s tariff threats"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" alt=\"David Crowe\" data-testid=\"author-avatar-image\" height=\"64\" src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/01\/1768806489_3_64ce109be56ceea0d7f4eb381757b1cddf9ee9b3.png\"  width=\"64\" class=\"sc-9a01536c-0 cJPmxL\"\/><\/p>\n<p data-testid=\"article-datetime\" class=\"sc-5cbbddda-5 jMFiFd\">Updated January 19, 2026 \u2014 12:17pm,first published January 19, 2026 \u2014 5:45am<\/p>\n<p>Save<\/p>\n<p class=\"sc-d1b14060-4 NcyxX\">You have reached your maximum number of saved items.<\/p>\n<p>Remove items from your <a href=\"https:\/\/www.theage.com.au\/goodfood\/saved\" class=\"sc-3f16ee48-12 sc-d1b14060-2 kfUMNO cdQiAR\" rel=\"nofollow noopener\" target=\"_blank\">saved list<\/a> to add more.<\/p>\n<p class=\"sc-369d9219-1 eGTSJh\">Save this article for later<\/p>\n<p class=\"sc-369d9219-2 crcSSW\">Add articles to your saved list and come back to them anytime.<\/p>\n<p>Got it<\/p>\n<p>AAA<\/p>\n<p>London: European leaders are warning of a \u201cdangerous downward spiral\u201d in relations with the United States in the dispute over Greenland, as they canvass a sweeping retaliation against President Donald Trump for threatening new tariffs on their exports.<\/p>\n<p>However, the eight leaders are being careful to avoid any personal remarks that might inflame the dispute with Trump when the argument has the potential to wreck the NATO alliance.<\/p>\n<p><img decoding=\"async\" alt=\"Denmark\u2019s prime minister says Europe won\u2019t be blackmailed by Trump\u2019s threat of tariffs against eight NATO member states.\" aspectratios=\"[object Object]\" loading=\"lazy\" src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/01\/5d5fff5c3c73b5dcfaaac0b1f5e56d6501593020.jpeg\"  class=\"sc-d2942506-1 wgbit\"\/>Denmark\u2019s prime minister says Europe won\u2019t be blackmailed by Trump\u2019s threat of tariffs against eight NATO member states.AP<\/p>\n<p>Instead, they are blasting Trump\u2019s policy move as \u201cblackmail\u201d and framing it as a test of sovereignty for them all.<\/p>\n<p>\u201cWe stand in full solidarity with the Kingdom of Denmark and the people of Greenland,\u201d says the statement from the leaders of the United Kingdom, France, Germany, Finland, Sweden, Norway, Denmark and the Netherlands.<\/p>\n<p>\u201cBuilding on the process begun last week, we stand ready to engage in a dialogue based on the principles of sovereignty and territorial integrity that we stand firmly behind.<\/p>\n<p>Related Article<a href=\"https:\/\/www.theage.com.au\/world\/north-america\/how-trump-s-first-year-ushered-in-the-law-of-the-jungle-20260116-p5nuh0.html\" tabindex=\"-1\" class=\"sc-cba76dee-0 hLTVHY\" rel=\"nofollow noopener\" target=\"_blank\"><img decoding=\"async\" alt=\" \" aspectratios=\"[object Object]\" loading=\"lazy\" src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/01\/7b596170d1d367f298ebddc87f73170b02e0f6dccc5bb0873fc589e4eeb2b308.jpeg\"  class=\"sc-d2942506-1 ffXaNQ\"\/><\/a><\/p>\n<p>\u201cTariff threats undermine transatlantic relations and risk a dangerous downward spiral. We will continue to stand united and coordinated in our response. We are committed to upholding our sovereignty.\u201d<\/p>\n<p>A key point in the statement is the reference to \u201cour\u201d sovereignty, not just the borders of Greenland or Denmark. The European leaders see this as a bigger question because Trump is using economic coercion so nakedly against them.<\/p>\n<p>Danish Prime Minister Mette Frederiksen sums this up in a message that welcomes the support from neighbours.<\/p>\n<p>\u201cEurope will not be blackmailed,\u201d she writes. \u201cAt the same time, it is now even clearer that this is an issue that reaches far beyond our own borders.\u201d<\/p>\n<p>There is no sign, so far, of an urgent meeting of the leaders to show their unity against Trump. British Prime Minister Keir Starmer has called Trump to urge him to stop the trade threats, while French President Emmanuel Macron has called counterparts to urge a tough response.<\/p>\n<p><img decoding=\"async\" alt=\"Denmark\u2019s Prime Minister Mette Frederiksen has said Greenland\u2019s status is not up for discussion.\" aspectratios=\"[object Object]\" loading=\"lazy\" src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/01\/310056cd8f2f86ecc9244e7ac310a7a8b931c7a0.jpeg\"  class=\"sc-d2942506-1 wgbit\"\/>Denmark\u2019s Prime Minister Mette Frederiksen has said Greenland\u2019s status is not up for discussion.AP<\/p>\n<p>Macron is said to want European Union members to use their \u201ctrade bazooka\u201d against Trump \u2013 a drastic sanction on US companies that could, in theory, stymie exports worth \u20ac93 billion (about $162 billion). The Financial Times said the EU members were discussing the option.<\/p>\n<p>Outwardly, at least, the European strategy seems designed to avoid a sense of panic.<\/p>\n<p>Trump is using tactics that convey drama and heighten pressure by setting a deadline of February 1 for new tariffs of 10 per cent on the eight countries. He says this will climb to 25 per cent on June 1.<\/p>\n<p>The president seems have taken offence at a small military exercise by the eight nations to support Denmark in recent days, in an operation called Arctic Endurance. This involves about 15 personnel from France and the same from Germany, but only a single officer from Britain.<\/p>\n<p>There is not much time for Trump to cool down, but he has delayed his tariff threats in the past.<\/p>\n<p>\u2018No intimidation or threat will influence us \u2013 neither in Ukraine, nor in Greenland, nor anywhere else in the world when we are confronted with such situations\u2019.<\/p>\n<p>Emmanuel Macron, president of France<\/p>\n<p>This time, the European leaders may want to avoid the impression that they are rushing to compromise. Many of them have the chance to talk to Trump within days, when he attends the World Economic Forum in Davos, Switzerland.<\/p>\n<p>Related Article<a href=\"https:\/\/www.theage.com.au\/world\/europe\/appeasing-trump-won-t-work-could-europe-deploy-its-bazooka-over-greenland-20260119-p5nv0b.html\" tabindex=\"-1\" class=\"sc-cba76dee-0 hLTVHY\" rel=\"nofollow noopener\" target=\"_blank\"><img decoding=\"async\" alt=\"Donald Trump\u2019s threat to increase tariffs  unless the U.S. buys Greenland has sparked discussion about retaliation.\" aspectratios=\"[object Object]\" loading=\"lazy\" src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/01\/166ea1516322d2c39d7f801c630d13de78d64399.jpeg\"  class=\"sc-d2942506-1 ffXaNQ\"\/><\/a><\/p>\n<p>NATO Secretary-General Mark Rutte says he hopes to see Trump in Davos. There is no announcement, so far, of a broader summit on the sidelines of the Swiss gathering.<\/p>\n<p>The future of NATO is at stake, and it looks like the easy option for the Europeans is to trade away Greenland to pacify Trump. But this would mean \u201cselling\u201d the 57,000 people of Greenland \u2013 an unconscionable and, frankly, impossible transaction.<\/p>\n<p>This leaves the hard option of holding the line against Trump and rejecting his economic coercion. History suggests that if they cave to his tariff threat now, he will only use the same threat again.<\/p>\n<p>Six months ago, Starmer <a class=\"inline-link\" href=\"https:\/\/www.reuters.com\/business\/autos-transportation\/us-uk-trade-deal-be-completed-very-soon-says-starmer-2025-06-16\/\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">struck a trade deal with Trump to avoid higher tariffs<\/a>. Now, that agreement is obsolete because new tariffs are on the way. A separate \u201ctechnology prosperity deal\u201d from last September,<a class=\"inline-link\" href=\"https:\/\/www.theguardian.com\/us-news\/2025\/dec\/15\/us-pauses-tech-prosperity-deal-britain-donald-trump-keir-starmer\" rel=\"noopener noreferrer nofollow\" target=\"_blank\"> announced when King Charles III gave Trump the full royal treatment<\/a> during his state visit, is in limbo.<\/p>\n<p>The European Union agreed to a trade deal with Trump in July, claiming it would create certainty in uncertain times. This requires a vote in the European parliament,<a class=\"inline-link\" href=\"https:\/\/ec.europa.eu\/commission\/presscorner\/detail\/en\/statement_25_1915\" rel=\"noopener noreferrer nofollow\" target=\"_blank\"> but it is now on hold because of the threats over Greenland<\/a>.<\/p>\n<p>This is the trouble with trying to mollify Trump when he threatens tariffs. No deal sticks. So why do a deal?<\/p>\n<p>The European leaders may end up copying the line taken by Chinese President Xi Jinping.<\/p>\n<p>\u201cWe do not want a tariff war, but we are not afraid of one,\u201d the Chinese government said last October, during one of several disputes with the US on trade.<\/p>\n<p>For the Europeans, the lesson of the past year is that giving ground to Trump in one argument over tariffs will not bring any genuine certainty because there is likely to be another argument and another tariff threat.<\/p>\n<p>Extreme move<\/p>\n<p>While there is talk about Europe reacting with decisions on defence, such as threatening to withdraw their support for American bases in their countries, this would be an extreme move that would only weaken security for them all.<\/p>\n<p>The danger to watch for is a decision by Trump to cut military support to NATO forces in Europe, forcing countries to commit more to the alliance. Republicans are declaring he has gone too far with his tariff threat against NATO allies, so they may attempt to restrain him from making things worse.<\/p>\n<p>While the message from Europe may not change Trump\u2019s mind, there is a chance that the counsel from Republican supporters could prevent him from greater damage to the NATO alliance.<\/p>\n<p>The formal rejection from the eight European leaders adds to remarks in the hours after Trump announced his new move.<\/p>\n<p>Related Article<a href=\"https:\/\/www.theage.com.au\/politics\/federal\/trump-a-reminder-that-governments-should-govern-not-police-20260118-p5nuwj.html\" tabindex=\"-1\" class=\"sc-cba76dee-0 hLTVHY\" rel=\"nofollow noopener\" target=\"_blank\"><img decoding=\"async\" alt=\"Donald Trump has promised \u201csome of the most aggressive housing reform plans in American history\u201d.\" aspectratios=\"[object Object]\" loading=\"lazy\" src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/01\/1768806491_841_9e4bedecf33233f9a9daf858409d660d2ef18eb7.jpeg\"  class=\"sc-d2942506-1 ffXaNQ\"\/><\/a><\/p>\n<p>The most provocative is French President Emmanuel Macron, who appears to draw a parallel between American pressure over Greenland and Russian pressure over Ukraine.<\/p>\n<p>\u201cNo intimidation or threat will influence us \u2013 neither in Ukraine, nor in Greenland, nor anywhere else in the world when we are confronted with such situations,\u201d Macron says on X.<\/p>\n<p>\u201cTariff threats are unacceptable and have no place in this context.\u201d<\/p>\n<p>Macron, like others, is taking a hard line. There is a chance that sanity might prevail: that Trump may relent on tariffs and accept a security deal on Greenland that gives him more military bases without full ownership.<\/p>\n<p>This is an argument for Europe to hold firm without inflaming Trump \u2013 admittedly, an almost impossible balance with such a volatile president.<\/p>\n<p>The alternative is the ruination of NATO. Trump may respond to a trade war by using force against American allies and seizing Greenland despite their protests. In this scenario, previously unthinkable, the alliance is broken and Europe is exposed. And everything depends on who, one day, replaces Trump.<\/p>\n<p>Get a note directly from our foreign correspondents on what\u2019s making headlines around the world. <a class=\"inline-link\" href=\"https:\/\/www.theage.com.au\/newsletter-signup?newsletter=trump-biden-2020&amp;utm_source=EditorialArticle&amp;utm_medium=ArticleText&amp;utm_campaign=Newsletters\" rel=\"nofollow noopener\" target=\"_blank\">Sign up for our weekly What in the World newsletter<\/a>.<\/p>\n<p>Save<\/p>\n<p class=\"sc-d1b14060-4 NcyxX\">You have reached your maximum number of saved items.<\/p>\n<p>Remove items from your <a href=\"https:\/\/www.theage.com.au\/goodfood\/saved\" class=\"sc-3f16ee48-12 sc-d1b14060-2 kfUMNO cdQiAR\" rel=\"nofollow noopener\" target=\"_blank\">saved list<\/a> to add more.<\/p>\n<p>From our partners<\/p>\n","protected":false},"excerpt":{"rendered":"Updated January 19, 2026 \u2014 12:17pm,first published January 19, 2026 \u2014 5:45am Save You have reached your maximum&hellip;\n","protected":false},"author":2,"featured_media":422776,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[43,44,41,39,42,40],"class_list":{"0":"post-422775","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-headlines","8":"tag-headlines","9":"tag-news","10":"tag-top-news","11":"tag-top-stories","12":"tag-topnews","13":"tag-topstories"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/422775","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=422775"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/422775\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/422776"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=422775"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=422775"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=422775"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}