President of the European Commission Ursula von der Leyen has described the sovereignty of Greenland as “non-negotiable” and has branded the US President Donald Trump’s threatened tariffs as a mistake that risks plunging relations into “a downward spiral”.
Speaking at the World Economic Forum in Davos on Tuesday, Ms von der Leyen said that Europe was “fully committed” to the security of the autonomous Danish territory.
Her comments came after Mr Trump warned that a 25 per cent tariff would be imposed on European nations that have pushed back against his plan to take control of the island, most of which lies in the Arctic Circle.
“The proposed tariffs are a mistake, especially between long-standing allies,” Ms von der Leyen told delegates.
“We consider the people of the US not just our allies but our friends. Plunging us into a downward spiral would only aid the very adversaries we’re committed to keeping out of the strategic landscape … The sovereignty and integrity of the territory are non-negotiable.”
Ms von der Leyen said that “massive” European investment in Greenland was taking place, and argued that increases in defence spending should be used for, among other things, an ice breaker.
“We will work with the US and all our partners on wider Arctic security. This is clearly in our shared interest,” she said.
Europe's defence drive
In a forceful speech, she said “Europe needs an urgency mindset”, but singled out the continent’s increases in spending on defence as a sign that this urgency was taking hold.
“We have done more on defence in the last year than in decades before. We have started a surge in spending, up to 800 billion euros by 2030,” she said.
Ms von der Leyen spoke several times of the increased importance of the continent achieving “independence” amid a changed global order.
“This need is neither new nor a reaction to recent events. It has been a structural imperative for far longer,” she said.
Part of this means, she said, increasing investments in energy, including in renewable energy, to reduce dependence on imports.
“Now we have to speed up that transition because home-grown cheaper, reliable energy will drive our economic growth and secure our independence,” she said.
'Russian aggression'
The need to end the war in Ukraine should also be a priority, Ms von der Leyen said, adding that member states would provide Ukraine with 90 billion euros in support over the next two years.
“Four years on, Russia shows no sign of abating, no sign of peace. Russia is intensifying its attacks … killing civilians every day as we speak,” she said.
“This must end. We all want peace for Ukraine. We recognise President Trump’s role in pushing the peace process forward. Ukraine must be in a position of strength to go to the negotiating table.”
India mega deal
She also said that the EU was on the cusp of the “mother of all deals” with India, which would mark one of the largest trading arrangements of its kind. Such a deal would, she said, create a trading bloc of about two billion people.
The deal would “account for almost a quarter of global GDP … and, crucially, that would create a first-mover advantage for Europe”, Ms von der Leyen said.
“Europe will always choose the world, and the world is ready to choose Europe”, she said.
She also hailed the free-trade deal that she recently signed with the Mercosur bloc of South American nations, which includes Brazil and Argentina among others. The treaty covers nearly one-third of global GDP and 700 million people.
“This agreement says a powerful message that we’re choosing free trade over tariffs … and that we’re serious about de-risking our economies and diversifying our supply chains,” she said.
