Denmark Stays Away From Davos as Greenland Dispute Deepens Transatlantic Rift

Denmark will not attend the World Economic Forum in Davos this week amid a dispute sparked by U.S. tariffs tied to President Trump’s demand that the U.S. be allowed to purchase Greenland. European governments have condemned the move as damaging to transatlantic relations, raising the prospect of diplomatic and trade escalation.

View of the historic ruins of the Roman Forum in Rome, Italy on a sunny day.

Key Takeaways

  • 1Denmark has declined to send government representatives to the World Economic Forum 2026 in Davos, the WEF confirmed.
  • 2President Trump announced tariffs on imports from eight European countries and linked the measures to a demand to purchase Greenland.
  • 3European states issued a joint statement condemning the U.S. action as harmful to transatlantic ties and pledged coordinated responses.
  • 4The dispute highlights Greenland’s strategic importance in the Arctic and risks politicizing alliance relationships and multilateral forums.

Editor's
Desk

Strategic Analysis

This episode exemplifies a transactional, coercive approach to diplomacy that risks long-term damage to alliance norms. Using tariffs as leverage over a political sovereignty issue — and broadening the target set to multiple close partners — undermines trust at a time when cooperation on defence, climate and supply chains is essential. Denmark’s choice to skip Davos is a calibrated, low-risk signal of disapproval that nevertheless has outsized symbolic power: it turns a high-level convening where problems are usually managed behind closed doors into a visible manifestation of bilateral breakdown. The most likely trajectories are a negotiated de-escalation brokered by EU or NATO interlocutors, reciprocal trade measures by affected states, or a protracted chill that complicates Arctic cooperation and multilateral governance. European capitals should prepare coordinated economic and diplomatic options while preserving channels for security co-operation; failing to do so will only cede leverage to unilateral, disruptive tactics and increase the risk of routinised coercion in international affairs.

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China Daily Brief

Denmark has decided not to send government representatives to the World Economic Forum’s 2026 annual meeting in Davos, the forum confirmed to Bloomberg, a rare diplomatic snub tied to a wider dispute over Greenland that is straining relations across the Atlantic.

The decision follows an unprecedented move by U.S. President Donald Trump, who on January 17 announced tariffs on imports from eight European countries — including Denmark — and tied the levies to his demand that the United States be allowed to purchase Greenland. Trump said the tariff would rise from 10% on February 1 to 25% on June 1 unless an agreement was reached on a “full, thorough purchase” of the island; European capitals issued a joint statement the next day condemning the measures as damaging to transatlantic ties.

Greenland sits at the centre of this dispute because of its strategic location in the Arctic, its natural resources and the presence of allied military infrastructure. Though Greenland is an autonomous territory within the Kingdom of Denmark, any suggestion of transferring sovereignty or ownership has long been politically explosive — rekindling sensitivities about self-determination and international leverage over a vulnerable Arctic polity.

The absence of Danish officials from Davos is largely symbolic but still consequential. The World Economic Forum functions as an informal hub where governments, business leaders and international organisations co-ordinate on policy, trade and security; Denmark’s withdrawal signals that transatlantic trust is fraying and makes the forum a theater for diplomatic contestation rather than quiet diplomacy.

Economically, the threatened tariffs — and the broad set of countries they target — create the potential for disruptive reciprocal measures and commercial uncertainty. Politically, the episode risks weakening NATO cohesion by turning alliance relationships into transactional bargaining chips, and it complicates EU deliberations over a collective response that balances principle with the need to preserve critical security partnerships.

For now the situation looks set to remain tense. Danish officials have not publicly responded to the Bloomberg report, and much will depend on whether Brussels, London and other capitals can marshal a united diplomatic or economic reply, or whether the matter will be further inflamed by domestic U.S. politics. Davos in the coming days will be an early test of whether multilateral forums can contain the dispute or simply amplify the diplomatic rupture.

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