19.01.2026 20:14
Trade tensions centered around Greenland between the European Union and the United States are escalating. Following U.S. President Donald Trump's decision to impose additional tariffs on eight European countries, the EU has begun preparations for a comprehensive retaliation against Washington. In an extraordinary meeting held in Brussels, it was stated that all options are on the table, including tariffs amounting to 93 billion euros and the so-called Trade Bazooka, known as the Trade Defense Instrument.
European Union (EU) countries are preparing to respond strongly to the trade tensions initiated by U.S. President Donald Trump over Greenland. Following Trump's decision to impose additional tariffs on eight European countries, EU ambassadors convened in Brussels for an extraordinary meeting to discuss various options, including a €93 billion retaliation against the U.S.
EU AMBASSADORS CONVENED EXTRAORDINARILY IN BRUSSELS
According to a report on the Politico website, following Trump's additional tariff decision, the ambassadors of EU countries held an urgent meeting in Brussels. The meeting addressed concrete steps that could be taken if no consensus is reached in discussions with Washington.
MEASURES SUSPENDED MAY BE REINSTATED
During the meeting, the option of reinstating measures that the EU prepared last year but were suspended under the trade agreement with the U.S. in July was highlighted. In this context, the possibility of quickly imposing €93 billion in tariffs against the U.S. was evaluated.
"TRADE BAZOOKA" ON THE AGENDA FOR THE FIRST TIME
The Coercive Trade Defense Instrument, which the EU has never used before and is referred to as the "trade bazooka," was also one of the prominent options discussed at the meeting. With this mechanism, which can be activated against countries applying economic pressure, the EU can impose comprehensive economic sanctions against the U.S.
RESTRICTIONS ON U.S. COMPANIES IN THE EUROPEAN MARKET
Under the Coercive Trade Defense Instrument, steps such as blocking U.S. companies' access to the European market, limiting their commercial licenses, and restricting their participation in public tenders are mentioned as possible actions.
TRUMP SPARKED THE FUSE
U.S. President Donald Trump stated in a statement on January 17 that "world peace is at risk" in discussions regarding Greenland, announcing that he would impose tariffs on Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands, and Finland due to their opposition to the U.S. purchasing Greenland.
TARIFFS START IN FEBRUARY, INCREASE IN JUNE
Trump announced that a 10% tariff would be applied to the aforementioned eight European countries starting from February 1, 2026, and a 25% tariff would be implemented after June 1, 2026, stating that these rates would remain in effect until an agreement is reached regarding the "complete and total purchase" of Greenland.
While Trump's statements were met with backlash from EU leaders and European countries, it remains a matter of curiosity when and to what extent Brussels will implement retaliatory measures.