Editor’s Note
This article examines the geopolitical and economic implications of former U.S. President Donald Trump’s renewed interest in acquiring Greenland, framing it as a formal policy shift with potential global consequences. The views expressed are those of the author.
President Donald Trump’s ‘Mission Greenland’ (Trump Greenland Policy) is no longer just a topic of discussion but has become a major economic threat to the world. From real estate to global security, President Donald Trump has once again stunned the world by turning his old desire to buy Denmark’s semi-autonomous territory of Greenland into official policy (Geopolitical Power Play). Trump argues that Greenland’s strategic importance is crucial for the United States, especially as Russia and China increase their influence in the Arctic region. But this time, the matter is not limited to a ‘proposal’; Trump has turned it into a weapon in a ‘Global Trade War’ (US Europe Trade War). How will the escalating tensions between the US and Europe affect your wallet and India’s economy (India Export Opportunities)? Find out in this report.
On January 17, 2026, Donald Trump announced that any country opposing the Greenland deal would face economic consequences. He imposed a 10% import tariff on goods coming from Denmark, France, Germany, the UK, Norway, Sweden, Finland, and the Netherlands.
The European Union has called this a violation of international law. Danish Prime Minister Mette Frederiksen clarified that “Greenland is not for sale,” while France and Germany considered it a threat to NATO unity.
Greenland is not just a piece of ice; it is a treasure trove of minerals. It has vast reserves of ‘Rare Earth Metals,’ used in smartphones, electric vehicles, and military equipment. Currently, China has a monopoly on these minerals, which Trump wants to break. Additionally, new shipping routes opening due to melting ice could significantly reduce trade distances. In fact, behind US President Donald Trump’s proposal to buy Greenland is not a real estate deal but a deep strategic move. Greenland has vast reserves of ‘Rare Earth Metals,’ used in everything from smartphones to electric car batteries and lethal missiles.
When Denmark and other European countries refused to sell Greenland, Trump resorted to his old style of ‘economic punishment.’ He imposed a 10% import duty on 8 major countries, including France, Germany, and the UK. This means goods from these countries will now be more expensive in the US, creating turmoil in the global market.
Although this dispute is between the US and Europe, as a global power and emerging economy, India will not remain untouched:
– **New Export Opportunities:** If trade relations between the US and Europe deteriorate, India will have an opportunity to establish its presence in the American market. Indian companies, especially in textiles, pharmaceuticals, and the IT sector, could replace European goods.
– **Inflation and Stock Market:** Due to global uncertainty, gold and silver prices could surge. The Indian stock market may see short-term volatility, but in the long term, the ‘India-EU Free Trade Agreement’ (FTA) could gain momentum.
– **Strategic Balance:** India has deep relations with both Russia and the US. Amid Russia’s increasing activity in the Arctic region, US control over Greenland could create a strategic balance for India, although a rift in NATO is a concern.
– **Arctic Council:** India is an observer member of the Arctic Council. Any geopolitical change in this region will affect India’s scientific missions and future energy agreements.
– **Increase in Exports:** If European goods become expensive in the US market, this will be the best opportunity for India’s textile and IT sectors to establish their place there.
– **Inflation Risk:** Due to the global trade war, crude oil and gold prices could fluctuate, potentially disrupting the budget for the common person in India.
Market experts believe that if this trade war drags on, the global growth rate could fall by up to 1.5% by the end of 2026.
Major meetings are proposed between the Trump administration and the European Union (EU) in the coming weeks. If talks fail, Trump could increase this tax to 25% from June 2026. Additionally, clouds of crisis could loom over military cooperation between the US and European countries within NATO.
Another aspect of this entire conflict is that Russia and China are jointly building an ‘Arctic Silk Road.’ The point is that shipping routes are becoming shorter due to melting ice. Trump’s love for Greenland is actually an attempt to stop the growing influence of Russia and China, which could dominate maritime trade in the future.