German Finance Minister Advocates for Strong Transatlantic Ties

Transatlantic Relations and Financial Stability

By Mark John

Opposition to Financial Retaliation

DAVOS, Jan 22 (Reuters) - German Finance Minister Lars Klingbeil, speaking on Thursday in Davos, opposed an escalation of tensions between the United States and Europe amid new tariffs threats.

Concerns Over Greenland Dispute

"The transatlantic relationship is not about harming each other," Klingbeil said.

Global Alliances in Upheaval

The minister pushed back against calls for financial retaliation after reports that a Danish pension fund had sold U.S. government bonds.

"This is absolutely not about breaking with the Americans or dissolving the relationship," the minister said in Davos.

Europe was strong and had options, he said, but its aim was not escalation.

Speaking to reporters at the World Economic Forum after meetings with investors, the minister said the world was in upheaval and long-standing alliances were being tested, but added that many countries and regions were seeking closer cooperation with Germany and Europe.

Regarding the Greenland dispute, the minister said it was "good that people are talking" but cautioned against drawing conclusions before any arrangement was available "in black and white."

He said threats of military force and any attempt to make Greenland part of the United States were unacceptable to Europe, while signalling willingness to discuss legitimate security interests within NATO.

(Reporting by Mark John, writing by Maria Martinez, editing by Linda Pasquini)