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    Home > Finance > NATO chief says allies must step up Arctic security in Greenland deal with Trump
    Finance
    NATO chief says allies must step up Arctic security in Greenland deal with Trump

    Published by Global Banking and Finance Review

    Posted on January 22, 2026

    2 min read

    Last updated: January 22, 2026

    NATO chief says allies must step up Arctic security in Greenland deal with Trump - Finance news and analysis from Global Banking & Finance Review
    Tags:Presidentfinancial marketsInternational tradeeconomic growth

    Quick Summary

    Trump's retreat on Greenland tariffs eases tensions but leaves uncertainty in transatlantic relations, affecting NATO and European markets.

    Table of Contents

    • NATO's Arctic Security Strategy
    • Details of the Framework Deal
    • Implications of Trump's Greenland Ambition
    • NATO Commanders' Role

    NATO Leaders Urged to Enhance Arctic Security Amid Greenland Discussions

    NATO's Arctic Security Strategy

    By Mark John, Stine Jacobsen and Janis Laizans

    Details of the Framework Deal

    DAVOS, Switzerland/COPENHAGEN/NUUK, Jan 22 (Reuters) - NATO Secretary General Mark Rutte said on Thursday that Western allies will need to step up their presence in the Arctic under a framework deal with the U.S., a day after President Donald Trump walked back threats to use tariffs or seize Greenland by force.

    Implications of Trump's Greenland Ambition

    Rutte told Reuters in an interview on the sidelines of the World Economic Forum meeting in Davos that it was now up to NATO commanders to work through the details of extra security requirements and that he was sure non-Arctic NATO allies would want to contribute to the effort.

    NATO Commanders' Role

    "We will come together in NATO with our senior commanders to work out what is necessary," Rutte said.

    "I have no doubt we can do this quite fast. Certainly I would hope for 2026, I hope even early in 2026," he said.

    Trump's ambition to wrest sovereignty over Greenland from fellow NATO member Denmark has threatened to blow apart the alliance that underpinned Western security since the end of World War Two, and reignite a trade war with Europe.

    After weeks of threats, Trump on Wednesday stepped back from the threat of imposing tariffs on countries opposing his plans and ruled out using force, suggesting instead that a framework deal over the Arctic island was in sight.

    (Reporting by Mark John, Steve Holland, Trevor Hunnicutt, Alessandro Parodi, Benoit Van Overstraeten, Stine Jacobsen, Markus Wacket, Sarah Marsh, Madeline Chambers; writing by Matthias Williams; Editing by Sharon Singleton)

    Key Takeaways

    • •Trump steps back from Greenland tariff threats.
    • •NATO unity concerns amid Greenland sovereignty talks.
    • •Potential deal discussed to protect Arctic interests.
    • •European markets rebound after tariff retreat.
    • •Cautious optimism from global leaders on Greenland issue.

    Frequently Asked Questions about NATO chief says allies must step up Arctic security in Greenland deal with Trump

    1What is NATO?

    NATO, or the North Atlantic Treaty Organization, is a military alliance of countries from North America and Europe established for mutual defense against aggression.

    2What is economic growth?

    Economic growth is an increase in the production of goods and services in an economy over a period of time, often measured by GDP.

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