Finance
UK Starmer calls for 'calm discussion' to avert trade war with US over Greenland
Published by Global Banking & Finance Review®
Posted on January 19, 2026
3 min readLast updated: January 19, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on January 19, 2026
3 min readLast updated: January 19, 2026
UK's Starmer urges calm to prevent a trade war with the US over Greenland, emphasizing alliances and diplomacy over tariffs.
By Elizabeth Piper, William James and Alistair Smout
LONDON, Jan 19 (Reuters) - British Prime Minister Keir Starmer called on Monday for calm discussion to avert a possible trade war with the United States over Greenland, appealing to President Donald Trump to respect alliances such as NATO rather than undermine them.
All but ruling out retaliatory levies against the United States if Trump carried out his threat to impose tariffs on imports from Britain and seven other countries unless the U.S. was allowed to buy Greenland, Starmer sought to de-escalate the war of words.
He used an early morning press conference to set out what he described as the values underpinning his approach towards Trump, which has been criticised by opposition politicians for being too weak, by saying "pragmatic does not mean being passive".
STARMER SAYS TARIFFS SHOULD NOT BE USED AGAINST ALLIES
After telling Trump that his threatened tariffs were wrong on Sunday, Starmer doubled down to say he would use "the full strength of government" to try to stop the U.S. decision, one, he said, that could only hurt already stretched households.
"Tariffs should not be used against allies in this way," Starmer said, adding that he was not looking to escalate a tariff war at this point.
"A tariff war is in nobody's interests, and we have not got to that stage. And my focus, therefore, is making sure we don't get to that stage."
Trump threatened tariffs on imports from the eight countries which sent small numbers of military personnel to Greenland last week, following Trump's repeated statements he wanted to take over Denmark's vast Arctic island to ensure U.S. security.
Starmer said he told Trump on Sunday those forces were "clearly there to assess and work on risk from the Russians". He said he hoped that there was now "real clarity" about that.
The British prime minister signalled his approach would differ from that of the European Union, which has discussed options to respond, including a package of tariffs on 93 billion euros ($107.7 billion) of U.S. imports.
Instead, he said, Britain should work to nurture a relationship with the United States that was crucial for UK security, intelligence and defence, while disagreeing with the tariff threat and working diplomatically to avert it.
Starmer said the threats risked causing a "downward spiral" for Britain, in terms of trade and the weakening of alliances.
"I do not want to see that happen," he said, but he added: "That doesn't mean that we put to one side our principles and our values. Quite the contrary, we're very clear about what they are."
Starmer has built a solid relationship with Trump and in May last year he became the first leader to secure a deal to lower some tariffs.
Asked if he thought Trump was genuinely considering military action, Starmer said: "I don't, actually. I think that this can be resolved and should be resolved through calm discussion."
(Reporting by Sam Tabahriti, William James, Alistair Smout, Elizabeth Piper, Catarina Demony, Sarah Young, James Davey, Paul Sandle; Writing by Kate Holton and Elizabeth Piper; Editing by Sarah Young and Andrew Heavens)
The article discusses UK Prime Minister Starmer's call for calm to prevent a trade war with the US over Greenland.
Starmer believes tariffs against allies like the UK could harm trade and weaken alliances.
Starmer suggests diplomatic discussions to resolve the issue and avoid escalating tensions.
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