'Downward Spiral': EU Calls Trump Tariff A Mistake; Vows 'Unflinching' Response

At the World Economic Forum, EU chief Ursula von der Leyen warned that US President Donald Trump’s tariff threats and remarks on Greenland could trigger a “downward spiral” in EU-US relations.

Von der Leyen criticised the proposed tariffs, calling them “a mistake,” particularly between long-standing allies.

Source : ANI

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Key points generated by AI, verified by newsroom

• EU vows unflinching response to US Greenland threats.
• Transatlantic ties at risk from Trump's protectionist talk.
• EU prepares Arctic security package and Greenland investment.

European Commission President Ursula von der Leyen on Tuesday vowed an “unflinching” response to US President Donald Trump’s threats related to Greenland, warning that escalating tensions could damage long-standing transatlantic ties. Speaking at the World Economic Forum in Davos, von der Leyen cautioned that Trump’s remarks risk pushing relations between the United States and the European Union into a “downward spiral” over the autonomous Danish territory. “Plunging us into a downward spiral would only benefit the adversaries we are both committed to keeping out of the strategic landscape,” she said, adding that Europe’s response would be “united, proportional, and unflinching.”

Tariff Threats Spark Europe’s Firm Warning

Her comments came after Trump reiterated his interest in Greenland and dismissed the possibility of European resistance. The US president also threatened to impose tariffs on the UK and several European nations, prompting the EU to consider countermeasures. Washington, however, has warned that retaliatory tariffs would be “unwise.” Von der Leyen criticised the proposed tariffs, calling them “a mistake,” particularly between long-standing allies. “In politics, as in business, a deal is a deal. When friends shake hands, it must mean something,” she said.

Bloc Prepares For Package 

The EU chief also announced that the bloc is preparing a package to strengthen Arctic security, including a major investment push in Greenland to support local infrastructure and the economy. She added that the EU would work with the US and other partners on broader Arctic security initiatives, including the development of European icebreaker capabilities.

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