By ANI
Davos, Switzerland | January 20, 2026 Amid rising tensions over Greenland and proposed US tariffs on European allies, US Treasury Secretary Scott Bessent on Tuesday asserted that the NATO alliance remains “very safe and sound” under President Donald Trump, even as European leaders warned that Washington’s trade threats risk undermining long-standing partnerships.
Speaking on the sidelines of the 2026 World Economic Forum (WEF) in Davos, Bessent dismissed concerns about the future of transatlantic security, saying, “The NATO alliance is very safe, sound — and thanks to President Trump, it’s never been more secure.”
Linking NATO’s strength to burden-sharing, Bessent said European countries must increase defence spending. “The Europeans have been spending the money on social welfare, on roads, on education, and it’s time for them to pay more, which they’ve agreed to do,” he added.
His remarks come as relations between Washington and European capitals have been strained by President Trump’s renewed push to acquire Greenland, a semiautonomous Danish territory, and his threat to impose punitive tariffs on Denmark and several other NATO members unless a deal is reached.
Addressing concerns over Greenland, Bessent urged restraint, recalling Trump’s earlier tariff actions. “I’d tell everyone: sit back, take a deep breath, do not retaliate,” he said, adding that the issue has been in the minds of American presidents “for more than 150 years.”
Earlier this week, Bessent rejected what he described as a “false choice” between Greenland and NATO. In an interview with NBC News’ Meet the Press, he said both were essential to US national security. “Of course, we are going to remain a part of NATO,” he said, while stressing that Trump does not want the US drawn into another war.
Bessent also underlined the US role in sustaining NATO, noting that support for Ukraine would collapse without Washington’s backing. He expressed confidence that European leaders would eventually align with the US position on Greenland, saying they would understand the need to remain under the American security umbrella.
However, European leaders used the Davos मंच to voice sharp criticism of Washington’s approach.
European Commission President Ursula von der Leyen warned that additional US tariffs would be a “mistake,” especially between long-standing allies. “The European Union and the United States agreed to a trade deal last July. In politics as in business, a deal is a deal. And when friends shake hands, it must mean something,” she said.
Von der Leyen also signalled Europe’s willingness to cooperate on Arctic security, announcing a major European investment initiative in Greenland. “We will work with the United States and all partners on wider Arctic security. This is clearly in our shared interest,” she said, while emphasising that Europe must strengthen its own strategic autonomy.
French President Emmanuel Macron was even more forceful, accusing the United States of using tariffs to weaken and subordinate Europe. Addressing the WEF plenary, Macron said such trade measures were being used as leverage against territorial sovereignty, calling them “fundamentally unacceptable.”
“Without collective governance, cooperation gives way to relentless competition,” Macron said, warning of a global drift toward autocracy and a world where international law is increasingly disregarded.
Macron’s remarks came after President Trump threatened escalating tariffs — including levies of up to 25 per cent by mid-2026 — if European countries do not agree to US demands over Greenland. Trump has also floated the possibility of much higher tariffs on French wine and champagne amid broader diplomatic disagreements.
As the Greenland issue continues to fuel diplomatic friction, European leaders have made clear that while cooperation with Washington remains vital, economic coercion between allies risks damaging trust at a time of heightened global instability. (ANI)
604 words, 3 minutes read time.
