European Union institutions and national governments are weighing a range of countermeasures in response to US President Donald Trump’s threat to impose new tariffs on European allies that oppose his push to bring Greenland under American control. The possibility of retaliatory duties on US products and even the activation of the EU’s strongest economic defense tools has been openly discussed, as European leaders described the move as economic pressure bordering on blackmail.

In a joint declaration, the leaders of Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands and Finland warned that tariff threats risk damaging transatlantic ties and could trigger a dangerous escalation. They stressed their determination to protect sovereignty and territorial integrity, underlining that these principles are non-negotiable.

EU foreign ministers and ambassadors met in emergency sessions over the weekend, examining options that include reviving a previously prepared package of counter-tariffs covering €93 billion worth of US goods. This package, drafted in response to earlier trade tensions with Trump, had been frozen after a trade agreement was reached last summer. The proposed measures target a wide range of American exports, including cars, industrial products, food and beverages.

French President Emmanuel Macron urged EU partners to consider activating the bloc’s anti-coercion instrument, a powerful legal mechanism designed to respond to economic pressure from third countries. Often described as the EU’s “big bazooka,” the instrument allows for sweeping trade and investment restrictions, although it has never been used since its adoption. Macron insisted that Europe must be ready to defend itself if Washington follows through on its threats.

After the crisis talks, European Council President António Costa announced that an extraordinary EU summit would be convened in the coming days, likely on Thursday, January 22. He said the discussions demonstrated Europe’s readiness to respond to any form of coercion, while still leaving the door open for dialogue.

Reactions from national leaders continued to mount. Italian Prime Minister Giorgia Meloni called the proposed US tariffs a mistake, despite her generally close ties with Trump. Dutch Foreign Minister David van Weel explicitly described the threat as blackmail. Germany’s Deputy Chancellor Lars Klingbeil said Berlin remained open to cooperation with Washington but made clear that Europe would not yield under pressure and would respond collectively if necessary.

At the same time, EU officials emphasized that there is no immediate consensus on deploying the anti-coercion instrument. Several diplomats stressed that the €93 billion retaliation package remains suspended until February 6 and that many member states still favor diplomacy over escalation. One senior EU diplomat said there was currently no formal decision to activate any trade weapon, reflecting divisions within the bloc.

Another diplomat described the situation as extremely serious, noting broad agreement that the EU cannot compromise on core principles of the international order, particularly territorial integrity. In this context, European countries underlined that recent Danish-led military exercises in Greenland, including the deployment of troops by several allies, are aimed at strengthening Arctic security and pose no threat to anyone.

Trump, however, escalated his rhetoric. In social media posts, he accused European allies of playing a “very dangerous game” and announced plans to impose 10% tariffs from February 1, rising to 25% from June 1, on countries opposing US control of Greenland. He said the measures would remain in place until a deal was reached for what he called the “complete and total purchase” of the island, which is an autonomous territory within the Kingdom of Denmark.

The dispute has cast doubt on the EU-US trade agreement signed last August, which was expected to be ratified by February and would have reduced EU tariffs on some US goods to zero. Leaders of the European Parliament’s main political groups have now indicated that approval is no longer possible under current circumstances.

European Commission President Ursula von der Leyen and António Costa warned jointly that tariffs would further undermine transatlantic relations and deepen economic risks on both sides. They were reportedly caught off guard by Trump’s latest statements while abroad signing a separate trade deal with South American partners.

Several leaders highlighted the broader geopolitical consequences. Spain’s Prime Minister Pedro Sánchez warned that a US move against Greenland would benefit Russian President Vladimir Putin by weakening Nato and legitimizing territorial aggression. EU foreign policy chief Kaja Kallas echoed concerns that China and Russia would exploit the rift, cautioning that trade wars would make both Europe and the US poorer and distract from supporting Ukraine.

Denmark’s Foreign Minister Lars Løkke Rasmussen said Trump’s announcement was unexpected, coming shortly after what he described as constructive talks in Washington with US Vice President JD Vance and Secretary of State Marco Rubio. He reiterated that the increased military presence in Greenland is solely aimed at enhancing Arctic security.

As tensions grow, some analysts have described the situation as an existential test for NATO, arguing that economic threats against allies contradict the alliance’s founding principles. While European governments continue to seek a diplomatic solution, the crisis has exposed the difficulty of managing relations with Washington without conceding on sovereignty or security.