Trump Cancels EU Tariff Threat After Reaching Arctic Deal FrameworkJanuary 21–22, 2026 — Davos, Switzerland
U.S. President Donald Trump has dropped his threat to impose tariffs on several European Union countries after announcing what he described as a “framework of a future deal” on Greenland and Arctic security reached with NATO Secretary General Mark Rutte. �
Business Standard +1
The tariffs, which had been set to begin on February 1 and could have started at 10% on key imports from nations opposing Trump’s Greenland plans, will no longer move forward following talks at the World Economic Forum in Davos. Trump linked the reversal to progress on a broader strategic framework that – according to him – benefits both the United States and its European allies. �
Channelchek
Trump made the announcement on his social media platform, saying that his meeting with Rutte was “very productive” and that the framework covers Greenland and Arctic cooperation going forward. �
Business Standard
The announcement eased financial market concerns, with U.S. stock indexes rising after the tariff threat was shelved. �
Anadolu Ajansı
European leaders had reacted strongly to the initial tariff threats, with the European Parliament briefly halting work on a major U.S.–EU trade deal in protest. However, Trump’s reversal appears to have defused immediate risk of a transatlantic trade confrontation. �
The Guardian
The details of the future deal remain unclear, and Denmark has insisted that Greenland’s sovereignty will not change hands. Nonetheless, Trump’s U-turn marks a temporary diplomatic easing between the U.S. and its European partners on trade and security at a key global forum. �