The United States has temporarily suspended potential tariffs on European countries over Greenland, with President Donald Trump saying there is an opportunity to reach a compromise on the future of the autonomous Danish territory. That is why the decision to impose tariffs, which were due to take effect in early February, has been temporarily suspended.

Trump made the announcement on Wednesday (January 21) after meeting with NATO Secretary General Mark Rutte on the sidelines of the World Economic Forum’s annual meeting in Davos, Switzerland , Reuters reported . He has been uneasy in the NATO alliance for weeks with threats to seize Greenland and impose tariffs on European countries.

Trump said that Western Arctic allies could reach a long-term agreement over Greenland. He said such a structure would ensure U.S. security interests, missile defense, and access to strategically important mineral resources, while also helping to counter Russian and Chinese influence in the Arctic.

He added that the proposed agreement would be a win-win for all concerned. He also commented that it would put the participating countries in a stable position in the long term in terms of security and natural resource management.

NATO has said that formal talks between Denmark, Greenland and the United States will continue. The main goal of the talks will be to prevent any economic or military presence of Russia or China in Greenland. Although the specific time and place of the meeting have not yet been finalized. Trump said that Vice President J.D. Vance, Secretary of State Marco Rubio and Special Envoy Steve Witkoff have been assigned to the talks on behalf of the United States.

Danish Foreign Minister Lars Lokke Rasmussen responded by saying that the most important thing for Denmark is the sovereignty, integrity and self-determination of the people of Greenland. According to him, such sensitive issues should be resolved through quiet and responsible diplomacy, not on social media.

In his speech in Davos, Trump made it clear that the United States would not use military force over Greenland under any circumstances. He said that many people thought that the path to using force would be taken, but he did not want to take that path.

The US stock market reacted positively to the news of Trump’s change of position. On Wall Street, the S&P 500 index recorded its biggest one-day rise in two months. However, according to European diplomats, while the softening of the tone has brought temporary relief, the core dispute over Greenland’s ownership and long-term future has not yet been fully resolved. The Greenland government had no immediate comment on the matter.