Trump drops plans to impose tariffs on eight NATO nations after “productive” meeting with NATO secretary general in Davos
Donald Trump has confirmed in a social media post that he will reverse plans to impose an additional 10% tariff on eight European NATO members due to a dispute over control of Greenland. This decision came after Trump met with NATO secretary general Mark Rutte at the World Economic Forum's annual meeting in Davos, Switzerland.
Trump previously threatened to impose 10% tariffs on goods entering the US from the UK, Denmark, Finland, France, Germany, the Netherlands, Norway and Sweden from February 1 – rising to 25% in June – if these countries continue to oppose the US takeover of Greenland.
This news will no doubt be welcomed by European carmakers, for whom additional tariffs could be incredibly costly.
Trump’s decision to walk back this action follows a meeting between the US president and Mark Rutte, NATO’s secretary general, in Davos. In a post on Truth Social, Trump described this meeting as “very productive”.
The removal of the threat of these tariffs, Trump outlined, is based upon an understanding that the two figures “formed the framework of a future deal with respect to Greenland and, in fact, the entire Arctic region”.
He noted that additional discussions are being held and further information will be made available as discussions progress.
Contrary to Trump’s claims of progress towards a deal over control of Greenland, Danish MP Sascha Faxe told Sky News that these discussions did not involve representatives of Greenland and therefore “are not real negotiations”.
"There can't be a deal without having Greenland as part of the negotiations," Faxe added.
Automotive Logistics will continue to monitor the situation and provide updates on any tariff-related changes via news stories and the regularly updated tariff timeline.
