Trump backs off Greenland tariff threat based on new “solution”

DAVOS, Switzerland — President Trump announced on Wednesday that he would not follow through on his threat to impose tariffs on eight European allies on Feb. 1 over their opposition to his claim of Greenland . Why it matters: Trump already dropped his threat to invade Greenland earlier Wednesday, and has now reversed his tariff threat — which had triggered a crisis in the transatlantic alliance and rattled global markets.

He claimed to have found a “solution” to the Greenland crisis during a meeting with NATO Secretary General Mark Rutte. Trump told reporters that the deal “gives us everything we needed.” Asked whether Greenland would be part of the U.S., he said: “It is the ultimate long-term deal. It is an infinite deal.” What they’re saying: “We have formed the framework of a future dea