Sovereignty Takes a Back Seat to Strategy: Europe May Compromise with the U.S. on Greenland
Andrew Kenningham, Chief European Economist at Capital Economics, stated in a report that, barring extremely exceptional circumstances, European leaders would prioritize their partnership with the United States over concerns regarding Greenland’s sovereignty.Following President Donald Trump’s reiteration of the view that the U.S. should acquire Greenland, Kenningham noted that Europe needs U.S. support on major strategic objectives such as the Ukraine issue and the broader NATO alliance.He believes: “Any opposition from the EU to U.S. action on Greenland is likely to be carefully calibrated to avoid escalation, much like during last year’s trade war.”Furthermore, the EU also wishes to avoid further escalating trade tensions. Nevertheless, Kenningham also noted that if the U.S. were to take hostile actions regarding Greenland, it would clearly significantly increase tensions between the U.S. and the EU.
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Disclaimer: This content reflects the author's personal views only and does not constitute investment advice.
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