The European Union is preparing to impose €93bn in tariffs on the United States in retaliation for Trump’s threat over Greenland. Diplomatic efforts are underway to resolve the dispute and avoid the imposition of these tariffs. EU Trade Commissioner Maroš Šefčovič has warned of a ‘dangerous downward spiral’ and emphasized the importance of avoiding a trade war. The EU has also invoked the Anti-Coercion Instrument, which could legally match the €93bn tariff threat. A joint statement by eight countries, including Germany, Denmark, and France, has denounced the tariffs as ‘poison for trans-Atlantic relations’. NATO Secretary-General Jens Stoltenberg has offered NATO’s mediation channel to discuss the ‘Greenland security’ dimension, separate from trade. Intensive EU-US talks are underway to seek a temporary suspension of the tariff schedule pending a political settlement.

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