Trump abruptly pulls plug on Greenland tariffs, claims to have formed framework of future deal over Arctic Region

US President Donald Trump on Wednesday ruled out the use of force to take control of Greenland, abruptly stepping back from his threats to slap eight European countries with tariffs as leverage to seize the world's largest island. Trump was speaking at the annual World Economic Forum (WEF) in Davos, Switzerland, where he arrived after a delay over a "minor electrical issue" on the Air Force One.

Trump's apparent U-turn in the matter follows weeks of rhetoric that rattled the NATO alliance and fueled concerns about renewed global uncertainties. Last week, the 47th American president had warned eight European nations -- including the UK, France and Denmark -- of tariffs on their shipments into the US.

The US president made the announcement after meeting with NATO Secretary General Mark Rutte. Western Arctic allies, said Trump, could formulate a new deal over the strategic island territory.

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"Based upon a very productive meeting that I have had with the Secretary General of NATO, Mark Rutte, we have formed the framework of a future deal with respect to Greenland and, in fact, the entire Arctic Region," wrote Trump on Truth Social, his preferred social network.

The solution, if consummated, will be "a great one for the United States of America, and all NATO Nations", he claimed.

"Based upon this understanding, I will not be imposing the Tariffs that were scheduled to go into effect on February 1st. Additional discussions are being held concerning The Golden Dome as it pertains to Greenland," he said.

Trump has proposed a multi-layer missile defense system for the US, dubbed as Golden Dome. The defence system will counter any ballistic, hypersonic and cruise missile threats upon the US.

"Further information will be made available as discussions progress. Vice President JD Vance, Secretary of State Marco Rubio, Special Envoy Steve Witkoff, and various others, as needed, will be responsible for the negotiations -- They will report directly to me. Thank you for your attention to this matter!" added Trump