Danish Prime Minister: “Trump has not withdrawn his threat to Denmark, and we are in a dangerous situation.” Here are the latest developments.
Since Thursday, the corridors of decision-making places in Denmark have been filled with a busy schedule of meetings and successive gatherings, following a 45-minute phone call between Danish Prime Minister Mette Frederiksen and US President-elect Donald Trump on Wednesday evening, which was described as a very long call between a Danish Prime Minister and an American President.
This call comes after Frederiksen stated last week that her office had requested a phone call with Trump following his remarks about Greenland and Denmark, in which he said that Greenland should be American, did not rule out the use of military force or economic sanctions against Greenland and Denmark, and added that the very existence of the United States depends on Greenland.
Read also | Denmark 24 Report | Greenland: The island that ignited the great power race
After Frederiksen's office announced a request for a call with Trump, Frederiksen said at the time that she did not expect to receive a response before Trump assumed the presidency of the United States of America, but the call did indeed take place before Trump was officially inaugurated.
Following up on the fallout from Trump’s threat and phone call, the Danish government held a meeting yesterday afternoon with top business leaders and executives from major Danish companies, which naturally play a pivotal role in Denmark’s economy.
The meeting with top business leaders included several prominent senior managers from major Danish companies, including directors from Novo Nordisk, Carlsberg & Ørsted, Lars Frørgaard Jørgensen, and Jacob-Arup Andersen, according to TV2 sources.
The meeting was held yesterday against the backdrop of Donald Trump’s threat to impose economic sanctions, including punitive tariffs on Danish goods, in connection with the debate over the future of Greenland.
According to TV2 business expert Olli Kron, 17 people have registered for the meeting, which shows very high interest.
Mette Frederiksen: Trump has not withdrawn his threat against Denmark
During a phone call on Wednesday with Danish Prime Minister Mette Frederiksen, incoming US President Donald Trump did not withdraw his threat to raise tariffs on Danish goods, Frederiksen said after a meeting of the Foreign Policy Council on Thursday, according to local media: “It’s not that we’re having one conversation about where we are. Are we moving forward or backward? But it’s not that we can say we can put forward what comes after that conversation that took place yesterday,” Frederiksen said.
She added that the situation remains “dangerous“.
This has led to a state of serious preoccupation in the Danish Prime Minister's office, the Ministry of Foreign Affairs, and the Danish Embassy in Washington. However, the discussions and management of matters are taking place behind closed doors and within a very narrow scope.
The Danish government is not preparing for economic sanctions.
Mette Frederiksen was also asked whether the Danish government was preparing for economic sanctions from the United States, and she replied: “We are not preparing for specific things that we do not yet know. But it has been hinted from the American side that, unfortunately, a situation may arise where we work together less than we do today in the economic sphere. However, this is not something the (Danish) government wants.”.
America is the largest market for Danish exports.
A business analyst at TV2 explained that the US market is Denmark's largest export market, and therefore talk of potential punitive tariffs is an important agenda item for the Danish business community, as billions of kroner are on the agenda during days of meetings between the government and the Danish business community.
Therefore, when Donald Trump resumes the office of President of the United States on Monday, he will also take control of the keys to Denmark's largest export market.
According to the latest figures from Statistics Denmark, Danish companies exported goods worth 326 billion Danish kroner (about 45 billion US dollars) to the United States in the first 11 months of 2024.
This is more than double compared to the same period in 2020 when Trump was president.
Member of the Foreign Policy Committee: “This is serious.”
Peter Skarup, a member of the Danish Democrats (a right-wing party led by Inger Støjberg) and a member of the Danish Parliament's Foreign Policy Committee, told TV2: “This is serious. Denmark has to cooperate with others to stand strong in this context, and we have to do that. We owe it to the citizens of Denmark, a “small country” – especially when it comes to security, but Greenland is not. So it’s natural that the United States has strong interests in the Arctic. We have to listen to that; it’s our close ally, it’s the United States, regardless of who the president is.”.
Political analyst on Danish TV2: Either option would be a “disaster”.”
TV2 political analyst Morten Nielsen explained that there is a great deal at stake for Denmark, as this issue threatens to affect the relationship with Denmark's closest allies and also the Danish economy, either of which would be a disaster.
There is also a lot that happens behind closed doors, and suddenly it can develop rapidly, according to him.
Parliamentary parties called for another emergency meeting on Friday
The future of Greenland continues to occupy a large space in the Danish parliament building, Christiansborg, and another meeting was held on Friday regarding the situation and the relationship with the United States.
According to TV2, it was an orientation meeting held at the Ministry of Business between 9 and 9:45, where business rapporteurs from the parties in the Danish Parliament were invited to a briefing with Danish Business Minister Morten Bodskov on the geopolitical situation.
Danish companies prepare for Trump's threats
If Donald Trump carries out his threats to impose punitive tariffs and a trade war breaks out between the United States and Europe, it could have dire consequences for Denmark.
This will lead to higher inflation, while well-positioned companies may risk bankruptcy, according to Lisper Dugard-Farbe, managing director of credit insurance company Atradius, as reported by TV2. .
He added that he envisions two scenarios: “That Donald Trump will exaggerate his threats regarding punitive tariffs in order to gain a better hand when he has to negotiate with the Danish parliament, or that he will actually do what he says. We believe in and hope for the first scenario, but we also have to prepare for the second.”.
