European Union ambassadors reached a broad agreement on Sunday to intensify diplomatic efforts aimed at persuading Donald Trump to reconsider new tariff threats. At the same time, they agreed to prepare retaliatory measures if the duties move forward, according to EU diplomats.
Trump said on Saturday he would impose escalating tariffs on several European allies from February 1. The countries named include Denmark, Sweden, France, Germany, the Netherlands, Finland, Britain, and Norway. He linked the threat to US demands to gain access to Greenland, a move that senior EU officials described as coercive.
EU leaders are scheduled to meet at an emergency summit in Brussels on Thursday to discuss their response. One option under review is a tariff package targeting €93 billion worth of US imports. These measures could automatically take effect on February 6, following the end of a six-month suspension.
Major EU states decry US President Trump's tariff threats against European allies over Greenland as blackmail, as France proposes responding with range of previously untested economic countermeasures. Lape Olarinoye reports pic.twitter.com/Tm13SvKWTh
— TRT World Now (@TRTWorldNow) January 18, 2026Another option is the EU’s rarely used Anti-Coercion Instrument. This tool could restrict access to public tenders, limit investment flows, or curb trade in services such as digital platforms, where the United States maintains a surplus with the bloc. Diplomats said the tariff package currently enjoys broader support, while views on activating the anti-coercion mechanism remain divided.
European Council President Antonio Costa said consultations among member states showed strong unity in backing Denmark and Greenland. He added that the bloc stands ready to defend itself against any form of economic pressure.
Danish Foreign Minister Lars Lokke Rasmussen said Copenhagen would continue to prioritise diplomacy. He pointed to a new working group, agreed to last week, between Denmark, Greenland, and the United States. Rasmussen stressed that US institutions extend beyond the presidency and include checks and balances.
Europe is putting up a united front against @POTUS Donald Trump’s threat of a takeover of Greenland, condemning his recent move to impose tariffs over its support for the Arctic island and reportedly preparing massive retaliatory tariffs in response. https://t.co/dstUurivrh
— Washington Examiner (@dcexaminer) January 18, 2026Dialogue with Washington is expected to feature prominently at the World Economic Forum in Davos this week, where Trump is due to deliver a keynote address on Wednesday. An EU diplomat said all options remain open, with talks in Davos followed by further discussions among European leaders.
The tariff threats have already unsettled financial markets, pushing the euro and sterling lower against the dollar. Analysts warn that prolonged uncertainty could fuel renewed volatility.
Several EU leaders have voiced differing views on the response. A source close to Emmanuel Macron said he favours activating the Anti-Coercion Instrument. Irish Prime Minister Micheal Martin agreed the EU must respond, but said it was too early to deploy the mechanism.
Read: Trump Says US Must Own Greenland to Prevent Russia, China
Italian Prime Minister Giorgia Meloni described the tariff threat as a mistake. She said she had spoken directly with Trump and made her concerns clear. Danish Prime Minister Mette Frederiksen welcomed the support from across Europe, saying the continent would not accept blackmail.
The dispute has also cast doubt on recent US trade agreements with Britain and the EU. Critics argue that those deals already favour Washington, as the United States retains broad tariffs while its partners remove many import duties.
In response, the European Parliament is expected to delay work on the EU-US trade deal. Manfred Weber, head of the largest parliamentary group, said approval was not possible under the current circumstances. German lawmaker Juergen Hardt even suggested that a boycott of the football World Cup hosted by the United States could serve as a last-resort signal to Washington.
