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The European Union is preparing to strike the US with a hefty set of tariffs worth €93bn ($107.71bn) after Donald Trump’s threats over Greenland on Saturday, according to a report.
The bloc is also considering restricting US companies from its market in response to the threats, the report in the Financial Times states.
Brussels hopes the measures, which were discussed during a meeting of EU ambassadors on Sunday, will provide European leaders leverage in pivotal meetings with Trump at the World Economic Forum in Davos this week.
It comes after the eight nations at risk of US tariffs – Denmark, Finland, France, Germany, Netherlands, Norway, Sweden and Britain – warned in a joint statement that tariffs would “undermine transatlantic relations and risk a dangerous downward spiral”.
UK prime minister Sir Keir Starmer held a call with Trump on Sunday, in which he told the US president that “applying tariffs on allies for pursuing the collective security of NATO allies is wrong”, according to Downing Street.
Donald Trump said on Saturday that 10 per cent tariffs would come into effect on February 1, before increasing to 25 per cent on June 1 and continuing until a deal is reached for the US to purchase Greenland.
Alex Croft18 January 2026 19:35
British prime minister Sir Keir Starmer held a call with Donald Trump after the US president threatened heavy tariffs on the UK over its support for Greenland.
Sir Keir held calls with several European leaders who have also been threatened by the US, along with Nato secretary-general Mark Rutte.
“The Prime Minister had a number of calls with leaders this afternoon. He spoke to Prime Minister of Denmark, Mette Frederiksen; President of the European Commission, Ursula von der Leyen and NATO Secretary-General Mark Rutte. He then spoke to President Trump,” a Downing Street spokeswoman said.
“In all his calls, the Prime Minister reiterated his position on Greenland. He said that security in the High North is a priority for all NATO allies in order to protect Euro-Atlantic interests.
“He also said that applying tariffs on allies for pursuing the collective security of NATO allies is wrong.”
Donald Trump and Sir Keir Starmer (Suzanne Plunkett/PA) (PA Wire)
Alex Croft18 January 2026 19:21
The Independent’s political correspondent Millie Cooke reports:
The UK would never support the US attempt to purchase, a Cabinet minister has confirmed, as tensions grow over the issue.
It comes after Donald Trump ramped up pressure with a pledge to apply tariffs to the UK until a deal is reached for the US to acquire Greenland.
Asked on Sky News whether she can say that the UK will never accept such a proposal, Lisa Nandy said: “Yes, of course. I mean, the Prime Minister was very clear last night that we believe that this decision on tariffs is completely wrong.”
The future of Greenland is for the people of Greenland and the people of the Kingdom of Denmark to determine and for them alone. We’ve been consistent about that.
“That is a view that we’ve expressed to our friends and allies in the American administration”
Alex Croft18 January 2026 19:20
A European diplomat said the bloc is taking on a carrot-and-stick approach to Donald Trump after his tariff threats relating to Greenland.
As reported by the Financial Times, the EU is preparing a batch of €93bn ($107.71bn) tariffs to land the US with.
“There are clear retaliation instruments at hand if this continues… [Trump is] using pure mafioso methods,” a European diplomat brief on the discussion told the FT.
“At the same time we want to publicly call for calm and give him an opportunity to climb down the ladder.”
“The messaging is… carrot and stick,” the diplomat added.
(REUTERS)
Alex Croft18 January 2026 19:16
We can bring you more from the Financial Times report that the EU is preparing a batch of €93bn ($107.71bn) tariffs to land the US with.
The retaliation measures are being drawn up to give European leaders leverage in pivotal meetings with Trump at the World Economic Forum in Davos this week, the FT report said, citing officials involved in the preparations for the meetings in Switzerland.
European countries are searching for a compromise which will avoid a rupture in the Nato military alliance.
The list of tariffs was prepared last year but had been suspended until 6 February in order to avoid a trade war, the report said.
During a meeting of 27 EU ambassadors on Sunday, its reactivation was discussed. The diplomats also discussed using the anti-coercion instrument, which would limit American access to the EU market.
Alex Croft18 January 2026 19:06
The EU is considering hitting the US with a set of tariffs worth €93bn after Donald Trump’s threats over Greenland on Saturday, according to a report in the Financial Times.
The bloc is also considering restricting US companies from its market in response to the threats, the report states.
Alex Croft18 January 2026 18:46
Trump made the announcement in a long winded Truth Social post (Truth Social)
Alex Croft18 January 2026 18:43
A US trade representative said on Saturday it is up to Europe to decide whether it wants to raise Donald Trump’s new tariff threats during negotiations on a trade deal.
“If I were the Europeans I would probably try to silo this off if they can. If they want to make it an issue in the trade deal that’s really up to them and not us,” Jamieson Greer told reporters at the Detroit auto show.
Trump on Saturday vowed to hit some European allies with tariffs for opposing his over desire to take over Greenland.
Alex Croft18 January 2026 18:17
Alex Croft18 January 2026 18:03
Donald Trump’s desire for US control over Greenland stems from national security concerns, a US official has said.
“The President has a strong view that it’s a national security matter for the U.S. to have more control over Greenland,” said Kevin Hassett, the director of the National Economic Council.
Hassett added that he is confident Trump will “negotiate a deal that’s great for us, and great for our partners”.
Alex Croft18 January 2026 17:47