Greenland Dispute: Trump Warns EU Members of Steep Tariffs
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- Last Updated: 19 Jan 2026 at 12:17 PM IST
United States President Donald Trump on Saturday sharply raised the stakes in his long-running push to acquire Greenland. He threatened a sweeping tariff assault on several North Atlantic Treaty Organisation (NATO) member nations that are long-standing US allies. Experts feel the move may unsettle global markets and inject fresh uncertainty into equities, including Indian stocks.
In a series of posts, Trump said the US would impose 10% tariffs on goods imported from Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands, and Finland, starting on February 1, 2026. The levy could rise to 25% from June 1.
What Does it Mean for Gold and Silver?
Following Trump’s announcement, analysts feel gold and silver prices may increase, driven by fears of a wider trade conflict between the US and Europe. They opine that the recent tariff announcement is likely to push investors toward safe-haven assets. Also, a sharper escalation into a full-blown trade war could see both metals reach new highs.
Dalal Street May Experience Near-term Swings
After Trump’s latest salvo, Indian equities may feel some tremors, especially at the start of the week. Industry watchers said that the Indian market could see fluctuations if tariff threats harden into action, with export-linked sectors in focus. Pharmaceuticals, textiles, gems and jewellery, steel and metals, automobiles, solar equipment, and leather may see heightened activity. That said, some experts feel the development may not be negative for India over the medium term.
FTA Talks May Gain Pace
Some analysts believe Trump’s pressure on Europe could indirectly work in India’s favour by speeding up long-pending trade talks between New Delhi and the European Union (EU). India and the EU are in the final stages of negotiating a Free Trade Agreement (FTA), with a few sticking points around steel and automobiles.
For now, markets are left to analyse whether the threat is a negotiating tactic or a policy path Trump intends to follow. Either way, geopolitics is firmly back in the driver’s seat, with commodities, currencies, and equities all watching Washington’s next move closely.
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