DAVOS: Europe may have rallied to see off President Donald Trump over Greenland, but its leaders recognise the confrontation is unlikely to be the last in dealings with his increasingly strident version of the United States.

The stakes could hardly be higher, given the $2 trillion trading relationship between the European Union and the US and the dominant role Washington continues to play in the Nato alliance and in support of Ukraine against Russia.

This week, in the space of a few hours at the World Economic Forum’s annual meeting in Davos, Trump first ruled out taking Greenland by force and then removed the threat of new tariffs on eight European states standing in his way hailing instead a vague deal for the Arctic island with Nato chief Mark Rutte.

European leaders believe Trump backed down in part because in contrast to their more accommodating stance in last year’s tariff negotiations — this time they made it clear he was crossing a red line by asserting that Greenland’s status as an autonomous territory of Denmark was non-negotiable.

“All this shows that you cannot let the Americans trample all over the Europeans,” said a European Union official.

“We did the right thing to push back, to be firm in what we said, but it is not over. My sense is that we will be tested constantly on issues like this,” the official said.

While Europe may have learned the value of standing up to Trump, the challenge is ensuring it is less exposed next time.

“It’s a hard route, and it’s going to take time,” said Rosa Balfour, director at Carnegie Europe, adding that Europe had “far more leverage than it has dared to use”.

Published in Dawn, January 24th, 2026