The owner of the White House has repeatedly compared this situation to a major real estate deal.
The American administration is developing a deal project for Greenland, which it plans to propose to the territory's authorities, writes The Economist. This may involve concluding a Compact of Free Association. The Prime Minister of Greenland has urged Washington to resume contacts and stated that the U.S. cannot conquer Greenland, so "there is no need to panic."
Rumors are circulating that the U.S. administration is working on a deal project for Greenland that may be offered to the territory's authorities, writes The Economist. Currently, the island belongs to Denmark.
"Trump has repeatedly compared this situation to a major real estate deal that would bring enormous wealth to the Greenlanders," the magazine clarifies. The U.S. is discussing the possibility of concluding a Compact of Free Association, according to the publication. Such a compact allows U.S. armed forces to operate freely in participating countries, and there is an additional advantage — duty-free trade, the magazine notes.
Washington has concluded similar agreements with Palau, Micronesia, and the Marshall Islands, with the U.S. providing them financial support while the territories handle defense matters.
Denmark already has a U.S. military base that grants them broad powers, and Washington has no restrictions on the number of troops deployed, The Economist reports. However, increasing the number of American troops may require Denmark's consent, the media suggests. American officials attempted to negotiate directly with the Greenlandic government but were refused.
Earlier, Trump stated that control over Greenland is necessary as the island is surrounded by "Russian and Chinese ships," even though this territory belongs to Denmark — a NATO ally of the states. The U.S. President did not directly answer the question about the readiness to take control of Greenland by force. He responded that this would need to be assessed by others.
Greenland's Prime Minister Jens Frederik Nielsen, following Trump's statements, called on Washington to restore good cooperation. In his opinion, the U.S. cannot conquer Greenland, so "there is no need to panic."
Trump had already stated his plans for Greenland; in 2019, while he was president, he offered to buy it for $600 million, but Denmark refused to trade territories. After being re-elected for a second presidential term in January 2025, Trump stated that Greenland is needed by the U.S. for "national security" and threatened Copenhagen with high tariffs if they refuse to relinquish control of the island. He also did not rule out the possibility of military action to seize the territory.
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