DAVOS, SWITZERLAND – Speaking from the sidelines of the World Economic Forum on Tuesday, January 20, 2026, California Governor Gavin Newsom delivered a scathing critique of European leadership, urging them to resist President Donald Trump’s latest trade ultimatum regarding Greenland.
Thank you for reading this post, don't forget to subscribe!Newsom characterized the current European response as “pathetic” and “embarrassing,” accusing leaders of being “complicit” by maintaining a polite public facade while privately expressing outrage.
The Greenland Ultimatum
- The Trigger: These nations recently supported Denmark’s sovereignty by sending symbolic military personnel to the Arctic island.
- The Escalation: The President warned that if a deal for the “complete and total purchase of Greenland” is not reached, the tariffs will jump to 25% on June 1.
- The Rationale: Trump claims the acquisition is a national security necessity to block Russian and Chinese influence in the Arctic.
California’s “Shadow Diplomacy”
Governor Newsom’s presence in Davos serves as a strategic counter-move to the federal administration. He is positioning California—the world’s fifth-largest economy—as a stable alternative for global trade.
- Direct Appeals: Newsom has instructed his administration to seek exemptions for California-made products from any retaliatory tariffs European nations might impose on the U.S.
- The “Backbone” Call: “It’s time to stand tall and firm,” Newsom told reporters. “This guy is playing folks for fools… they’re laughing at him behind his back, and meanwhile, they’re sucking up to him.”
A “Trade Bazooka” on the Horizon?
While U.S. Treasury Secretary Scott Bessent urged allies to “take a deep breath,” European leaders are debating high-stakes retaliatory measures:
- Massive Retaliation: The EU is considering a €93 billion ($108 billion) tariff package on U.S. imports.
- The Anti-Coercion Instrument: Known as the “trade bazooka,” this tool would allow the EU to freeze market access or sanction specific U.S. institutions.
- Diplomatic Freezes: Lawmakers have already suggested suspending the U.S.-EU trade deal that was tentatively reached last year.
As Greenland Prime Minister Jens-Frederik Nielsen remains firm that the territory is “not for sale,” the world looks toward Wednesday, when President Trump is scheduled to deliver his keynote address in Davos.
















