Canada Weighs Sending Troops to Greenland Despite Tariff Threat

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(Bloomberg) —

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Mark Carney is considering sending Canadian soldiers to Greenland to take part in military exercises with NATO allies, a move that would risk retaliation from the US.

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The government has drafted plans for a small number of Canadian Armed Forces troops to join those from the UK, France, Denmark and other nations, according to a person familiar with the matter, confirming an earlier report by CBC News. The prime minister hasn’t made a decision yet, the person said, speaking on the condition they not be identified talking about private discussions. 

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Trump announced a 10% tariff, rising to 25% in June, on eight European nations for saying they would undertake token NATO military exercises in Greenland. 

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That threat has led to significant pushback in Europe. European Union leaders will hold an emergency summit in the coming days to discuss the matter as they explore possible retaliatory measures, including counter-tariffs. British Prime Minister Keir Starmer spoke with Trump on Sunday and told him the US tariff maneuver was “wrong.”

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Earlier Sunday, Carney said Greenland’s future is for Denmark and Greenland to decide, and that he’ll reiterate that message to President Donald Trump if they speak about it. 

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“It’s a serious situation,” Carney said at a news conference in Qatar, where he traveled after concluding a visit to China. “We’re concerned about this escalation, to be absolutely clear,” he said.

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Carney is next headed to Switzerland for the World Economic Forum in Davos. Trump is also attending, but it’s not yet known whether the two leaders will meet there.

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The security of Greenland “very much falls within the responsibilities of NATO,” Carney said, adding he’s spoken with European leaders and NATO partners about it.

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“We always will support sovereignty and territorial integrity of countries, wherever their geographic location is,” he said.

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Asked what he would say to Trump about it, Carney replied: “I’m going to say everything I just said.”

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Canada’s economy is more exposed to Trump’s tariff policy than almost any other, as almost 70% of its goods exports are shipped to the US. Trump first put a 25% tariff on Canadian products almost a year ago, then raised that to 35% in August — though many items remain exempt if they’re compliant with the US-Mexico-Canada Agreement. 

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—With assistance from Derek Decloet.

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