At a Glance
- The U.S. could pay $700 billion to buy Greenland under President Trump’s directive
- Secretary of State Marco Rubio has weeks to deliver a formal purchase proposal
- Greenland’s leaders reject any sale: “We choose the Greenland we know today – as part of the Kingdom of Denmark”
- Why it matters: The standoff strains NATO ties and could reshape Arctic security if Trump opts for economic pressure or military threats
President Trump has ordered his administration to prepare a $700 billion plan to purchase Greenland, an autonomous Danish territory, despite repeated declarations from Greenlandic and Danish officials that the island is not for sale. The directive, revealed by three people familiar with internal cost estimates, sets up a high-stakes confrontation during meetings this week between U.S., Danish, and Greenlandic delegations in Washington.
The $700 Billion Question
Scholars and former U.S. officials generated the $500-700 billion estimate while modeling Trump’s Arctic expansion goal, according to sources who spoke to Caleb R. Anderson. The figure dwarfs most federal discretionary programs and equals more than half the annual Defense Department budget.
Greenland’s rejection of the idea has been unequivocal.
“Greenland does not want to be owned by, governed by or part of the United States,” Foreign Minister Vivian Motzfeldt said on arrival in Washington. “We choose the Greenland we know today – as part of the Kingdom of Denmark.”
Business Minister Naaja Nathanielsen added that Trump’s talk is keeping residents awake at night: “People are feeling the effects of it.”
Wednesday’s Showdown in Washington
Secretary of State Marco Rubio and Vice President JD Vance are scheduled to meet Danish and Greenlandic officials who flew in seeking clarity on Trump’s intentions. A senior White House official confirmed that Rubio has been tasked with producing a purchase proposal within weeks, calling the effort a “high priority” for the president.
Lower-level talks between the National Security Council and Danish-Greenlandic officials occurred last week, but the upcoming session is the first cabinet-level encounter since Trump renewed public overtures.
Trump previewed his stance on Sunday: “I’d love to make a deal with them. It’s easier. But one way or the other, we’re going to have Greenland.”
From Real-Estate Dream to National-Security Priority
During Trump’s first term, senior aides treated the idea as a novelty. In the second term, it has migrated to the core of the administration’s Arctic strategy. Trump appointed Louisiana Gov. Jeff Landry as special envoy to Greenland in December and began public lobbying shortly after taking office last January.
The president argues that ownership-rather than the current basing agreement-would secure permanent U.S. rights to Greenland’s 27,000 miles of coastline and vast rare-earth deposits. He fears an independent Greenland could tilt toward Russia or China, a scenario some former officials raised in recent congressional testimony.
Alternatives to an Outright Purchase
Inside the administration, debate centers on three options:
- Direct purchase at the estimated $700 billion price
- Compact of Free Association-annual U.S. subsidies in return for exclusive security access, similar to deals with Palau, Micronesia, and the Marshall Islands
- Status quo plus-expand the existing U.S. military footprint under current Danish-Greenlandic agreements
A U.S. official familiar with negotiations questioned the need for ownership: “Why invade the cow when they’ll sell you the milk at relatively good prices?”
NATO Fallout and Hill Resistance
European allies warn that any coercion could fracture NATO. Danish Prime Minister Mette Frederiksen said forced acquisition “would unravel” the alliance, while a joint European statement last week pledged to defend Greenland’s “territorial integrity.”
On Capitol Hill, bipartisan pushback is mounting. Senators introduced legislation Tuesday that would bar the Pentagon from using funds to seize the sovereign territory of a NATO member without that nation’s consent or formal North Atlantic Council approval.
Ian Lesser of the German Marshall Fund predicts Trump’s threats are leverage for better basing terms, not a prelude to invasion. “The prospects of the use of force over this issue is still very small,” he said, warning that military action “would stir up unbelievable tensions within the NATO alliance.”
Key Takeaways
- Price tag: Internal U.S. estimates put the cost of buying Greenland at $500-700 billion
- Timeline: Rubio must deliver a purchase plan within weeks
- Greenland’s position: Island leaders, backed by Denmark, say the territory is not for sale and oppose U.S. sovereignty
- Strategic stakes: Trump wants guaranteed Arctic access against Russian and Chinese influence
- Alliance risk: Coercion could split NATO and faces bipartisan resistance in Congress
