U.S. President Donald Trump's purported threat to economically penalize Western allies if they opposed his proposal to annex Greenland is unprecedented, according to Faisal Islam, economics editor. The alleged coercive measure, described as a form of economic warfare, has sparked bewilderment and concern among officials from targeted nations.

Islam stated that the threat, delivered with little warning and centered on a proposition that could potentially fracture NATO and the Western alliance, surpasses previous economic threats issued by the Trump administration. He characterized the situation as both surreal and perilous, suggesting it could destabilize long-standing international partnerships.

The notion of a nation attempting to acquire the territory of an ally is considered highly improbable, raising questions about the level of support for such a move within the U.S. government, including Congress and the President's own administration, Islam noted.

Protests in support of Greenland took place in Denmark on Saturday, underscoring the sensitivity surrounding the issue. The incident occurs amid ongoing discussions about Greenland's strategic importance and resource potential, as well as its relationship with both Denmark and the United States.

The U.S. has historically maintained a strategic interest in Greenland, dating back to World War II. In 1946, the Truman administration explored the possibility of purchasing the island from Denmark. Greenland is a self-governing territory within the Kingdom of Denmark, with Denmark handling its foreign affairs and defense.

The current status of the proposed annexation and the potential economic repercussions remain uncertain. Further developments are expected as officials from the involved nations assess the situation and consider their response.