President Donald Trump stated that the U.S. and NATO have established "the framework of a future deal" regarding Greenland and the Arctic region, while also retracting his previous threats of imposing tariffs on European allies. Trump made the announcement on Truth Social on Wednesday, following discussions at the World Economic Forum in Switzerland.

The potential agreement, according to Trump, could be beneficial for both the United States and all NATO nations. "We have formed the framework of a future deal with respect to Greenland and, in fact, the entire Arctic Region," Trump wrote. "This solution, if consummated, will be a great one for the United States of America, and all Nato Nations."

The announcement comes after weeks of tension within the transatlantic alliance, stemming from Trump's earlier interest in purchasing Greenland. While he reiterated his desire for "ownership" of the island in Switzerland, he also clarified that military force was not an option.

The specifics of the "framework" remain unclear. Neither Trump nor NATO provided detailed information about the discussions. Diplomatic sources told the BBC's US partner that there was no suggestion of a deal that might meet Trump's demand for "ownership" of Greenland.

Trump's initial interest in acquiring Greenland sparked controversy in 2019, with Danish officials dismissing the idea as absurd. Greenland is an autonomous territory within the Kingdom of Denmark. The Arctic region holds strategic importance due to its natural resources, potential shipping routes, and geopolitical significance. As ice caps melt due to climate change, access to these resources and routes becomes increasingly viable, leading to increased interest from various nations.

The retraction of tariff threats is significant, as these tariffs had been a point of contention between the U.S. and its European allies. The potential deal on Greenland, coupled with the backing down on tariffs, could signal a shift towards a more cooperative approach within the transatlantic alliance.

The current status of the "framework" remains preliminary. Further negotiations and details are needed to determine the scope and potential impact of any future agreement. The next steps likely involve diplomatic discussions between the U.S., Denmark, and Greenlandic officials to explore the possibilities outlined in the framework.