Trump wrote on Truth Social that he had a "very productive" meeting with Prime Minister Mark Rutte of the Netherlands during the World Economic Forum in Davos and that they had "laid out the framework for a future agreement regarding Greenland and indeed the entire Arctic region."
The agreement means that no additional tariffs will be imposed on European countries in February, including Sweden, according to Trump.
"Welcome news that Trump is backing down from the threat of tariffs. It has been valuable to have European pressure. The government has constantly emphasized that the blackmail surrounding Greenland has been absurd," wrote Finance Minister Elisabeth Svantesson (M) on X.
Last week, Donald Trump threatened eight European countries, including Sweden, with 10 percent tariffs starting February 1. The tariff threat came after Sweden and other countries - all NATO members - protested against the president's increasingly aggressive demands for the United States to take over Greenland, and also initiated a joint military exercise in Greenland.
Leading indexes on the US stock market rose after President Donald Trump's statement about withdrawing the announced punitive tariffs.
