• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
PoliticsRare Earth Metal

Why Greenland appeals to Trump’s real-estate investor heart: location, location, location

By
Danica Kirka
Danica Kirka
and
The Associated Press
The Associated Press
Down Arrow Button Icon
By
Danica Kirka
Danica Kirka
and
The Associated Press
The Associated Press
Down Arrow Button Icon
January 6, 2026, 9:15 AM ET
trump
President Donald Trump speaks to the media aboard Air Force One en route to Washington, DC on January 04, 2026. Trump is returning to the White House after giving the order for the United States law enforcement to capture Venezuelan President Nicolás Maduro and his wife. Joe Raedle/Getty Images

Location, location, location: Greenland’s position above the Arctic Circle makes the world’s largest island a key part of security strategy. But for whom?

Recommended Video

Increasing international tensions, global warming and the changing world economy have put Greenland at the heart of the debate over global trade and security, and U.S. President Donald Trump wants to make sure his country controls this mineral-rich island that guards the Arctic and North Atlantic approaches to North America.

Greenland is a self-governing territory of Denmark, a longtime U.S. ally that has rejected Trump’s overtures. Greenland’s own government also opposes U.S. designs on the island, saying the people of Greenland will decide their own future.

The island, 80% of which lies above the Arctic Circle, is home to about 56,000 mostly Inuit people who until now have been largely ignored by the rest of the world.

Here’s why Greenland is strategically important to Arctic security:

Greenland’s location is key

Greenland sits off the northeastern coast of Canada, with more than two-thirds of its territory lying within the Arctic Circle. That has made it crucial to the defense of North America since World War II, when the U.S. occupied Greenland to ensure it didn’t fall into the hands of Nazi Germany and to protect crucial North Atlantic shipping lanes.

Following the Cold War, the Arctic was largely an area of international cooperation. But climate change is thinning the Arctic ice, promising to create a northwest passage for international trade and reigniting competition with Russia, China and other countries over access to the region’s mineral resources.

Security threats to the Arctic

In 2018, China declared itself a “near-Arctic state” in an effort to gain more influence in the region. China has also announced plans to build a “Polar Silk Road” as part of its global Belt and Road Initiative, which has created economic links with countries around the world.

Then-U.S. Secretary of State Mike Pompeo rejected China’s move, saying: “Do we want the Arctic Ocean to transform into a new South China Sea, fraught with militarization and competing territorial claims?”

Meanwhile, Russia has sought to assert its influence over wide areas of the Arctic in competition with the U.S., Canada, Denmark and Norway. Moscow has also sought to boost its military presence in the polar region, home to its Northern Fleet and a site where the Soviet Union tested nuclear weapons. Russian military officials have said that the site is ready for resuming the tests, if necessary.

The Russian military in recent years has been restoring old Soviet infrastructure in the Arctic and building new facilities. Since 2014, the Russian military has opened several military bases in the Arctic and worked on reconstructing airfields.

European leaders’ concerns were heightened following Russia’s full-scale invasion of Ukraine in 2022. Last year, Russian President Vladimir Putin noted that Russia is worried about NATO’s activities in the Arctic and will respond by strengthening the capability of its armed forces there.

“Russia has never threatened anyone in the Arctic, but we will closely follow the developments and mount an appropriate response by increasing our military capability and modernizing military infrastructure,” Putin said in March at a policy forum in the Arctic port of Murmansk.

He added, however, that Moscow was holding the door open to broader international cooperation in the region.

U.S. military presence in Greenland

The U.S. Department of Defense operates the remote Pituffik Space Base in northwestern Greenland, which was built after the U.S. and Denmark signed the Defense of Greenland Treaty in 1951. It supports missile warning, missile defense and space surveillance operations for the U.S. and NATO.

Greenland also guards part of what is known as the GIUK (Greenland, Iceland, United Kingdom) Gap, where NATO monitors Russian naval movements in the North Atlantic.

Danish armed forces in Greenland

Denmark is moving to strengthen its military presence around Greenland and in the wider North Atlantic. Last year, the government announced a roughly 14.6 billion-kroner ($2.3 billion) agreement with parties including the governments of Greenland and the Faroe Islands, another self-governing territory of Denmark, to “improve capabilities for surveillance and maintaining sovereignty in the region.”

The plan includes three new Arctic naval vessels, two additional long-range surveillance drones and satellite capacity.

Denmark’s Joint Arctic Command is headquartered in Greenland’s capital, Nuuk, and tasked with the “surveillance, assertion of sovereignty and military defense of Greenland and the Faroe Islands,” according to its website. It has smaller satellite stations across the island.

The Sirius Dog Sled Patrol, an elite Danish naval unit that conducts long-range reconnaissance and enforces Danish sovereignty in the Arctic wilderness, is also stationed in Greenland.

Rich source of rare earth minerals

Greenland is also a rich source of the so-called rare earth minerals that are a key component of mobile phones, computers, batteries and other hi-tech gadgets that are expected to power the world’s economy in the coming decades.

That has attracted the interest of the U.S. and other Western powers as they try to ease China’s dominance of the market for these critical minerals.

Development of Greenland’s mineral resources is challenging because of the island’s harsh climate, while strict environmental controls have proved an additional hurdle for potential investors.

__

Stefanie Dazio in Berlin and Dasha Litvinova in Tallinn, Estonia, contributed to this report.

The Fortune 500 Innovation Forum will convene Fortune 500 executives, U.S. policy officials, top founders, and thought leaders to help define what’s next for the American economy, Nov. 16-17 in Detroit. Apply here.
About the Authors
By Danica Kirka
See full bioRight Arrow Button Icon
By The Associated Press
See full bioRight Arrow Button Icon

Latest in Politics

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
Fortune Secondary Logo
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Politics

iran
Middle EastMiddle East
Iran’s new Supreme Leader warns of ‘opening other fronts’ in first statement from hiding
By Jon Gambrell, David Rising, Mike Corder, Natalie Melzer and The Associated PressMarch 12, 2026
35 minutes ago
police
Lawpolice
Police officers shot a man in the back, then a cop took the first ambulance because of a ‘mild anxiety attack’
By Dave Collins and The Associated PressMarch 12, 2026
47 minutes ago
senate
Real EstateU.S. Senate
Senate passes bill to make housing more affordable, with no indication House or Trump will approve it
By Charlotte Kramon, Alex Veiga, Mary Clare Jalonick and The Associated PressMarch 12, 2026
51 minutes ago
donald trump
PoliticsTariffs
Trump might get away with his new tariffs: The law he’s relying on survived over 3,600 legal challenges, and even Biden used it
By Jake AngeloMarch 12, 2026
60 minutes ago
A man stands amidst a field of corn.
EconomyAgriculture
Fertilizer prices soar as Strait of Hormuz tensions rise—forcing U.S. farmers to rethink spring planting
By Sasha RogelbergMarch 12, 2026
1 hour ago
Former Tennessee Gov. Bill Haslam holding up his fingers.
Future of WorkBipartisan
‘I don’t know if we’re ready’: Governors from each party appalled at 100-year-old federal workforce strategy
By Catherina GioinoMarch 12, 2026
3 hours ago

Most Popular

placeholder alt text
Economy
'This cannot be sustainable': The U.S. borrowed $50 billion a week for the past five months, the CBO says
By Eleanor PringleMarch 10, 2026
2 days ago
placeholder alt text
AI
'Proceed with caution': Elon Musk offers warning after Amazon reportedly held mandatory meeting to address 'high blast radius' AI-related incident
By Sasha RogelbergMarch 11, 2026
22 hours ago
placeholder alt text
Commentary
How the ultrawealthy use smartphone apps to avoid millions in taxes
By Jose AtilesMarch 11, 2026
1 day ago
placeholder alt text
Future of Work
Shark Tank's Kevin O'Leary doesn't care if you work from your basement. He just wants to know if you can ‘execute’
By Marco Quiroz-GutierrezMarch 10, 2026
3 days ago
placeholder alt text
Success
BlackRock is splashing $100 million on training plumbers, electricians, and HVAC technicians as its CEO flags a skilled trade worker shortage
By Preston ForeMarch 11, 2026
1 day ago
placeholder alt text
Personal Finance
Retirees wait for the day they can sell their homes and cash in—but there's a secret Medicare 'trap' that could stop them in their tracks
By Sydney LakeMarch 11, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.