San Francisco Frontiers - EU chief announces 200-mn-euro investment package for Greenland

As von der Leyen wrapped up a two-day visit to the vast island, she said Europe would "be more present and to be more engaged in Greenland and in the Arctic".

Trump insists Washington needs to control Greenland for national security reasons, though he ultimately ruled out annexing it by force earlier this year.

The 200-million-euro "EU-Greenland Partnership Package" package will finance projects to improve connectivity across the immense territory, include investments in clean energy and explore access to critical raw materials.

Von der Leyen's tour included a boat trip among icebergs, meetings with top Greenlandic and Danish officials and the signing a joint statement between Greenland and the European Union.

Her visit coincided with the start of NATO's Arctic Shield military exercise, bringing together soldiers from 10 countries.

Von der Leyen has hammered home the message that Greenland should stand with Europe rather than with the United States.

Trump's designs for Greenland triggered a diplomatic crisis at the beginning of the year, as stunned Europeans suddenly saw their long-time ally, on whom they rely for their security, begin to threaten them.

At the height of the crisis, Trump would not rule out using force to seize the territory of 57,000 inhabitants, sowing anxiety within the EU and NATO.

- 'Greenland, EU need each other' -

Seven months have passed and tensions have cooled somewhat.

But the US president never completely abandoned his intention bring the territory under US control.

Without mentioning Trump's name, von der Leyen did reference to the January crisis.

"Greenland's future is for the people of Greenland and Denmark to decide, no one else," she told reporters in the capital Nuuk.

Speaking at her side, Greenland's head of government Jens-Frederik Nielsen and Danish Prime Minister Mette Frederiksen said Greenland needs the European Union and vice-versa.

Greenland, which is currently heavily dependent on Denmark and its fishing sector, is struggling to develop extractive industries to gain greater economic autonomy.

It plans to use the new EU funds to develop infrastructure projects, including improving satellite capacity to provide better internet access in the north and east of the island.

Meanwhile, Brussels hopes the investments will achieve two goals: building a relationship with Greenland and diversifying Europe's access to critical minerals, currently dominated by China.

Another avenue being explored is the idea that Greenland, with its ice sheet and frigid turquoise waters, could host data centres, which require extensive cooling, to power artificial intelligence.

A prospect Christian Keldsen, a leading business figure in Greenland, viewed particularly favourably.

"Oh yeah we're definitely pushing for that," he told reporters.

Brussels has proposed doubling direct EU aid to Greenland to 530 million euros ($616 million) under the bloc's next budget for the 2028–2034 period.

X.Roberts--SFF