– Only Davos can prevent THIS – whispered one of the managers present in the congress hall of the mountain resort last Monday. He had in mind a scenario that was becoming more and more real: escalation of tensions between the US and Europe in the fields of economy, politics and security.
New American tariffs against the European Union seemed possible, as did a forcible takeover of Greenland. Malice against Europe flowed from the White House, and from the US point of view, the so-called The Peace Council could even replace the UN. In addition, there were wars and crises in Iran, Ukraine and Venezuela.
When 64 heads of state and hundreds of CEOs from around the world arrived in the canton of Graubünden, Davos became the stage on which the future of the world was decided. Trump's threats and subsequent Greenland negotiations have made one question inevitable: How strong would Europe be if America limited or redefined its role as the power protecting the Old Continent?
The situation escalated after Donald Trump's arrival in Davos on Wednesday morning. Greenland – according to Trump – should become US property “as a great block of ice for world peace.”
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When the US president began his speech at 2:39 p.m., there was silence in the hall. No applause, no laughter. Then there were sighs of relief. “I will not use force,” Trump said, referring to the Arctic island.
However, this relief was short-lived. Trump hurled insults at Europe. He announced that he intended to force the takeover of the island anyway. “We'll remember this,” he threatened, in case it didn't work out.
After more than 90 minutes of speech, it became clear: Washington is ready to openly demonstrate its power. Trump disappeared behind the scenes and went to a reception with the leaders of countries that want to join the “Peace Council”. These include, among others: Azerbaijan, Kosovo, Hungary and Belarus.
They were the ones who appeased Trump in Davos
Then something significant began to happen behind closed doors. NATO Secretary General Mark Rutte, who presented himself as a skillful negotiator in Davos, and Larry Fink, president of the investment firm BlackRock, appeared outside the closely guarded negotiating room.
Larry Fink speaks at the World Economic Forum in Davos, January 20, 2026.Fabrice Coffrini / AFP
Fink is considered to be one of the few business people Trump actually listens to. He is an icon of American financial markets, a declared opponent of tariffs and… former boss of Friedrich Merz, the current Chancellor of Germany.
After hours of talks, there was a turnaround. Rutte agreed that NATO would henceforth be responsible for the protection of Greenland and bear the associated costs. The US is to maintain full freedom of action on the island — both military and economic — in return, the “block of ice” will remain with Denmark. Trump's threats are withdrawn and NATO temporarily maintains its existence. However, all details of the agreement will be negotiated over the next weeks.
At 9:07 p.m. Trump left for a meeting with journalists. – This is a very good arrangement for everyone, and even fantastic for the USA – he told Bild. Shortly thereafter, U.S. Senator Lindsey Graham told us that “One of the biggest losers of Davos may be Vladimir Putin”. Because he is currently trying to gain influence in the Arctic.
“We did not allow ourselves to be blackmailed”
The agreement averted the worst crisis – but it also showed how complicated these relationships are. In the Greenland dispute, Europeans showed toughness by threatening retaliatory tariffs.
Sunset over Nuuk, Greenland, January 21, 2026.PAP/EPA/MADS CLAUS RASMUSSEN / PAP
— We did not allow ourselves to be blackmailed. Trump's change in course shows that When we as Europeans are decisive and determined, we achieve results – Lars Klingbeil, German Vice-Chancellor and Minister of Finance, told “Bild”.
At the same time, everyone knows: Without America, Europe cannot defend itself. This dependence means that Europeans tend to bottle up their anger towards Trump. In security matters, Europe is much less dangerous than in economic or customs matters.
Europe between Washington and Beijing
Trump took his advantage and dominated the summit like no one else: he was the only one to appear on the main stage twice. An agreement establishing the Peace Council was signed. There was even a rumor that The World Economic Forum may move from Davos to Detroit in the US in the future.
At the same time, China used the summit to openly court Europe. The People's Republic of China is already the second largest export market of the European Union, after the USA. – China is a partner, not a rival – assured Deputy Prime Minister He Lifeng.
He Lifeng, Deputy Prime Minister of China, World Economic Forum in Davos, January 20, 2026.EPA/GIAN EHRENZELLER / PAP
However, Kenneth Rogoff, an economist from Harvard, told Bild that Europe should strengthen its economy – for example in battery production, robotics and technology – avoiding new dependencies.
Davos full of VIPs
Apart from world politics there was also plenty of glitter, champagne and exclusive parties in Davos. Approximately 1,500 private jets and helicopters were to land in Graubünden. Renting luxurious Alpine huts cost up to PLN 50,000. euro [ok. 210 tys. zł] for five nights, and SPA treatments – several hundred euros. The hottest addresses are Grandhotel Belvedere, Gentiana restaurant or dinner at Schatzalp.
Celebrities, tech giants, politicians – everyone was present: Elon Musk, Matt Damon, David Beckham, Katy Perry with former Canadian Prime Minister Justin Trudeau, as well as influencers such as Marina Mogilko.
However, something changed: the famous DLD Nightcap party was already empty at around 11 p.m., and the party organized by POLITICO ended at 9 p.m. The unrest in the world has made the nights shorter.
I’m Ashley Davis as an editor, I’m committed to upholding the highest standards of integrity and accuracy in every piece we publish. My work is driven by curiosity, a passion for truth, and a belief that journalism plays a crucial role in shaping public discourse. I strive to tell stories that not only inform but also inspire action and conversation.
