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By Andrea Corinaldesi
Greenland is the largest island in the world and is currently emerging in geopolitics worldwide as one of the key players. In recent years, Greenland has been mentioned several times; first of all, for its mineral resources, like gas, oil, and rare earth elements, the latter being in high demand in the digital market. Moreover, in recent months, while outlining the strategic objectives for the first phase of his presidency, Donald Trump emphasized the “absolute necessity” for the United States to control Greenland, causing a global rush for information about the island. Lastly, it is well known that the Arctic is warming at an alarming rate; as a consequence, climate change is revealing resources and opening new trade routes, making the island a crucial asset for countries like China, the U.S., and Russia.
A LITTLE BIT OF HISTORY…
Greenland is not part of the EU; it was, in fact, the first case of territory to exit from the European economic and political integration, decades before Brexit. After being incorporated into Denmark in 1953 as a national territory, Greenland began its gradual and peaceful process towards autonomy. When Denmark joined the European Economic Community (EEC) in 1972, this process accelerated, resulting in leaving the EEC in 1985. In 2008, a referendum in Greenland granted more autonomy from the Danish parliament, which took effect in 2009, giving the island control over several areas, like justice and resources. However, the domain of foreign policy and defense remains under Danish control, keeping Greenland in NATO. Important to remember that, since 1951, the U.S. has managed a missile base on Greenland’s northwest coast, making it a crucial point for its missile defense system.
WHY SO IMPORTANT…
Greenland seems to be an island full of natural resources, gas and oil can be found in abundance in its subsoil. However, the island’s particular and difficult climate conditions make its exploration not always economically advantageous compared to other new and traditional resources. The most notable resources are the rare earth elements, very important for the tech industry and in general for the digital transition. We are talking about three crucial materials, graphite, lithium, and nickel, which are fundamental in the production of batteries for electric engines. But also sources like copper, zinc, titanium, tungsten, and vanadium, are considered fundamental for many governments around the globe.
Currently, the global leader in the production of rare earth elements is China, controlling 90% of global rare earth elements refining capacity; so, if Greenland’s natural resources are fully developed, the country could eventually become an alternative supplier, reducing reliance on China and consequently shifting the balance in global markets.
THE GEOPOLITICAL ISSUE MORE IN DETAIL…
Greenland is basically at the center of interest of major superpowers; for its mineral sources, its strategic location and for the possibility of opening new trade routes, it is in fact appealing to many countries.
Greenland is an autonomous territory where justice, foreign affairs, defense and security are directly managed by Denmark. However, with its capital being closer to New York than to Copenhagen, the island is in the sphere of interest of the U.S., and as observed by the historian Astrid Andersen of the Danish Institute of International Studies, “During the war, when Denmark was occupied by Germany, the U.S. took control of Greenland. In a way, they never really left”. In the latest months, the new president of the United States, Donald Trump, has renewed his interest in the strategic importance of Greenland, something he already said in 2019. The Danish Government has already stated in 2019 that it does not intend to sell the territory and become part of the U.S.
The other current major global power, China, sees the island as a crucial key for its “Polar Silk Road”, an initiative to expand trade and infrastructure in the Arctic. Even though Chinese companies have tried to invest in Greenland, the U.S. has worked to limit Chinese influence in the territory. In this case. the Danish government has heavily aligned its foreign policy with the U.S. interests in restricting Chinese investments in the area. Despite the limitations imposed, China remains one of the most important trading partners for the island, through exports of seafood, ice, water, and sealskin. However, Greenland approaches its relationship with China cautiously, particularly because of human rights issues, the risks of debt dependency, and the importance of maintaining a diverse range of trade partnerships.
It can also be interesting to talk about Russia and its influence in the Arctic region. In fact, Russia has been the most aggressive country in expanding its presence in the Arctic, building military bases and missile systems in the region. Strategically speaking, the fact that Russian nuclear submarines guard the Arctic seas is another reason why the U.S. considers Greenland a vitally important territory for its defense. Marc Jacobsen, an analyst at the Royal Danish Defense College of Copenhagen, has stated that “there’s no doubt that it’s geostrategically important in defending the U.S. national security against Russian missiles” and that “the shortest route for Russian missiles towards the U.S. is via the North Pole, via Greenland”.
Lastly, it is always important to remember that Greenland is part of the Kingdom of Denmark, which is a founding member of NATO and part of the European Union. So as part of the Union, Denmark, and consequently Greenland, falls under the mutual defense clause of European treaties, as explained in Art 42.7 of the Treaty of the EU, it defines the details for which every Member States need to provide aid and assistance if another Member State becomes a victim of an armed aggression within its territory.
IN CONCLUSION…
Greenland’s strategic relevance is about its vast amount of resources on its territory (gas, oil, and rare earth elements), on its pivotal location in the Arctic, making the island a unique country for superpowers like the U.S., China, and Russia, competing for resources, geopolitical influence, and trade routes.