
European capitals tread cautiously after week of mixed salvoes from Trump
European leaders had nearly got to the end of the first week of living with Donald Trump back in the White House, with the sole consoling thought that it might have been worse. But then the re-elected and reinvigorated president started talking about Greenland again.
Any hope that the US acquisition of the autonomous arctic territory from Denmark was just a passing whim was dispelled by his insistence over the weekend that 'I think we're going to have it', amid reports that he had threatened Copenhagen with targeted tariffs, an extortion campaign against a close Nato ally.
'In Trump 1, it was this weird thing, that he was going to buy Greenland, but this time there is more clarity,' said Nathalie Tocci, the director of the Istituto Affari Internazionali thinktank in Italy, said. 'He has said he is ready to use economic and military coercion to take it.'
Prior to that, European capitals could point to a few glints of consolation from Trump's barnstorming first few days. While he railed against the US trade deficit, Trump did not immediately announce tariffs on European goods (although he made clear they were coming) and his first move on Ukraine was to put pressure on Vladimir Putin.
His demand that European Nato allies spend 5% of GDP on defence was so unrealistic it was not taken seriously, and, for now, the president has muted earlier threats to walk out of the alliance.
'Nobody thinks he's going to actually do that,' said Leslie Vinjamuri, the director of the US and Americas programme at the Chatham House thinktank. 'His nominees are mostly solidly onboard with Nato, and he has gone silent on the threat of withdrawal.'
In response to these mixed early salvoes, Europe has trod cautiously. Speaking at the World Economic Forum in Davos, the European Commission president, Ursula von der Leyen, did not even mention Trump by name.
The French president, Emmanuel Macron, and Olaf Scholz, the German chancellor, met in Paris on Wednesday to project a unified front at the EU's core, and calm in the face of Trump's so far vague – but determined – tariff threat to Europe.
Scholz admitted that Trump would be a 'challenge' but he added: 'Our position is clear. Europe is a large economic area with around 450 million citizens. We are strong. We stand together. Europe will not duck and hide.'
Macron looked to the silver lining that the new administration in Washington would make it more necessary than ever for Paris and Berlin to consolidate 'a united, strong and sovereign Europe'.
Europe at the moment does not feel any of those things. Macron and Scholz are in weak positions domestically. The German chancellor is likely to be in his last few weeks in office as the country approaches elections on 23 February.
Across the continent, the far right is on the rise, offering itself as an ally to Trump in undermining such European cohesion. The most established among the hard-right leaders, the Hungarian prime minister, Viktor Orbán, hailed the Trump inauguration as a tipping point in the struggle for Europe's soul.
'Hereby I launch the second phase of the offensive that aims to occupy Brussels,' Orbán said.
Another ultra-nationalist, the Italian prime minister, Giorgia Meloni, was the only European leader invited to Trump's inauguration. He has hailed her as a 'fantastic woman' and she has presented herself as a transatlantic bridge to the new administration and Europe – 'consolidating the dialogue between the United States and Europe'.
Some of Meloni's fellow European leaders hope that she can leverage Trump's fondness for her and her politics to soften his approach to the whole continent. Italy has a lot to lose from a hostile Washington, with a €42.1bn ($43.6bn) trade surplus with the US, the second highest in the EU after Germany, and defence spending well below the current goal of 2% GDP.
What influence Meloni might have on Trump is very much in question, however. She was not given a hoped-for private meeting with the new president when she was in Washington.
'It is just naive to believe that a nationalist Eurosceptic will all of a sudden become the sort of spokeswoman for Europe, rather than being Trump's spokeswoman in Europe,' Tocci said.
Trump's return to Washington has also underlined the UK's vulnerability outside the EU, with London's threat of retaliatory sanctions far less of a deterrent than Europe combined.
'The EU is probably big enough to protect itself from Trump's tariffs. I'm not convinced the UK is,' Anand Menon, European politics professor at King's College London, said.
'In a way, one of the things that Trump shows us is that outside of the European Union, the UK finds itself quite exposed in these troubled times,' Menon told a London School of Economics blog.
The UK prime minister, Keir Starmer, played down the fact that he was not invited to the inauguration alongside Trump favourites Meloni and the Argentinian president, Javier Milei. A Conservative predecessor, the former prime minister Boris Johnson, was the only British politician inside the Capitol Rotunda for the ceremony. The Reform leader, Nigel Farage, attended inauguration parties where Republicans hailed him as Britain's 'future prime minister'.
While the phrase 'special relationship' is unlikely to have much usage in the coming months, Downing Street insisted Starmer congratulated Trump on his inauguration and noted that the two leaders had spoken several times before it.
Further complicating an already fraught situation, it is hard for western European capitals to know whether they are dealing with just Trump or a Trump-Musk administration.
Britain and the EU have legislation regulating social media platforms that could seriously affect Elon Musk and X. The UK's Online Safety Act is in the process of being codified, and would penalise X if it fails to take down illegal material.
Concerns are felt across Europe that attempts to regulate X and other US-based platforms will lead to reprisals from a Trump administration, but Vinjamuri believes that X, with its relentless promotion of the far right, is too big a threat to ignore.
'I don't think Europe has any alternative but to push back against Musk and to do something about trying to counter this very powerful technological platform,' she said.
Spain's socialist prime minister, Pedro Sánchez, has offered Trump polite though hardly effusive congratulations on his inauguration. But he spoke out sharply about Musk.
'The owner of a small restaurant is responsible if their food poisons customers; social media tycoons should be held responsible if their algorithms poison our society, Sánchez, adding his own twist on the Trump own mantra. 'Let's take back control. Let's make social media great again.'
Trump's merger with Musk is not the only reason his second term looks more threatening as seen from Europe than the first. It is also the fact his leadership is no longer seen as an aberration, and at a time when Europe's own cohesion is waning.
'Trump 1 was really perceived as this blip in history, whereas now Trump 2 has all the flavour of ongoing regime change in the United States,' Tocci said. 'That has very deep implications for Europe.'
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Daily Record
2 hours ago
- Daily Record
Donald Trump and Elon Musk feud is very dangerous for the President
The political alliance between Donald Trump and billionaire Elon Musk has disfigured US politics. Musk helping bankroll Trump's second election victory was an example of money buying power. Being handed a job as the head of the Department of Government Efficiency (DOGE) to cut spending was also wrong on a number of levels. It reeked of a massive favour to a donor and led to the dodgy practice of unaccountable allies of Musk cutting government programmes. But both individuals are ego maniacs and it was only a matter of time before they fell out spectacularly. Musk is unhappy at a Trump tax bill he believes will be financially ruinous. Sniping then led to Musk making the incendiary claim the president's name appears in the notorious Jeffrey Epstein files. Few things are more damaging reputationally than being linked to the late Epstein - just ask Prince Andrew. This developing feud between Trump and his former pal Musk is dangerous for the President. The Tesla co-founder has power and influence, both politically and in the corporate world, and he seems intent on doing damage. A positive step for the world would be if both men cancelled themselves out through their bickering. The US is known as a land of opportunity but we are in a situation where a small number of billionaires wield disproportionate power. People like Musk should be paying more in tax and held to account for the cuts he was allowed to make in government. Trump is already a lame duck president and Americans must look to a time when he is no longer in charge. Weapons in court The proliferation of weapons on our streets is bad enough. But it beggars belief that thousands of blades, guns and bullets have been seized in Scottish courtrooms in the last year as our investigation reveals. The motivation of those who would attempt to enter a court while armed is not clear. Do they think they need protection or is it to dish out retribution? Whatever the reason, it is vital courts are safe places for justice to be carried out without fear for anyone's safety. People should be able to expect to attend court as an employee, witness or accused without being worried about the threat of violence. Those sinister or stupid enough to believe they can carry weapons into a court of law should be left in no doubt their conduct is unacceptable. They should be hammered by the courts they seek to undermine.


The Herald Scotland
2 hours ago
- The Herald Scotland
New risks emerge as America becomes less attractive
For decades, international investors have treated US government bonds as the safest place for their money. A long bull market in shares has been supported by American bonds and a sound US dollar. Since the global financial crisis of 2008, the underpinning of a 'safe haven' has helped stock markets to cope with other uncertainties. Now, investors are demanding much higher returns to lend money to the US government long-term. America is becoming less attractive to global investors at a time when its government needs them for finance more than ever. There is plenty to be nervous about. The US government is spending far more than it takes in, with the deficit up this year. Trump's spending and tax cut plans are likely to add to the US national debt over the next decade. And the US dollar has fallen to its lowest level in almost three years. US business confidence is weak, with the full impact of the supply turmoil yet to bite. Many manufacturers had stockpiled goods and components ahead of Trump's tariffs and import controls, but this buffer will soon be exhausted. May's stock market rally might seem reassuring on the surface. Major US technology companies like Apple, Microsoft, Amazon, and Nvidia delivered strong earnings and drove most of the market gains. The biggest seven tech companies alone were responsible for more than half of the US stock market's rise in May. But these trading results do not yet reflect the full impact of the trade war and supply changes. Analysts expect slower earnings growth for these businesses over the next year. Trump still plans further action, and the tariffs to date will produce significant adverse effects; higher consumer prices, lower business investment and lower economic growth. Read more: Perhaps most worrying for investors is the inflation risk building up worldwide. As global tensions rise, governments will spend more on defence, with limited scope for tax increases. Business costs will also increase, as trade disputes continue to disrupt how goods move around the world. Global borrowing costs could force central banks to keep interest rates higher for longer. The Governor of the Bank of England has warned that interest rate cuts are now more uncertain. There are signs that the tension between governments that want to spend more and nervous international lenders is also playing out in the UK, EU and Japan. British government bonds – gilts- are already seeing pressure as investors become more choosy about lending to governments anywhere. The OECD report this month warned that weak consumer confidence and fragile public finances leave the UK vulnerable to shocks. Appeasing lenders by cutting spending or raising taxes would hit economic growth. The end of US exceptionalism, linked to the declining role of the US dollar as a reserve currency, may be a gradual process as it was for the UK. There is still growth in many major US businesses and the US stock market is by far the most liquid globally. Shares have a record of coping better than bonds with rising inflation and there is value is stock markets outside the US. But we may be seeing the end of an era when investors could pay less attention to currency movements. And, although government bonds have a role in diversifying portfolios along with a spread of investments internationally, it is harder now to escape geopolitical risks. The recent stock market rebound may give opportunity to rebalance portfolios. Colin McLean is a director of Barnton Capital


NBC News
2 hours ago
- NBC News
A timeline of the twists and turns in the Trump-Musk relationship
The escalating war of words this week between President Donald Trump and tech mogul Elon Musk marked the most contentious chapter in a yearslong and at-times rocky relationship between two of the most influential figures in business and politics. Musk, a former Democrat, has criticized Trump in the past, but over the past year forged a strong relationship with the president that positioned him to wield significant power and influence in the early months of Trump's second administration. Those close ties, though, came after years of ups and downs stretching back to 2016 when Musk accepted a spot on several of Trump's business advisory councils. Here are some of the highlights of Trump and Musk's volatile relationship from the past few years. July 2022: Musk suggests Trump should forgo White House bid Musk, who would ultimately emerge as one of the most loyal contributors to Trump's 2024 campaign, was initially a vocal opponent. Despite a solid working relationship with Trump during his first term, the enigmatic tech leader called on Trump to skip the 2024 race. "I don't hate the man, but it's time for Trump to hang up his hat & sail into the sunset," Musk wrote on X."Trump would be 82 at end of term, which is too old to be chief executive of anything, let alone the United States of America." The post was not without provocation — Trump days earlier at a campaign rally in Alaska bashed Musk for his effort to purchase X, then known as Twitter, and for saying in an interview that he never voted for a Republican. "He told me he voted for me," Trump said at the rally. "He's another bulls--- artist." Musk in response threw his support behind Florida Gov. Ron DeSantis. "If DeSantis runs against Biden in 2024, then DeSantis will easily win — he doesn't even need to campaign," he wrote on X. November 2022: Musk reinstates Trump's Twitter account Weeks after officially taking control of X, Musk extended an olive branch to Trump by reinstating his account on the social media platform — once his favorite online megaphone — after it was banned following the Jan. 6 attack on the Capitol. Musk reinstated the account on Nov. 19, four days after Trump formally launched his 2024 campaign. August 2023: Musk defends Trump as prosecutions pile up By the summer of 2023, Trump had been indicted in three separate criminal cases. Musk, who months earlier predicted Trump would win the 2024 election if arrested, condemned the prosecutions. "I did not vote for him last election, but such aggressive legal action against a former president is not right," Musk wrote. The post served as a shift for Musk, who soon after began posting more sympathetic messages about Trump. March 2024: Trump, desperate for cash, meets Musk in Palm Beach In the first few months of 2024, Trump's campaign found itself in a cash crunch after allocating upwards of $50 million toward his legal defense. So when Trump met with Musk alongside several other wealthy Republican donors in Palm Beach, Florida, most political observers were quick to connect the dots. Musk, the world's richest man, has insisted that the meeting was unplanned and maintains that Trump never explicitly requested funding. 'I'm not paying his legal bills in any way, shape or form … and he did not ask me for money,' Musk said in an interview after the meeting, though he did say afterward that he was at least " leaning away" from President Joe Biden. When asked about their meeting, Trump said he'd "helped" Musk in the past, without providing details. May 2024: Musk establishes a pro-Trump super PAC According to campaign finance documents, Musk created America PAC, a pro-Trump Super PAC, on May 22. Soon after, reports emerged that Trump and Musk had discussed a possible advisory role for the Tesla CEO in a second Trump administration, an effort to ensure Musk would hold a key position in the White House. July 2024: Musk endorses Trump Less than an hour after an assassination attempt on Trump at a rally in Pennsylvania, Musk officially threw his support behind Trump's candidacy. "I fully endorse President Trump and hope for his rapid recovery," Musk wrote on X. Trump responded by touting reports that Musk planned to contribute $45 million a month to his re-election effort and promising to make life "good" for him. "We have to make life good for our smart people. You know, we have some smart people. We have to make life good for our smart people, and he's as smart as you get," Trump said at his first campaign event after the assassination attempt. August 2024: Trump and Musk hold campaign event on X In an event billed by Trump's campaign as "the interview of the century," Trump joined Musk for an online rally on X. The event was repeatedly delayed due to tech issues, but saw the pair bond over their shared disdain for Biden's immigration policies. It also saw Musk unsuccessfully try to prod Trump into prioritizing renewable energy over fossil fuels. October 2024: Musk joins Trump at Pennsylvania rally after spending millions When Trump returned to the site of the first assassination attempt against him, he shared the rally stage with Musk, who accused Democrats of seeking to take away voters' freedom of speech and right to bear arms. Musk emphatically encouraged Trump supporters to "vote, vote, vote." By October, Musk had already given nearly $75 million to the super PAC he created to support Trump, according to campaign finance filings. That money was used in part to fund sprawling get-out-the-vote drives in battleground states, including door-knocking programs in deep-red, traditionally low-turnout areas. November 2024: Trump wins the election, after Musk spends $250 million on the race Trump's striking victory, in which he won all seven battleground states and the popular vote for the first time, came as Musk's spending for the effort surpassed a quarter billion dollars, according to campaign finance reports. Of that total, $120 million came in the final weeks of the race. In his election night speech, Trump praised Musk, saying, "A star is born." One week after the election, Trump appointed Musk and Vivek Ramaswamy to head up a newly formed Department of Government Efficiency, fulfilling a campaign promise to allow Musk to oversee cuts to government spending. Ramaswamy later left to pursue a gubernatorial bid in Ohio. Toward the end of the month, Trump traveled to Texas to watch the launch of Musk's SpaceX Starship rocket, despite previously ridiculing the company. January 2025: Musk speaks at Trump's inauguration rally Musk spoke at Trump's inauguration rally at Capital One Arena, emphatically lauding Trump's victory, jubilantly raising the prospect of taking DOGE to Mars and thanking the crowd for voting to guarantee "the future of civilization is assured." "My heart goes out to you," Musk said before forcefully touching his heart and raising his hand in a gesture some critics likened to a Nazi salute. Musk has denied that assertion. Among the first executive orders Trump signed on Jan. 20 was one that formalized the creation of the Musk-led Department of Government Efficiency. The White House officially announced Musk's role in early February, clearing way for him to oversee a wide-ranging effort to reduce to the size of the federal government through mass job cuts, the cancellation of research programs and grants and the dismantling a federal agencies. March 2025: Trump publicly limits Musk's authority amid clashes with Cabinet In an early sign of tensions between Musk and several Cabinet members, Trump placed limits on his adviser, making clear in a Truth Social post that staffing decisions across the federal government will be determined by agency heads, not Musk. The Tesla CEO had been exercising authority over rank-and-file federal workers, including a threat to fire them if they didn't respond to inquiries regarding their work output. The new publicly established guardrails appeared to do little to hurt the pair's relationship, with Trump a week later turning the South Lawn of the White House into a Tesla show room to demonstrate support for Musk amid slumping sales for his electric vehicle company. May 2025: Musk exits the White House amid simmering tensions On the first day of May, Musk told reporters at the White House that he would soon step back from DOGE to focus on his companies, comparing the shift to going from full-time to part-time work. The announcement came after Tesla reported a drop in its first-quarter profit and revenue. By the end of the month, Musk's exit was formalized. The White House on May 28 confirmed that Musk's tenure as a special government employee, a temporary role that he soon would legally have to exit anyway, had come to an end. Musk thanked Trump "for the opportunity to reduce wasteful spending," and the president at a news conference with Musk days later said, "Elon's service to America has been without comparison in modern history." Trump presented Musk with a gold-colored key at the event. But underneath the polite exchanges hid simmering tension: Musk days earlier appeared on CBS' "Sunday Morning" and bashed a massive Republican bill, designed to fund much of Trump's domestic agenda, by condemning the expected impact of the legislation on the national debt. Trump soon after pulled the nomination of billionaire Jared Isaacman, an associate of Musk, to be NASA administrator. June 2025: Tensions boil over and spill into public Days after formally departing the White House, Musk launched a scathing attack on the Trump-backed bill making its way through Congress. 'I'm sorry, but I just can't stand it anymore,' Musk wrote in a post on X. 'This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination. Shame on those who voted for it: you know you did wrong. You know it.' Asked about those criticisms, Trump expressed disappointment. "Elon knew the inner workings of this bill,' Trump told reporters, before suggesting Musk's opposition to the bill was personal. 'Elon is upset because we took the EV mandate which was a lot of money for electric vehicles. They're having a hard time the electric vehicles, and they want us to pay billions of dollars in subsidy," Trump said. The attacks quickly grew more personal. Musk called out Trump's "ingratitude," arguing that Republicans would have lost the 2024 election without his support. Trump in response said Musk "went crazy" after being asked to leave his White House role, and he toyed with the idea of severing government ties with Musk's companies. Musk replied by claiming Trump was in what are known as "the Epstein Files," and said Trump's tariff policy would cause a recession. He also amplified a post calling for Trump to be impeached and replaced by Vice President JD Vance. A day after the barrage of attacks, Trump told reporters he's no longer thinking of Musk. "Honestly, I've been so busy working on China, working on Russia, working on Iran, working on so many — I'm not thinking about Elon. You know, I just wish him well," he said.