Trump will not rule out force to take Panama Canal, Greenland

《By Steve Holland and Joseph Ax

January 8, 2025》

• Summary

Trump proposes changing Gulf of Mexico to Gulf of America

Trump urges NATO members to increase defense spending to 5% GDP

• PALM BEACH, Florida, Jan 7 (Reuters) - U.S. President-elect Donald Trump refused on Tuesday to rule out using military or economic action to pursue acquisition of the Panama Canal and Greenland, part of a broader expansionist agenda he has promoted since winning the Nov. 5 election.
• Trump, who takes office on Jan. 20, also floated the idea of turning Canada into a U.S. state, said he would demand far higher defense spending from NATO allies and promised to change the name of the Gulf of Mexico to the Gulf of America.
• Still two weeks away from taking office, Trump has begun outlining an aggressive foreign policy with little regard to diplomatic considerations or the concerns of U.S. allies.

  Asked at a press conference at his Florida resort whether he could assure the world he would not use military or economic coercion as he tries to gain control of the Panama Canal and Greenland, Trump said, "No, I can't assure you on either of those two. But I can say this, we need them for economic security."

  Trump criticized American spending on Canadian goods and military support for Canada, saying the U.S. derives no benefits from doing so, and called the border between the two countries an "artificially drawn line."

  He suggested he would impose tariffs on Denmark if it resists his offer to purchase Greenland, which he said is vital to U.S. national security. Shortly before Trump's comments, his son Don Jr. arrived in Greenland for a private visit.

  Denmark has said Greenland, a self-governing part of its kingdom, is not for sale.

  "I don't think it's a good way forward to fight each other with financial means when we are close allies and partners," Denmark's Prime Minister Mette Frederiksen said late on Tuesday in response to Trump's comments.

  CANADA SAYS: 'WE WILL NEVER BACK DOWN'

  Canada's minister of foreign affairs, Melanie Joly, said on X, "President-elect Trump's comments show a complete lack of understanding of what makes Canada a strong country. Our economy is strong. Our people are strong. We will never back down in the face of threats."

  Panama's top diplomat also pushed back on the incoming U.S. leader's threat to retake the key global waterway, which the U.S. had built and owned before handing over control to the Central American nation in 1999.

  "The only hands that control the canal are Panamanian and that's how it will continue to be," Foreign Minister Javier Martinez-Acha told reporters on Tuesday.

  Ambassador Daniel Fried, a retired U.S. diplomat now with the Atlantic Council think tank, said Trump's comments painted a picture of national power as territorial expansion and compared him to a "19th century imperialist."

  Seizing Greenland, Fried said, "would destroy NATO, because it would make us no different than Vladimir Putin," Russia's president.

  Trump's promise to rename the Gulf of Mexico echoed his previous vow to revert the name of Denali, the highest mountain peak in North America, to Mount McKinley. Former President Barack Obama changed the name of the Alaskan mountain in deference to Native Americans.

  Mexican Economy Minister Marcelo Ebrard, who is expected to play a key role in looming U.S.-Mexico trade issues, appeared to dismiss Trump's call to rename the shared body of water later on Tuesday.

  "Today I'd tell you if we saw each other in 30 years, the Gulf of Mexico will still be called the Gulf of Mexico," he said, adding that the Mexican government would not get drawn into the debate.

  Typically, the U.S. Board of Geographic Names sets geographic names, though presidents have also renamed geographic features via executive action.
• NATO SPENDING
• Trump said NATO members should spend 5% of their gross domestic product on defense, a significant increase from the current 2% target.
• "I think NATO should have 5%," he said. "They can all afford it, but they should be at 5%, not 2%."
• Trump has frequently complained that most NATO members are not paying their fair share, and he floated demanding an increase in NATO defense contributions during the campaign.
• NATO estimated that 23 of its 32 members would meet its goal of spending 2% of GDP in 2024.
• None of the alliance members, including the U.S., currently spends 5% of GDP on defense, according to NATO figures. Poland is the highest spender in GDP terms at 4.12%, followed by Estonia at 3.43% and the United States at 3.38%.
• Trump also repeated his threat that "all hell will break out in the Middle East" if Palestinian Hamas militants do not release by the time he takes office hostages it abducted from Israel on Oct. 7, 2023, and still hold in the Gaza Strip.
• "It will not be good for Hamas, and it will not be good, frankly, for anyone," he said.
• His Middle East envoy, Steve Witkoff, told reporters he hopes to have good things to report on negotiations between Israel and Hamas by the time Trump is sworn into office.
• FAMILIAR GRIEVANCES
• The free-wheeling, hour-long press conference, Trump's second since his victory, echoed similar events during his presidential campaign.
• He aired a series of familiar grievances about his criminal indictments, including attacking Justice Juan Merchan, the New York judge who is scheduled to sentence Trump on Friday for falsifying business records in connection with hush money payments to a porn star.
• A New York appeals court denied his latest bid to halt the sentencing shortly after his press conference ended.
• Separately, as Trump was speaking, a U.S. judge temporarily blocked Special Counsel Jack Smith from releasing a report on his investigations into Trump's alleged mishandling of classified documents and attempts to overturn the 2020 presidential election.
• The judge, Aileen Cannon, had previously dismissed the case charging Trump with illegally retaining classified materials after leaving office.
• Tuesday's event took place in the ornate living room at Mar-a-Lago, Trump's Palm Beach resort. Several of Trump's senior advisers watched the proceedings, while club guests could be seen outside dining on the terrace.
• Trump was also asked whether it was appropriate for Elon Musk to publicly weigh in on foreign affairs. In recent weeks, the billionaire Trump ally has used his X platform to comment on European politics, including expressing support for Germany's far-right Alternative for Germany.
• "I can say Elon is doing a good job, very smart guy," Trump said. "I don't know the people you're talking about."⍐