Relevance: GS II (International Relations – Developed Nations’ Policies) & GS I (Geography – Resources)

1. The Context: A “Tariff War” for Territory

The geopolitical tussle for the Arctic has shifted from rhetoric to economic warfare. In January 2026, the US administration announced a 10% tariff on imports from Denmark and key European allies, pressuring them to negotiate the “purchase” of Greenland.

• The Logic: The US argues that Greenland’s current defense is too weak to counter the rising Russian and Chinese presence in the Arctic.
• The Pushback: In a rare show of defiance, European NATO allies have launched a joint security exercise, “Arctic Endurance,” signaling a firm rejection of the annexation bid.

2. Why the Obsession with Greenland?

The US interest is driven by three strategic “Hard Power” calculations:

• The Rare Earth Jackpot: Greenland holds the Kvanefjeld and Tanbreez deposits—some of the world’s largest untapped reserves of Rare Earth Elements (REEs). Controlling these is the only way to break China’s global monopoly on the minerals needed for fighter jets and EV batteries.
• The “GIUK” Gap: Greenland is the “G” in the GIUK Gap (Greenland-Iceland-UK). This narrow naval passage is the only way for Russian nuclear submarines to exit the Arctic and enter the Atlantic. Controlling it is non-negotiable for NATO.
• The “Eyes” of Defense: The island hosts the Pituffik Space Base (formerly Thule). Located 1,200 km north of the Arctic Circle, its radars are the first line of defense to detect ballistic missiles aimed at North America.

3. The NATO Paradox

This dispute creates an unprecedented crisis for the alliance.

• The Irony: Article 5 of NATO guarantees “Collective Defense.” However, the current aggression comes from the alliance’s leader (US) against a loyal member (Denmark).
• The Risk: Experts warn that this internal “Family Feud” plays directly into the hands of Russia and China, allowing them to expand their “Polar Silk Road” while the West is divided.

UPSC Value Box

Q. With reference to the strategic geography of the Arctic region, consider the following statements:

1. The “GIUK Gap” is a strategic naval chokepoint located between Greenland, Iceland, and the United Kingdom.
2. The Pituffik Space Base (formerly Thule) is a key Russian military installation located within the Arctic Circle.
3. Kvanefjeld is a major mineral deposit in Greenland known for its reserves of Rare Earth Elements (REEs).

Which of the statements given above is/are correct?

(a) 1 only

(b) 1 and 3 only

(c) 2 and 3 only

(d) 1, 2 and 3

Correct Answer: (b)