In a striking diplomatic confrontation at the World Economic Forum in Davos, Switzerland, US Treasury Secretary Scott Bessent has branded Denmark as "irrelevant" amidst escalating tensions over President Donald Trump's controversial bid to annex Greenland. The remarks came during a press briefing on the sidelines of the global summit, where Bessent downplayed concerns about European investment retaliation.
Bessent Dismisses Danish Investment Threats
Addressing reports that Danish pension funds might disinvest from the US government debt market in response to the Greenland dispute, Bessent was unequivocal in his dismissal. "The size of Denmark's investment in US Treasury bonds, like Denmark itself, is irrelevant," he declared. "It is less than $100 million. They have been selling treasuries for years. I am not concerned at all."
He attributed the speculation to what he called "fake news media led by the Financial Times," which he claimed amplified a Deutsche Bank report suggesting reduced European appetite for US debt. Bessent further noted that the CEO of Deutsche Bank had contacted him to disavow the report's findings, adding a layer of contention to the financial discussions.
European Leaders Face Criticism
The US Treasury Secretary's comments followed critical statements from European leaders at Davos. French President Emmanuel Macron emphasised a preference for "respect over bullies" and the "rule of law over brutality," while European Commission President Ursula von der Leyen promised an "unflinching response" to Trump's tariff threats against eight European countries opposing the Greenland takeover.
Bessent labelled these remarks as "inflammatory" and suggested that President Macron should redirect his focus. "If this is all President Macron has to do when the French budget is in shambles, I would suggest he focuses on other things for the French people," he stated, questioning the prioritisation of a NATO mission in Greenland over domestic economic issues.
Trump's Delayed Arrival and Diplomatic Plea
As President Trump's flight to Davos faced a three-hour delay due to an issue with Air Force One, Bessent hinted that the president might be similarly late for his scheduled address at the forum. He urged global leaders to avoid "reflexive anger" and "bitterness," encouraging them to listen to Trump's arguments for US ownership of Greenland. "I think they are going to be persuaded," Bessent optimistically added, framing the dispute as a matter of persuasive diplomacy rather than conflict.
Sharp Exchange with California's Governor
The tensions extended beyond international relations, with Bessent engaging in a heated exchange with California Governor Gavin Newsom. After Newsom described Bessent as "smug" and "out of touch" in a prior speech, the Treasury Secretary retaliated with pointed criticism.
Dubbing Newsom "Patrick Bateman meets Sparkle Beach Ken," Bessent accused him of "hobnobbing with the global elite" instead of addressing California's homelessness crisis. "Shame on him. He is too smug, too self-absorbed, and too economically illiterate to know anything. Let me know if you need any further clarification," Bessent concluded, highlighting domestic political divisions amid the international forum.
This episode underscores the deepening rifts between the Trump administration and traditional allies, as economic and diplomatic strategies collide on the global stage in Davos.
