'Completely bonkers': US President Donald Trump's Greenland mining dreams collide with reality

By Matt Egan, CNN Photo: Joe Raedle / Getty Images / AFP Analysis: Greenland's untapped mineral wealth has helped land the island at the top of US President Donald Trump's empire-building wish list. Trump officials view Greenland's underground riches as a way to loosen China's stranglehold over the rare-earth metals that are critical for everything from fighter jets and lasers to electric vehicles and MRI scanners. "We need Greenland ... It's so strategic right now," Trump told reporters aboard Air Force One earlier this month. "We are going to do something on Greenland, whether they like it or not. If we don't do it the easy way, we'll do it the hard way," Trump said Friday (local time) at a press conference with oil executives. Although Trump has recently downplayed Greenland's natural resources, his former national security adviser Mike Waltz told Fox News in 2024 that the administration's focus on Greenland was "about critical minerals" and "natural resources." But the reality is that Denmark's ownership of Greenland is not what's stopping the United States from tapping the island's treasure trove. It's the punishing Arctic environment. Researchers say it would be extremely difficult and expensive to extract Greenland's minerals because many of the island's mineral deposits are located in remote areas above the Arctic Circle, where there is a mile-thick polar ice sheet and darkness reigns much of the year. Not only that, but Greenland, a self-ruling territory of Denmark, lacks the infrastructure and manpower required to make this mining dream a reality. "The idea of turning Greenland into America's rare-earth factory is science fiction. It's just completely bonkers," said Malte Humpert, founder and senior fellow at The Arctic Institute. "You might as well mine on the moon. In some respects, it's worse than the moon." Despite its name, approximately 80 percent of Greenland is covered with ice. And mineral extraction - or just about anything - in the Arctic can be five to 10 times more expensive than doing it elsewhere on the planet. Photo: KEREM YUCEL Greenland, unlike Venezuela, is open for business Trump's interest in Greenland is not new - nor is he the first US president to covet the island. Yet Trump's startling intervention in Venezuela and decision to take control of the South American nation's vast oil riches have refocused attention on his interest in Greenland. The chance that the United States takes control of any part of Greenland has surged to around 40% on prediction market Kalshi, up from about 20% in mid-2025. Of course, there are major differences between the situations in Venezuela and Greenland. Not only is Greenland a territory of NATO ally Denmark, but unlike Venezuela it is very much open to business that can operate there, and it has a long history of political stability. For years, if not decades, officials in Greenland have courted foreign direct investment. People in Greenland say they already are open to business opportunities without any belligerence. "I don't see a need for taking over Greenland. We're open to investment and working with Americans," Christian Keldsen, managing director of the Greenland Business Association, told CNN in a phone interview. "Why would you say something like 'take over the country' when you can get what you want by just behaving?" 'The pot of gold' myth Getting US businesses to take a chance on Greenland may be a fantasy, experts say. "If there was a 'pot of gold' waiting at the end of the rainbow in Greenland, private businesses would have gone there already," said Jacob Funk Kirkegaard, nonresident senior fellow at the Peterson Institute for International Economics. However, Funk Kirkegaard, who previously worked with the Danish Ministry of Defense, said it's just "very difficult" to make a business case for the very large upfront investment that would be required. It's possible Trump tries to provide financial incentives and guarantees to entice US companies to make those massive investments, similar to the guarantees that Big Oil is seeking to drill aggressively in Venezuela. "If given enough taxpayer dollars, private business would be willing to do almost anything," Funk Kirkegaard said. "But is that a good foundation on which to purchase a territory? The answer is no in Greenland, just as it's no in Venezuela." Environmental factors The climate crisis has caused melting ice and rapidly rising temperatures in the Arctic, leading some to hope for new economic opportunities. However, it's too early to say this will be enough of a game-changer to overcome the environmental challenges of mining in Greenland. While ice melt has opened up some shipping routes, it has also made the ground less stable to drill and raises the risk of landslides. "Climate change doesn't mean it's easy. This is not the Mediterranean or your bathtub. There's just less ice freeze," said Humpert of The Arctic Institute. Relatedly,...

'Completely bonkers': US President Donald Trump's Greenland mining dreams collide with reality

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