Greenland wants Chinese investment amid ‘new world order’

(MENAFN) Greenland is exploring the possibility of attracting Chinese investment to boost its mining industry, citing strained ties with the U.S. and limited involvement from the EU, according to Business and Mineral Resources Minister Naaja Nathanielsen in an interview with the Financial Times.

As a self-governing territory of Denmark, Greenland holds significant mineral reserves such as gold and copper. However, these resources are difficult to extract and require foreign investment, which has become harder to secure due to current global geopolitical tensions.

“We’re still trying to understand the shape of the new world order,” Nathanielsen said, admitting that Greenland is struggling to find its position amid shifting alliances with Western powers.

Although the Arctic territory signed a mineral development agreement with the U.S. during Donald Trump’s previous presidency, efforts to extend it under President Joe Biden were unsuccessful. Hopes of renewing the deal under Trump’s current term have been disappointed, especially after his revived talk of purchasing Greenland and his refusal to dismiss using force to assert U.S. sovereignty. Nathanielsen criticized these remarks as “disrespectful and distasteful,” reaffirming that Greenland does not wish to become American territory.

China, meanwhile, has shown a keen interest in Arctic resources, particularly oil, gas, and minerals. Although no Chinese firms currently operate mines in Greenland, one company does hold a minority interest in an inactive project. Nathanielsen suggested that Beijing may be hesitant to engage more actively to avoid political backlash.

“Chinese investment raises concerns — but so does American investment, in a different way,” she noted.

While Greenland prefers to strengthen ties with the EU due to shared environmental priorities, progress has been slow. Only one project, managed by a Danish-French partnership, is currently moving forward and is expected to begin operations within five years.

Currently, Greenland has two operational mines: a gold mine run by Icelandic-Canadian company Amaroq Minerals and an anorthosite mine operated by a Canadian firm’s subsidiary.

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