Trump wants Greenland – which stocks could become important according to an expert

• Greenland is of great strategic importance
• The USA under Trump wants to annex the island
• These assets could benefit from this conflict, according to an expert

Donald Trump has repeatedly stated that he wants to bring Greenland, which officially belongs to NATO partner Denmark, under the control of the United States. He repeatedly justifies this territorial claim by saying that otherwise China or Russia would annex the island with its great strategic importance and its rich natural resources.

The US President recently made it clear that he is interested in long-term ownership of Greenland. “We’re talking about acquisition, not leasing,” he said. His annexation plans are causing concern, especially because Trump has not expressly ruled out military deployment.

Armament in Greenland

In fact, the largest island in the world is of great strategic importance. Firstly, because it is directly in the flight path of Russian or Chinese ballistic missiles aimed at the American mainland. On the other hand, because China is working on a “polar Silk Road” – a shipping corridor across the top of the world.

In order to appease Trump, several NATO countries have spoken out in favor of expanding the alliance’s presence in the Arctic. Denmark alone will have invested more than $10 billion in the defense of the Arctic in 2025. Further investments were promised, around $4.5 billion for American-made F-35 fighter jets. The aim is to take away Trump’s argument that security in the strategically important region cannot be adequately guaranteed.

Rare earths

In addition, according to one expert, Greenland has 39 of the 50 minerals that the United States has classified as critical to national security. As Charlie Garcia, founder and managing partner of R360, a peer-to-peer organization for individuals and families, described in a post on MarketWatch, Greenland’s mineral mix reads like a defense contractor’s Christmas wish list.

This point is crucial for the USA because China currently controls 90 percent of the world’s processing of rare earths. In the tariff dispute with Washington, Beijing was able to use this as leverage and, as part of export controls, completely banned the supply of various rare earths for military purposes.

These stocks could benefit

According to Charlie Garcia, the potential beneficiaries of this conflict could include the stocks of defense companies. As an example, he cites Lockheed Martin, the manufacturer of the F-35 jets, as well as Northrop Grumman and Raytheon, which could supply radar systems, surveillance platforms and Arctic-capable hardware.

He further explains that MP Materials would benefit from supply chain diversification if Chinese dominance becomes untenable. This is the only integrated US company for rare earths.

Garcia also sees opportunities, but also enormous risks, in the two Greenland raw material developers Critical Metals Corp. and Energy Transition Minerals. Because even if the geology is promising, the logistics are brutal. Making matters worse are enormous political and regulatory uncertainties.

Alternative investments

Because of these risks, Charlie Garcia does not rely on stocks but on other assets. So he believes that physical gold, silver and Bitcoin “benefit from monetary instability and great power competition, without me having to predict which company will win the Arctic tussle.”

Editorial team finanzen.net

This text is for informational purposes only and does not constitute an investment recommendation. finanzen.net GmbH excludes any claims for recourse.

Selected leveraged products on Critical Metals

With knock-outs, speculative investors can participate disproportionately in price movements. Simply select the lever you want and we will show you suitable open-end products on Critical Metals

The leverage must be between 2 and 20

Advertising