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A new trade dispute seems to be arising between America and the European Union. US President Donald Trump has threatened to impose 10 percent additional import duty (tariff) on 8 European countries amid the ongoing dispute over Greenland. After this threat, the European Union has also adopted a tough stance and indicated retaliatory action.

Bernd Lange, Chairman of the International Trade Committee of the European Parliament, has demanded immediate action from the European Commission in this matter. Terming Trump’s move as blackmail, he has urged to implement the EU’s special ‘Anti-Coercion Instrument’ (ACI). This mechanism has been created to deal with the economic pressure being exerted by a third country.

‘Enough is enough, time to answer’

Bernd Lange said in a post on social media platform LinkedIn that now is not the time to remain silent. “Enough is enough. The time has come to invoke the anti-coercion instrument and give a clear and concrete response from the EU,” he wrote. He has appealed to the European Commission to start this process without any delay.

Lange called Trump’s threat unbelievable, saying it was a new and dangerous way to use tariffs as a political weapon.

He also made it clear that this step of America is a violation of the trade agreements between the European Union and America. According to Lange, the issue will be discussed with various political groups in the European Parliament next week.

What is the whole controversy?

This entire dispute is over Greenland, which is a self-governing territory under the Kingdom of Denmark. Donald Trump has long shown interest in Greenland and during his first term he even expressed his desire to buy it. In recent days, Trump has been considering many options including the use of military to take it under his control, due to which this crisis has deepened.

In this background, Trump announced on Saturday that from February 1, an additional duty of 10 percent will be imposed on all goods coming from Denmark, Norway, Sweden, France, Germany, Britain, Netherlands and Finland. The Trump administration says that this step is being taken because these countries are not supporting America on the Greenland dispute.