In a striking display of diplomatic friction, US Treasury Secretary Scott Bessent has openly dismissed Denmark as "irrelevant" during the World Economic Forum in Davos, Switzerland. This sharp comment comes amidst escalating tensions over former President Donald Trump's controversial attempts to annex Greenland, a move that has strained relations with traditional NATO allies.
Bessent Brushes Off European Investment Threats
Speaking on the sidelines of the prestigious global gathering, Bessent directly addressed concerns that European investors, including Danish pension funds, might retaliate by withdrawing from the US government debt market. He downplayed the significance of Denmark's financial involvement, stating bluntly that its investment in US Treasury bonds is minimal and inconsequential.
"The size of Denmark's investment in US Treasury bonds, like Denmark itself, is irrelevant," Bessent declared to assembled reporters. "It is less than $100 million. They have been selling treasuries for years. I am not concerned at all."
Media Blame and Diplomatic Tensions
The Treasury Secretary attributed the heightened focus on potential European disinvestment to what he termed the "fake news media," specifically naming the Financial Times. He referenced a Deutsche Bank report that had suggested Europe might become less willing to purchase US government debt due to the Greenland crisis, but claimed the bank's CEO had disavowed the findings in a personal call.
This outburst follows critical statements from European leaders at the same forum. 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.
Clashes with Macron and Newsom
Bessent did not hold back in his responses to these European figures, labelling their comments as "inflammatory." He suggested that President Macron should redirect his attention to domestic French issues, particularly the state of the national budget, rather than advocating for NATO missions in Greenland.
"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," Bessent remarked pointedly.
The Treasury Secretary also engaged in a heated exchange with California Governor Gavin Newsom, who had previously described Bessent as "smug" and "out of touch." In a colourful retort, Bessent dubbed Newsom "Patrick Bateman meets Sparkle Beach Ken" and accused him of prioritising interactions with the global elite over addressing California's severe homelessness crisis.
"Shame on him. He is too smug, too self-absorbed and too economically illiterate to know anything," Bessent concluded sharply.
Awaiting Trump's Arrival
As these verbal skirmishes unfolded, former President Trump was en route to Davos, albeit behind schedule due to a technical issue with Air Force One that caused an approximate three-hour delay. Bessent indicated that Trump's scheduled address to the World Economic Forum might consequently be postponed, noting the president was "likely to be three hours late."
In his closing remarks, Bessent urged fellow Davos attendees to avoid "reflexive anger" and "bitterness," encouraging them to listen to Trump's rationale for US ownership of Greenland. "I think they are going to be persuaded," he added optimistically, setting the stage for further high-stakes discussions as the forum continues.
