Alongside its strategic geopolitical position, Greenland is known for an abundance of untapped raw materials, from oil and gas reserves to critical mineral deposits and a treasure trove of rare earth elements.
These critical minerals and rare earth elements are vital components in emerging technologies, such as wind turbines, electric vehicles, energy storage technologies and national security applications. China repeatedly sought to leverage its near monopoly of rare earths to exert pressure on the U.S. last year.
“Trump is a real estate guy,” Clayton Allen, head of practice at Eurasia Group, a political risk consultancy, told CNBC by video call.
“Greenland is sitting on some of the most valuable real estate in terms of economic advantage and strategic defense for the next three to five decades.”