Greenland gambit

Listen to article

Greenland, an icy expanse in the Arctic with a population of just over 56,000, has emerged as a focal point in global geopolitics. With its immense natural resources, strategic military significance and the transformative effects of climate change, this remote island has become the subject of growing international interest and competition. Beneath Greenland's ice lie untapped reserves of rare earth elements, uranium and oil, all of which are critical for modern technologies.

The US has long recognised Greenland's strategic value. During WWII, Greenland was an important strategic stopover for Allied planes and in 1941 the US built Thule Air Base which is still part of NATO's missile shield today. In 1946, the US offered to buy Greenland for $100 million in gold, an offer Denmark did not accept. More recently, President-elect Donald Trump has insisted on the need for the US to obtain Greenland and the Panama Canal, both of which he regards as vital to the country's security. Even though Denmark said it was an absurd idea, it pointed to the fact that the Arctic is becoming more strategic as ice continues to melt, and competition rises.

For this reason, climate change has become a major factor in the renewed interest in Greenland. With Arctic ice melting, new shipping lanes are emerging and the time taken to transport goods between key world economies has been cut. The sea near Greenland termed the Northwest Passage could emerge as a new passing route in place of the Suez Canal. This has led to the attention from world giants such as China that wants to incorporate the Arctic in its BRI. China has decided to call itself a near-Arctic state and has been actively involved in Arctic exploration and development, making other countries of the West wary of China's future plans in the Arctic region.

Another aspect of the geopolitical significance of Greenland is its rich mineral deposits. Greenland holds large deposits of rare earth materials used in manufacturing gadgets, renewable energy systems and weapons. Currently, China holds a monopoly on over 80% of rare earth production around the world. Greenland's deposits offer other countries a chance to obtain sources of material independent of China. However, there are some problems with mining these resources: the environment and ethical issues because Greenland's environment can hardly be restored.

As the sovereign state of Greenland, Denmark is now under increasing pressure to address its geopolitical priorities alongside the island's desire for self-governance. Greenland has a high degree of autonomy and sought more ownership of its assets. But these aspirations are constrained by economic dependency on Denmark. Greenland currently gets an annual block grant of more than $500 million from Denmark which is more than half of Greenland's GDP. To establish an independent economy that would not rely on Danish support, more capital would be needed, especially in sectors such as mining and tourism.

The ethico-eco-politics of the growing interest in Greenland cannot be overemphasised. The indigenous Inuit people of the island have expressed a concern on the effect of mining and other related activities to their culture. The intense inequalities and the rapid flow of foreign investments and workers may destabilise Greenland. Also, the environmental impacts of extraction of resources must be well handled.

As global powers contend for influence over Greenland, the island finds itself at the centre of a complex geopolitical chessboard. Its strategic location, abundant resources and potential as a gateway to the Arctic make it an attractive target for nations seeking to secure their interests in a rapidly changing world. However, the outcomes of this renewed interest will have far-reaching implications for Greenland's people, its environment and the global balance of power. In navigating these challenges, Greenland must carefully balance its aspirations for development and independence with the need to preserve its unique identity and fragile ecosystem.