The European Union is set to invest €200 million (US$232 million) in Greenland as part of a broader effort to deepen ties with the region, a move that comes in response to former US President Donald Trump's repeated claims that the island should belong to the United States.

European Commission President Ursula von der Leyen announced the funding during a two-day visit to Nuuk, the capital of Greenland. The trip was designed to demonstrate support for the semi-autonomous Danish territory. The financial package will be directed toward developing critical minerals, renewable energy, and satellite communications.

Speaking alongside Danish Prime Minister Mette Frederiksen and Greenlandic leader Jens-Frederik Nielsen at a joint press conference, von der Leyen stated, "This reflects the clear choice Greenland has made to strengthen its connection with the EU." She added, "It also shows that Europe has made a very clear choice of its own, namely to play a bigger role and invest more in Greenland and the Arctic region."

Greenland's strategic importance on Europe's geopolitical agenda has grown steadily in recent years as melting ice caps open up new maritime routes and intensify competition for regional influence. Trump escalated this rivalry earlier this year, at one point threatening to seize the island and potentially upending transatlantic relations before eventually softening his stance.

Von der Leyen emphasized the stakes, saying, "The Arctic has become one of the regions where geopolitical plates are colliding. Therefore, everything that happens here is of direct interest to us."