ASIATODAY.ID, JAKARTA — Former U.S. President Donald Trump’s interest in Greenland has never been merely about territory or military positioning in the Arctic.
Beneath the controversial idea of “taking over” the world’s largest island lies a far more strategic objective: control over rare earth minerals, the backbone of 21st-century technology and defense systems.
Trump once stated openly that the United States needs Greenland from the standpoint of national security. That remark reinforced growing suspicions that Greenland’s vast natural resources—particularly its critical minerals—have become a central element in Washington’s geopolitical and economic calculus.
Greenland is far more than an expanse of ice. International geological studies show that the island holds an extraordinary array of natural resources, including iron ore, graphite, tungsten, palladium, vanadium, zinc, gold, uranium, copper, and even oil and gas potential.
Yet none attracts global attention more than rare earth elements (REEs)—strategic minerals essential for modern life, from smartphones, electric vehicle batteries, wind turbines, and semiconductors, to military radar systems and advanced weapons platforms.
Greenland: A Global Rare Earth Treasure
According to international estimates, Greenland ranks eighth globally in rare earth reserves, with around 1.5 million tons identified. But this figure barely scratches the surface of its true geological potential.
Two massive deposits in southern Greenland—Kvanefjeld and Tanbreez—are widely believed to be among the largest rare earth deposits on Earth.
The Kvanefjeld deposit is considered one of the world’s largest onshore rare earth resources, containing over 11 million tons of reserves and resources, including approximately 370,000 tons of heavy rare earths—the most valuable category due to their critical role in high-tech and defense applications. Its ore grade stands at around 1.43 percent, well above the global average for rare earth projects.
Meanwhile, Tanbreez is estimated to contain up to 28.2 million tons of rare earth minerals, with roughly 27 percent classified as heavy rare earths. Although its ore grade is lower, its economic value remains immense due to the strategic nature of its mineral composition.
Supply Chain Warfare and the China Factor
Despite this abundance, no rare earth mine is fully operational in Greenland today. The obstacles are formidable: extreme Arctic weather, limited infrastructure, and intense environmental and social opposition.
Only about 20 percent of Greenland’s territory is ice-free, with winter temperatures plunging below minus 40 degrees Celsius.
Ironically, climate change—by accelerating ice melt—has begun to expose mineral-rich areas that were previously inaccessible.
U.S. interest in Greenland is also inseparable from the global rare earth supply chain crisis. China dominates more than 70 percent of global rare earth production and processing, leaving Western economies acutely vulnerable to supply disruptions.
When Beijing imposed export restrictions on strategic minerals, industries across the automotive, technology, and defense sectors in the West were shaken.
Against this backdrop, Greenland has emerged as a strategic alternative for Washington to reduce its dependence on China.
In 2019, the United States signed a memorandum of understanding with Greenland to cooperate on critical mineral development.
By 2025, the U.S. Export-Import Bank had expressed interest in providing approximately US$120 million in financing for the Tanbreez project.
But the United States is not alone. China has long had its eye on Greenland. Chinese rare earth company Shenghe Resources is the second-largest shareholder in the Kvanefjeld project and has previously signed agreements related to mineral processing there.
A Long Road to Becoming the “Saudi Arabia of Rare Earths”
Despite its mineral wealth, Greenland’s path to becoming a global rare earth powerhouse remains uncertain. The island has only about 150 kilometers of roads, along with limited ports, electricity supply, and logistical infrastructure.
Environmental regulation and local resistance pose additional hurdles, particularly due to the uranium content that often accompanies rare earth deposits.
In 2021, Greenland’s government banned the mining of minerals with high uranium concentrations, effectively stalling the Kvanefjeld project.
Legal battles and political disputes continue to this day.
As the world accelerates its energy transition, intensifies technological competition, and slides deeper into geopolitical rivalry, Greenland is no longer a remote Arctic outpost.
It has become a new epicenter in the global struggle for strategic resources—and talk of annexation is no longer mere provocation, but a reflection of the ruthless mineral geopolitics of the 21st century. (AT Network)
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