Cabot Phillips

Yeah, every year, the World Economic Forum hosts its annual meeting in Davos.

There are thousands of Fortune 500 business leaders, diplomats, foreign leaders, you name it.

Everyone important is there right now.

Now, all eyes at this event are always naturally on the president of the United States, but even more so this year, especially given Trump's recent clashes with Europe.

Remember, on Saturday, he said that if Europe does not facilitate and support a deal for the U.S.

to acquire Greenland...

He'll hit a number of countries there with a new 10% tariff starting in February, and then it'll jump to 25% in June.

It'll stay in place, quote, until such a time as a deal is reached for the complete and total purchase of Greenland.

Now, those tariffs will apply to goods coming from a host of countries.

including Norway, Sweden, France, Germany, Britain, the Netherlands, and Finland.

So a lot of goods at stake there.

Yeah, you're talking about billions of dollars in new tariffs, potentially.

So how have the Europeans responded so far this week?

Well, right now, they're embracing a teamwork approach, banding together against Donald Trump.

Leaders from across the EU have been huddling already this week, trying to formulate a strategy

and it could spark an enormous trade war.

French President Emmanuel Macron, for example, said the EU, quote, should not hesitate to use their anti-coercion instrument, also known unofficially as, this is a real name, the trade bazooka.

That mechanism, which has never been used before, includes widespread bans on American investments in Europe,

Restrictions on American exports and imports across Europe, the list goes on.

It's pretty serious stuff.