Beijing understands not only Greenland’s geographic importance but also its economic potential. Greenland is rich in a wide array of mineral deposits, including rare-earth minerals — resources critical to our high-tech and defense industries. China currently dominates the market in these minerals and has threatened to withhold them from us to gain leverage in trade negotiations. Greenland also possesses untold reserves of oil and natural gas.
An agreement to transfer Greenland’s sovereignty must also serve the interests of our good friends, the Danes, and the 56,000 Greenlanders as well. Their considerations ought to include the fact that despite Greenland’s long-term potential, a lack of infrastructure and financing still hamstring the island’s economy today. Greenland’s economy is less than one-tenth of Vermont’s, America’s smallest state economy. Every year, Denmark transfers $670 million in subsidies to support the island.
As the world’s largest economy, the United States could more easily assume support for Greenland’s communities while investing substantially in its future. The transfer of Greenland’s sovereignty would alleviate a significant financial burden on the Danish people while expanding opportunities for Greenlanders. Just look at what American sovereignty has meant to Alaskans compared with conditions in Siberia under Russian control.