Trump backs down from tariff threats over Greenland dispute

President Trump makes a u-turn on tariffs after reaching a framework for a future deal over Greenland. Leanna Byrne asks - what do we know about this deal?We also follow the US Supreme Court hearing involving Federal Reserve governor Lisa Cook, who denies allegations of misrepresenting her home ownership status. And the EU-Mercosur trade deal faces a legal challenge.(Photo: US President Donald Trump speaking at the annual meeting in Davos, Switzerland, January 21, 2026. Credit: Photo by World Economic Forum/PA Wire)

The settlement comes just days before the landmark case was due to go to trial in LA

The World Economic Forum at the Swiss resort of Davos has been dominated by President Trump's ambition to take control of Greenland, and his threat to impose tariffs on European countries that resist. EU leaders could be hitting back with tariffs of their own. So, what are the market reactions in the US and in Europe? Also, it was tariffs on allies, tariffs on rivals, tariffs that sent shockwaves through the global economy. One industry that felt the impact is cars. We will hear businesses in South Africa, the US, and Canada. (Photo: US President Donald Trump holds a press briefing with reporters at the White House in Washington, DC, USA, 20 January 2025. Credit: Photo by JIM LO SCALZO/EPA/Shutterstock).

President Trump insists there’s ‘no going back’ on taking control of the island

The US President remains committed to taking control of the semi-autonomous territory of Denmark, leading to strong push back from European leaders. We get reaction from the Duncan Edwards, CEO of the BritishAmerican Business trade body and Matthew Bartlett, Republican strategist and who worked in the State Department during the first Trump administration. Plus, we hear from American farmers in Texas, Minnesota and New York about how a year of tariffs has affected their businesses and livelihoods.(Photo: A 3D-printed miniature model of U.S. President Donald Trump, and the EU and Greenland flags appear in this illustration taken January 17, 2026. Credit: REUTERS/Dado Ruvic/Illustration)

Leaders of European countries have reacted angrily to the threat of additional tariffs by the US. Donald Trump says he'll first put 10% then 25% extra import tax on eight countries including Germany, France and the UK as he increases the pressure on his claim for Greenland to be sold by Denmark to the United States.China reports 5% GDP growth, but weak demand and falling birth rates signal deeper challenges for the world’s second-largest economy.And winners crowned on and off the pitch at football's African Cup of Nations. Presenter: Bisi Adebayo Editor: Justin Bones

China and Canada strike a trade deal after a high stakes meeting between the Canadian Prime Minister Mark Carney and President Xi.And Europe and South America sign a trade deal after twenty five years. The EU-Mercosur agreement will require the approval of the European parliament within the next few months.(Picture: Canada's Prime Minister Mark Carney receives flowers upon his arrival in Beijing on January 14, 2026. Credit: Reuters/Carlos Osorio)

The agreement, between the South American trade bloc Mercosur and the European Union which is set to be signed this weekend, has been 25 years in the making.The deal will eliminate import taxes or tariffs on more than 90 percent of goods traded between Europe and the South American nations. Europe hopes to boost its exports of cars, machinery and medicines, while South American farmers see a huge new market for their crops and produce.Meanwhile, Canada and China have also been making a deal of sorts, what they call a new strategic partnership.And research in Kenya has shown that many young people would choose to be a Tiktoker or a YouTuber over a more conventional job, like a doctor or a lawyer.

Two years on, one of the world’s biggest shipping companies - Maersk - says it’s preparing to return to the Red Sea — and in aviation, Chinese-made passenger jets may be edging closer to European skies.Also today — new data suggests Iran’s internet blackout has cost the economy around 260 million dollars in lost business activity.(Picture: A Maersk Line container vessel crosses the Strait of Gibraltar from the Atlantic Ocean to the Mediterranean Sea on January 8, 2026. Credit: REUTERS/Amr Abdallah Dalsh)

Several governments have been piling pressure on Musk’s AI company, xAI, after Grok was used to generate a flood of sexually explicit and non-consensual images, including of women and children.X says it will now geo-block the creation or editing of images showing people in bikinis, underwear or similar clothing in countries where that content is illegal and restrict image generation on Grok to paid subscribers only.Talks between the US, Denmark and Greenland have been called "frank but constructive", resulting in what the Danish foreign minister described still as a "fundamental disagreement" over the future of Greenland.And Wikipedia turns 25, we hear from it's founder.