As geopolitical interest in the Arctic intensifies, Nuuk has moved to protect Greenland’s fragile political and economic autonomy with a new law that sharply limits access to land and property by foreigners. The legislation, which entered into force on 1 January 2026, represents a preventive response to mounting pressure—particularly from the United States—over the island’s strategic position and mineral wealth.
What the new law changes
Approved in November 2025 by a large majority of Inatsisartut—21 votes in favour, six abstentions, out of 31 members—the law introduces strict conditions for non-Danish citizens and foreign companies seeking to acquire property or land-use rights in Greenland. Under the new rules, foreigners may obtain ownership or exclusive land-use rights only if they have been permanent residents and have paid all taxes in Greenland for at least the previous two years. In practical terms, this significantly raises the barrier for speculative investments and short-term acquisitions by multinational corporations. The law does not overturn Greenland’s long-standing legal principle that land itself cannot be privately owned. In Greenland, land belongs to the state or municipalities; what investors can obtain are time-limited concessions or exclusive usage rights, subject to approval. The new legislation tightens these procedures further and reinforces political oversight.
A response to growing American interest
The timing of the law is not accidental. Since Donald Trump publicly revived the idea of Greenland as a U.S. strategic asset, interest from American investors has grown. Officially framed in terms of “national security,” Washington’s focus on Greenland is widely interpreted by analysts as being driven by access to critical Arctic resources and by the island’s position between North America and Europe. This perception was reinforced in June 2025, when the U.S. Department of Defense moved Greenland from the European military command structure to the Northern Command, placing it administratively alongside the United States, Canada and Mexico. Symbolically and politically, the shift suggested that Washington increasingly views Greenland as part of its North American strategic space rather than Europe’s periphery.
How investment already works in Greenland
Even before the new law, foreign investment in Greenland was far from straightforward: access to land depends on demonstrating clear benefits for Greenland. To obtain concessions or exclusive land-use rights, investors must show that their projects align with national priorities—such as sustainable tourism, renewable energy, or infrastructure development—and comply with strict environmental regulations. The new legislation formalises and strengthens this approach, making it harder for purely extractive or speculative projects to proceed.
Minerals, melting ice, and global competition
Behind the diplomatic tension lies Greenland’s immense mineral potential. Rising global temperatures are accelerating ice melt, making deposits that were once inaccessible increasingly viable. Of particular interest are rare earth elements, essential for smartphones, electric vehicles, satellites and green technologies. China currently dominates roughly 98% of global rare earth production, and Greenland is one of the few places that could realistically challenge that monopoly. This makes the island attractive not only to the United States but also to Beijing—turning Greenland into a focal point of global economic and strategic competition.
A legal shield in a warming world
Ultimately, the new land-ownership law functions as a political ice shield—a legal attempt to slow external pressure in a world where climate change is literally reshaping the Arctic. Whether it will be enough remains uncertain. As Greenland’s ice recedes and global demand for critical resources grows, the tension between sovereignty, security and economic opportunity is unlikely to ease. For now, Nuuk has sent a clear message: Greenland is open to cooperation, but not to coercion—and not on someone else’s terms.
Read more on ATN.com, BusinessInsider.com, Thelocal.dk, Reuters.com
