Europeans agree to step up drive for influence in the Arctic

Germany and other European Union countries have agreed to step up their engagement in the Arctic, in an attempt to compete with Russia, China and the United States for influence in the fast-changing region. 

"We agree that the EU needs to step up its action to promote stability, sustainable development and prosperity while safeguarding its interests," read a joint statement issued on Monday by German Chancellor Friedrich Merz and eleven other EU leaders following talks in the northern Finnish city of Rovaniemi.

"We call for the European Union to take on a more strategic and proactive role in the European Arctic," the declaration said.

The leaders called for improved monitoring and information-sharing, as well as for increased investment in transport links, digital networks, military mobility and other infrastructure, including to address hybrid threats and protect critical infrastructure on land and at sea.

The statement also stressed economic opportunities in the region, including access to critical raw materials, space technologies, shipping, connectivity and tourism.

Next to Merz, the leaders of Finland, Denmark, Estonia, France, Greece, Germany, Latvia, Lithuania, the Netherlands, Poland, Romania and Sweden backed the statement.

Canada, Iceland, Norway, Russia and the United States are considered Arctic countries, in addition to EU members Finland, Sweden and Denmark.

Russia seen 'most significant threat'

The meeting comes against the backdrop of intensifying geopolitical rivalry, including Russia's war against Ukraine and China's growing interest in the region, and the severe effects of climate change.

"The Arctic has emerged as a central arena of great power competition. Its critical natural resources and new sea routes attract interest, while the effect of climate change sets the defining framework for all developments in the area," said Finnish Prime Minister Petteri Orpo after the meeting.

"Russia poses the most significant and long-term threat to Arctic security and stability. In order to respond to the threat posed by Russia, the EU must treat the Arctic as a strategic frontier," Orpo urged.

"This region has become a geopolitical hotspot. Russia is building up its military capabilities here. And Russia uses its presence for hybrid activities every day," Merz said after the meeting.

Hybrid activities refer to a combination of military, economic, intelligence and propaganda tools. These include sabotage attacks targeting undersea cables, cyberattacks and disinformation campaigns.

Danish PM: Greenland under 'big pressure'

Geographically, the northern parts of EU countries Finland and Sweden lie within the Arctic region. The vast Arctic island of Greenland, which is not part of the EU but belongs to the Kingdom of Denmark, is also of major importance to the EU.

The summit declaration does not explicitly mention US President Donald Trump's disputed claims to control the resource-rich territory. Trump argues that Denmark cannot protect the vast Arctic island from Russia and China.

"I think everybody recognized that Greenland has been under a big pressure," said Danish Prime Minister Mette Frederiksen.

Frederiksen is "quite optimistic" that the dispute with Washington can be resolved through ongoing consultations of representatives from the US, Denmark and Greenland.

Last week, European Commission President Ursula von der Leyen announced closer cooperation during a visit there, as well as an investment package of €200 million ($231 million), which is to be used partly to set up the infrastructure needed to extract valuable raw materials.

Upcoming EU strategy for Arctic region

The European Commission intends to use the summit's outcomes to help shape its planned new Arctic strategy.

The upcoming strategy is expected to bring a "more intense European engagement" in the Arctic and will focus on security, economic development including natural resources, and local communities with the impacts of climate change as an overarching issue, said EU Commissioner for International Partnerships Jozef Síkela in Rovaniemi.

The "Arctic is basically warming 4 times faster than the world's average, and it has a direct impact on Arctic security, economic resilience," Síkela said.

"The Arctic is changing dramatically fast, and this change is driving the geopolitical importance of this region," he said.

Finland is keen to ensure that European icebreaker capabilities are included in the strategy.

The Finns regard icebreakers as key to Europe's ability to operate in the High North, arguing that without them it is not possible to reliably safeguard supply and trade routes, or military presence across large parts of the region.