The report examined the island’s natural resource potential as a source of national revenue, while also underscoring the importance of geopolitical control for a rising great power.
Even so, the proposal to purchase Greenland and Iceland ultimately failed after it did not receive approval from the U.S. Congress.
The desire to control Greenland is not exclusive to the United States. China, one of Washington’s major trade rivals, has also shown similar ambitions—albeit through a different approach.
According to a recent report by the Center for Strategic and International Studies (CSIS), China has sought to establish its footprint in Greenland, among other ways through its Polar Silk Road policy launched in 2018.
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Under this policy, China has even claimed the status of a Near-Arctic State, a term it coined to justify its active involvement in Arctic affairs.
On the basis of this claim, China aims to develop strategic trade and energy corridors across the Arctic region, including Greenland and its surrounding areas.
Unlike the United States, which has openly expressed its interest in territorial control, China has relied on soft diplomacy to expand its influence.
One tangible manifestation of this approach is the investment by Chinese company Shenghe Resources, which has built smelting facilities and conducted mineral mining operations in the Kvanefjeld area.
Since beginning its investment in 2018, Shenghe Resources has become the second-largest mining company operating in Greenland.
China’s move has faced resistance from the United States and its allies, who have attempted to counter Beijing’s influence through joint investment initiatives in the Arctic.
However, CSIS notes that Greenland, as part of the Western world, has remained pragmatic in addressing its economic needs.
The report highlights that Greenland still requires significant development of supporting infrastructure, including transportation, energy, and public facilities.
“The Greenlandic Minister for Business and Mineral Resources emphasized that while partnerships with Western countries remain a priority, limited investment options may compel Greenland to open itself to other partners, including China,” the CSIS report stated in its release on January 8, 2026.***