
Over the past decade, the foreign and security policy environment of the Kingdom of Denmark has changed markedly. This is especially true in the Arctic, which in only a few years has shifted from a region of relatively low tension to an increasingly important arena of great-power rivalry. As a result, issues such as trade, research, shipping, and natural resources are increasingly being framed as matters of national security.
This article advances three main arguments.
First, the United States increasingly portrays China’s presence in the Arctic as a security issue. This framing now extends well beyond the military domain and includes activities such as investment and research, which together form the central focus of this article.
Second, this development is closely connected to a broader American strategy. In response to intensifying geopolitical competition, Washington is seeking to restrict rival great powers’ access to the Northern Hemisphere. In this respect, contemporary U.S. policy echoes the strategic logic of the Monroe Doctrine, which historically aimed to keep external great powers out of the Western Hemisphere.
Third, these developments place Denmark and Greenland in an increasingly difficult strategic position. As a political community composed of small and microstates with limited resources and open economies, the Kingdom of Denmark faces clear constraints on its capacity for independent international action. It therefore has a strong interest in sustaining and expanding international cooperation through trade, investment, and research partnerships. Such cooperation allows the Kingdom to benefit from international specialization and the global division of labour, thereby creating more favourable conditions for economic and social development.
At the same time, Denmark remains deeply dependent on the United States in security matters. As Washington increasingly treats interaction with China as a security concern, these priorities may come into conflict. A central policy question, therefore, is how Denmark—through instruments such as investment screening and guidelines for research and innovation cooperation—can address genuine security risks without unnecessarily foreclosing economic cooperation and development opportunities in the Arctic.
This article argues that Denmark should respond to real security risks, but should not uncritically adopt an American security discourse that may constrain development opportunities in the Arctic without a correspondingly credible threat basis. It therefore takes a critical view of the dominant security discourse surrounding China in the Arctic and points to the need for a more balanced approach to both investment and research cooperation.
The Kingdom of Denmark as a Small State: Dependence on Alliances and Economic Openness
The Kingdom of Denmark is shaped by two fundamental forms of strategic dependence.
The first is security dependence. As a small state, Denmark—and by extension the Kingdom of Denmark as a whole—does not possess the military capacity to deter great powers on its own. Since 1949, Danish security policy has therefore been anchored in NATO and in the collective defence guarantee enshrined in Article 5.
The second is economic openness. Denmark, like Greenland and the Faroe Islands, is a small open economy deeply integrated into global trade and endowed with only a limited number of strategic resources. Its prosperity depends on international specialization, the division of labour, and access to global markets.
After the Second World War, the United States promoted an international economic order based on free trade, capital mobility, and multilateral institutions such as the World Trade Organization. This order aligned well with Denmark’s economic strategy, which relied on developing competitive export sectors while importing other goods more efficiently from abroad.
This model made Denmark both wealthier and more secure. Today, however, it can no longer be taken for granted that these two dependencies can be managed simultaneously. The pursuit of security through the United States increasingly sits uneasily alongside the ability to engage freely in commercial and research cooperation with China, as such interaction is now more often interpreted in Washington through a security lens.
The Arctic as a New Strategic Centre of Gravity
Climate change, easier access to the region’s resources—including rare earth elements—and the growing viability of both the Northern Sea Route and the Northwest Passage as alternative maritime corridors have significantly increased international interest in the Arctic and in Greenland in particular.
Greenland, like Denmark, has an interest in converting this international attention into economic development through investment, trade, and research cooperation. Yet the realization of these opportunities is increasingly shaped by great-power rivalry.
In recent years, the United States in particular has been explicit in its opposition to Chinese investments in Greenland. This opposition is directed not only at strategic sectors such as mining and infrastructure, but is gradually extending into areas such as governance, tourism, fisheries, and research cooperation.
The result is that areas previously understood primarily in economic or scientific terms are increasingly being securitized, with growing obstacles placed not only in the way of economic development, but also in the production of knowledge.
The U.S. Securitization of the Arctic
After decades of pursuing a policy centred on economic integration with China, Washington came during the twenty-first century to view Beijing increasingly as its principal strategic rival. China’s rapid economic growth and technological development since the 1990s—accelerating in particular after its accession to the WTO—have played a major role in shaping this threat perception.
Drawing on the Copenhagen School, and especially the work of Ole Wæver, securitization may be understood as a discursive process through which political actors construct a phenomenon as an existential threat through speech acts. In doing so, they legitimize the use of extraordinary measures and move an issue out of the realm of normal politics and into the domain of security, where it is treated as a matter of necessity rather than political choice. In U.S. policy, this increasingly occurs in relation to interactions between China and America’s partners and allies. China’s growing global reach and regional ambitions are thus framed as a strategic and systemic challenge to the United States.
American policy is increasingly oriented towards constraining Chinese influence on a global scale. In the Arctic, this has translated into pressure on U.S. allies to restrict Chinese presence, investment, and cooperation. This pressure is justified in part by reference to China’s strategic ambitions in the region, including the Polar Silk Road initiative. From the U.S. perspective, this is not merely a commercial or infrastructural project, but part of a broader strategy through which China seeks to expand its economic and potentially political influence in the Arctic by gaining leverage over transport corridors and critical infrastructure.
At the same time, U.S. officials have criticized China’s self-declared status as a “near-Arctic state.” Although this label confers no formal rights in the region, it is interpreted in Washington as an attempt to legitimize a more active and long-term Chinese role in Arctic affairs. In the American view, this position reflects broader geopolitical ambitions and reinforces a sharpened security discourse around China’s regional presence.
Chinese Investment in the Arctic
In American political rhetoric, China is often portrayed as an actor actively seeking to establish a significant presence in the Arctic, particularly through investments in critical infrastructure. These activities are interpreted as part of a broader strategy aimed at increasing regional influence, securing access to strategic resources, gaining control over future shipping routes, and obtaining potential intelligence advantages.
However, this depiction of extensive Chinese investment is challenged in the publication Cutting Through Narratives on Chinese Arctic Investments from the Belfer Center for Science and International Affairs by Anders Edström, Guðbjörg Ríkey Th. Hauksdóttir, and P. Whitney Lackenbauer. The publication demonstrates that Chinese investments in the Arctic have often been overstated, as analyses frequently include projects that were never realized. In practice, many initiatives have stalled or been delayed, and the most significant investments are concentrated in Russia, where cooperation has been easier for China to pursue.
Outside of Russia, China has had limited success in advancing investments, as several projects have been halted due to political and security concerns. As a result, there are currently no active Chinese investments in Greenland.
It should be noted that the Chinese company Shenghe Resources holds an ownership stake in Energy Transition Minerals, which previously developed a mining project at Kvanefjeld. However, following new legislation introduced by the Inuit Ataqatigiit party in 2021 banning uranium mining in Greenland, the project’s license was revoked in April 2023.
The absence of active Chinese investments in Greenland is central to assessing whether China constitutes a current commercial threat in the region. If China’s economic presence is in practice highly limited, this weakens the argument that China is already in the process of acquiring structural or strategic control in Greenland through investments. This does not imply that potential future investments are without security relevance, but it does suggest that threat assessments should be grounded in concrete projects and capabilities rather than broad assumptions about intent.
Overall, the publication indicates that China is neither “buying up the Arctic” nor entirely without influence in the region. Reality lies somewhere in between. This middle position underscores the need for a more nuanced approach, in which China is treated neither as an unproblematic economic partner nor as an unequivocal and imminent security threat, but rather as an actor whose role must be assessed continuously and empirically.
The Limited Military Threat
At present, there is no Chinese military presence in the Arctic. China’s geographical location and limited Arctic capabilities suggest that the idea of China constituting an independent conventional military threat to the region has little empirical basis. Even if China were to harbour ambitions of projecting military power into the Arctic, this could only realistically occur via the Russian Arctic. Granting China such a foothold would run counter to Russian national interests and to the approach Moscow has so far taken towards Beijing in the region.
China has research stations, investment interests, and diplomatic ambitions in the Arctic, but it does not possess military bases, naval deployments, or other military capabilities there. Its regional presence is therefore primarily economic and political rather than military. To present the situation principally as a military threat is therefore misleading.
If Denmark were to adopt U.S. rhetoric uncritically, it would risk basing strategic decisions on a threat assessment that does not adequately reflect conditions on the ground.
Dual-Use as a Strategic Argument
A central element in U.S. criticism of China’s Arctic presence is the issue of dual-use.
Many technologies and forms of infrastructure can serve both civilian and military purposes. This applies, for example, to satellite data, communication systems, port facilities, and energy infrastructure.
Dual-use concerns are therefore a genuine matter of security policy. In current debates, however, the concept is often applied very broadly. In practice, almost any form of economic or scientific activity can be described as having potential dual-use implications.
This gives rise to two related problems.
First, it risks inflating the concept of threat to the point where nearly all forms of interaction with China in the Arctic are treated as security concerns.
Second, the concept may be deployed politically to exclude geopolitical competitors even in cases where the concrete security risk is limited.
This does not mean that the Kingdom of Denmark should ignore dual-use concerns. It does mean, however, that such assessments should be concrete and proportionate.
At the same time, the Kingdom should not overlook the fact that dual-use concerns associated with China may also arise in relation to the United States or other actors.
Investment and Development in Greenland
For Greenland, the question of foreign investment is crucial to its development prospects.
Arctic projects are expensive and high-risk. Infrastructure, mining, and energy development require substantial capital and, above all, a very long investment horizon. To date, Chinese firms have often been among the few actors willing—or close to willing—to operate on such terms.
In many cases, the relevant choice is therefore unlikely to be between Chinese investment and Western investment, but rather between Chinese investment and no investment at all in certain sectors and projects.
If Chinese investment is categorically excluded from Greenland, the result may in practice be an unnecessary limitation on opportunities for economic development.
Investment Screening in the Kingdom of Denmark
Denmark already has legislation in place for screening foreign investments.
The Danish Investment Screening Act entered into force in 2021 and gives the state the authority to investigate, and ultimately block, foreign investments deemed to threaten national security or public order.
The scheme is administered by the Danish Business Authority and includes, among other elements:
mandatory screening of investments in particularly sensitive sectors such as defence, IT security, and critical infrastructure;
- voluntary notification procedures for investments in other sectors,
- allowing firms to seek prior assessment; and
- the possibility for the state to prohibit investments or impose conditions on them.
The legislation applies to direct investments, acquisitions of companies, and certain long-term contractual arrangements.
Its purpose is precisely to enable Denmark to manage specific security risks without closing the economy to foreign investment more generally.
An obvious next step for the Kingdom of Denmark would be to expand or adapt this framework so that it can serve as a basis for investment screening across the Realm as a whole.
Such a framework would promote clarity, transparency, and equal conditions across the Kingdom. At the same time, the members of the Realm should not simply internalize the U.S. securitization of interaction with China. Rather, they should use this process to make independent assessments of which sectors and activities genuinely warrant treatment as security issues. In this way, the Kingdom of Denmark can signal clearly to the United States that it is exercising due diligence in relation to foreign investments that may in fact pose risks, while still preserving its own economic and political interests.
Research in the Arctic
Another area in which securitization is becoming increasingly pronounced is international research cooperation.
Arctic research is essential to understanding climate change, ocean currents, biodiversity, and permafrost. These phenomena are difficult to study effectively without international cooperation and are of significance for planetary development more broadly. This is particularly evident in the Arctic, where access to data and the conduct of fieldwork often depend on cross-border collaboration.
If research cooperation is reduced to a security-political zero-sum game, the likely consequences include diminished access to data, reduced scientific quality, and slower progress in climate research. Excessive securitization of research therefore risks undermining both climate policy and the knowledge base on which political decision-making depends.
As with investment screening, the Kingdom of Denmark should therefore develop a clear and coherent policy for international research cooperation that also encompasses the Arctic.
National frameworks already exist in this area, including guidelines issued by the Ministry of Higher Education and Science, which emphasize risk assessment, knowledge of cooperation partners, and data protection. At the same time, these developments reflect a broader European trend in which concepts such as “research security” and risk-based cooperation have become increasingly prominent. Yet these initiatives remain relatively fragmented and are not specifically tailored to the distinctive conditions of the Arctic.
In the report Afrapportering – Udvalg om retningslinjer for internationalt forsknings- og innovationssamarbejde, Denmark’s Independent Research Fund concludes that international research cooperation remains essential for Denmark, but has also become more risky in an era of intensifying geopolitical competition. It therefore recommends a more strategic and risk-based approach in which cooperation is not rejected categorically, but assessed on the basis of a weighing of benefits against potential risks, including knowledge leakage, unethical applications, and foreign influence.
At the same time, the report emphasizes the need for stronger protection of critical research, better understanding of cooperation partners, and clear national frameworks coordinated with like-minded states. More broadly, its analysis suggests that the central challenge is not to choose between openness and security, but to maintain an ongoing balance between them.
These conclusions are directly relevant to the Arctic part of the Kingdom. To ensure coherence and equal conditions across the Realm, the Kingdom of Denmark should therefore develop a common and more integrated policy for international research and innovation cooperation that specifically addresses the opportunities and risks associated with the Arctic.
U.S. Interests and the Responsibility of the Kingdom of Denmark
The United States has a clear interest in limiting Chinese influence globally. But American interests are not necessarily identical to those of the Realm.
For the Kingdom of Denmark, the challenge is therefore not simply to choose between the United States and China, but to formulate a policy that balances security, economic interests, and long-term development.
In the future, the Kingdom should carefully assess the extent to which Chinese investment or research cooperation in Greenland poses risks to the Kingdom itself or to NATO. On that basis, Denmark should engage in constructive discussions with its NATO partners regarding the design of security policy, including investment screening. Yet alliance solidarity does not require the uncritical adoption of another state’s threat assessment. Ultimately, it is the interests of the Kingdom that should form the basis of policy.
Conclusion
The Arctic is increasingly a region in which economics, security, and geopolitics intersect.
The U.S. securitization of Chinese presence in the region forms part of a broader strategic approach in which the threat from China is increasingly emphasized. In this context, it is crucial for the Kingdom of Denmark to distinguish between concrete, empirically grounded security risks and broader geopolitical anxieties that do not necessarily reflect Arctic realities.
This applies both to foreign investment and to international research cooperation, where the balance between openness and security is becoming ever more central.
Denmark should therefore actively address these risks and develop a clear and coherent policy for investment screening, as well as a more structured framework for research cooperation, across the Kingdom as a whole.
If the Kingdom of Denmark does not define this balance for itself, it risks allowing it to be shaped increasingly by other actors—particularly the United States—with potential consequences for both economic development and political room for manoeuvre in the Arctic.





