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Denmark and California enter strategic agreement on green innovation
Photo credit: Ministry of Foreign Affairs of Denmark
Denmark and California already have strong ties in the fields of technology and sustainable development, including a Danish Innovation Centre in Silicon Valley and a tech diplomacy presence established in 2017. The new Memorandum of Understanding (MoU) will further strengthen this partnership, with a shared focus on climate resilience, green technology, and research cooperation.
Denmark has more than 30 MoUs on federal, state and city-level with the U.S. Most recently MoUs were signed with Oklahoma, Nevada and Texas.
Building transatlantic bridges for the green transition
With this agreement, Denmark and California aim to accelerate the development of joint solutions to global challenges – particularly in areas such as energy, water, agriculture, life science, and digital technologies. The partnership is rooted in a mutual understanding that the green transition requires cross-border collaboration and shared knowledge.
“If California were a country, it would be the fourth-largest economy in the world. That’s why we have a strong interest in closer collaboration – and this agreement brings us one step further. Europe must stay at the forefront of new technologies and trade even more with the world – including U.S. states like California,” said Minister for Foreign Affairs Lars Løkke Rasmussen ahead of the visit.
During the delegation, the Minister met with key representatives from Silicon Valley’s tech sector as well as business leaders from across the U.S. The Danish delegation included 25 leading companies representing key strengths such as carbon reduction, water technology, digitalisation, sustainable agriculture, and life science.
New opportunities for collaboration and green growth
While California is the world’s fourth-largest economy, it is currently only Denmark’s 27th largest export market – pointing to considerable untapped potential. With California’s strong climate ambitions and purchasing power, Danish businesses see growing opportunities for collaboration.
“The mission to California is highly relevant for Danish companies. The state has bold ambitions in sectors where Denmark holds strong solutions and expertise – particularly within green transition, but also in life science and sustainable agriculture,” said Thomas Bustrup, Deputy CEO and Director of International Market Policy at the Confederation of Danish Industry (DI).
Despite new U.S. tariffs on European goods, Bustrup remains optimistic about the U.S. market:
“The 15 percent tariff is a challenge to growth and prosperity on both sides of the Atlantic. Still, there are plenty of opportunities across U.S. states – especially in California, where there’s high purchasing power, a strong innovation ecosystem, and ambitious green goals.”
The new agreement is expected to pave the way for deeper cooperation between Danish solution providers and public or private actors in California – enabling the exchange of green technologies and expertise that can help drive a more sustainable global future.
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