His comments came after a Russian naval exercise with China in the Baltic Sea rattled the nearby nations, fearful of an invasion from Moscow after Putin’s annexation of Crimea in Ukraine.
In a joint news conference with Finnish President Sauli Niinisto, Mr Trump said: “We are very protective of that region.
“That’s all I can say. We are very, very protective.
“We have great friends there.”
He added: “These are all threats we will be able to handle if we have to.
“Hopefully we won’t have to handle them but if we do we’ll be able to handle them.”
However the Finnish President said that he had recently played host to Russian President Vladimir Putin in his country – and had received assurances that the Russia-China naval exercise should not be seen as a threat.
The Finnish President went on to note the US, Finland and Sweden have also conducted training exercises in the Baltic region.
It comes as two RAF Typhoon jets have arrived in Estonia to support Nato operations in the Baltic region amid increasing Russian aggression.
UK Defence Secretary Sir Michael Fallon announced the arrival of the jets, which have just returned from deployment to Romania.
He said: “Since last year’s Warsaw Summit, the UK is stepping up its commitment to Nato, nowhere more clearly than in the Baltic States.
“Nato’s presence on land, sea and air is vital to secure peace and prosperity.
“We are there, standing shoulder to shoulder with our allies in the face of any potential threats thereby demonstrating our unwavering commitment to the security of Europe.”
There are currently more than 1,000 British troops deployed across the Baltic region.