Ukraine and the Trump Administration Reach Agreement on Rare Earth Mineral Deal
Ukraine has reportedly come to terms with the Trump administration regarding a contentious rare earth mineral deal as President Volodymyr Zelensky prepares for a crucial meeting with President Donald Trump on Friday. Officials in Kyiv are optimistic that this agreement will serve as a stepping stone towards enhancing diplomatic relations with the United States, particularly after a series of public disputes between the two leaders.
The newly proposed terms are believed to be more favorable compared to those outlined earlier this month. Initially, Trump presented a deal that suggested Ukraine repay the U.S. for aid provided since the onset of Russia’s full-scale invasion three years ago. He had demanded an astonishing $500 billion worth of mineral resources, without offering any anticipated future security guarantees, which raised alarms in Kyiv and across Europe.
Last week, after Zelensky rejected the initial proposal, Trump responded with harsh words, labeling the Ukrainian President a “dictator” and accusing Ukraine of instigating the war. However, it has now come to light that President Zelensky will meet with Trump in Washington on Friday, as reported by Sky News.
Stefanishyna, Ukraine’s Deputy Prime Minister and Justice Minister, who has been at the forefront of the negotiations, stated, “The minerals agreement is only part of the picture. We have heard multiple times from the U.S. administration that it’s part of a bigger picture.”
The finalized agreement, which has been reviewed by the Financial Times, proposes that both nations collaborate on the development of Ukraine’s mineral wealth, with the profits allocated to a shared fund. However, it is important to note that the agreement still does not address potential American security guarantees and lacks specific details regarding the U.S. stake in the fund and the terms of the “joint ownership” arrangements.
Ukraine is rich in vital minerals and critical elements, including lithium and titanium, which are essential for the production of various modern technologies. Additionally, the country possesses vast reserves of coal, oil, gas, and uranium.
Previously, Zelensky had suggested providing the U.S. access to Ukraine’s natural resources as part of a strategic “victory plan” that he presented to international allies last year. During an interview on Friday, he remarked, “The Americans helped the most and therefore the Americans should earn the most.”
Ukrainian officials have indicated that the agreement has received approval from the justice, economy, and foreign ministers, marking a significant step forward in Ukraine’s diplomatic and economic strategy.
