The United States is reportedly on the verge of finalizing a significant agreement with Ukraine to share revenue from the latter's rare earth minerals and other natural resources. This move is part of ongoing efforts to help end the conflict in the region.
U.S. President Donald Trump stated on Saturday that the deal is \"pretty close,\" aiming to secure critical minerals such as graphite, uranium, titanium, and lithium. These resources are essential for various technologies, including electric car batteries, and the agreement could potentially reduce U.S. dependency on China for these materials.
However, sources indicate that the current draft of the deal may not be acceptable to Ukrainian President Volodymyr Zelenskyy. A source familiar with the negotiations described the proposal as a \"strange offer,\" questioning the fairness of taking resources from a country affected by war without adequate compensation or security guarantees.
Ukrainian state broadcaster Suspilne reported that discussions continued into the night, but progress stalled over the need for specific security guarantees. Zelenskyy has previously rejected demands from the U.S. administration for $500 billion in mineral wealth to repay three years of aid, citing the lack of concrete security assurances.
Experts like Professor Cui Zheng from Liaoning University emphasize the strategic importance of this deal. With China holding a dominant position in the global rare earth supply chain, the United States' acquisition of Ukrainian minerals could provide long-term financial and security benefits, ensuring access to essential raw materials for both military and high-tech industries.
Despite the progress, the future of the deal remains uncertain. Negotiations are complicated by concerns over the reliability of Ukraine's mineral reserves and potential conflicts with European interests. European countries fear that the deal might grant the U.S. a monopoly over resources, potentially sidelining their own strategic needs.
As Ukraine weighs its options, the outcome of this minerals deal could have profound implications for the region's postwar reconstruction and the broader geopolitical landscape. Both the U.S. and Ukraine continue to negotiate terms that could balance immediate aid with long-term economic benefits.
Reference(s):
Prospects of the U.S.-Ukraine minerals deal: Will it be signed soon?
cgtn.com
