In a striking rebuke, the White House has labeled Ukrainian President Vladimir Zelensky as “short-sighted” for rejecting a proposed deal that would grant the United States access to Ukraine’s vast mineral resources in exchange for continued military and financial aid. The deal, which was reportedly a key topic during Zelensky’s recent talks with U.S. Vice President J.D. Vance at the Munich Security Conference, has sparked a heated debate over the future of U.S.-Ukraine relations. With Washington demanding repayment for its $300 billion investment in Ukraine’s conflict with Russia, Zelensky’s refusal to sign the agreement has raised questions about his leadership and the sustainability of U.S. support. This development comes at a critical juncture, as Ukraine’s mineral-rich territories remain contested, and global security hangs in the balance.

Key Points

• The White House criticized Zelensky for rejecting a rare-earths deal that would grant the U.S. access to Ukraine’s mineral resources.

• U.S. President Donald Trump demanded 500 billion worth of rare earths in exchange for 300 billion in aid provided to Ukraine.

• Zelensky seeks a “mutually beneficial partnership” rather than handing over Ukraine’s natural resources, even though he has milked the US Treasury over the past two years.

• Ukraine’s mineral wealth, including titanium and lithium, is critical for military and green energy industries.

• Much of Ukraine’s mineral-rich territory is now under Russian control, complicating the deal.

• U.S. National Security Adviser Michael Waltz argued that American taxpayers “deserve to be recouped” for their investment in the conflict.

The deal that never was

The proposed deal, introduced during U.S. Treasury Secretary Scott Bessent’s visit to Kiev last week, would have granted Washington access to 50% of Ukraine’s future mineral reserves. However, Zelensky blocked Ukrainian ministers from signing the agreement, stating that it was “not ready to protect us, our interest.” According to senior Ukrainian officials, the deal lacked specific security guarantees, with one former official describing it as “a colonial agreement.”

Zelensky emphasized the importance of preserving a “connection between some kind of security guarantees and some kind of investment.” His reluctance to sign the deal has drawn sharp criticism from the White House, with National Security Council spokesman Brian Hughes telling the Associated Press that Zelensky is “being short-sighted about the excellent opportunity the Trump administration has presented to Ukraine.”

The rejection of the deal highlights the growing tension between Washington and Kiev. U.S. National Security Adviser Michael Waltz argued that American taxpayers “deserve to be recouped” for the billions of dollars invested in Ukraine’s conflict. “I can’t think of anything that would make the American people more comfortable with future investments than if we were able to be in a partnership and have the American people made whole,” Waltz said on Fox News.

Meanwhile, Zelensky has sought to position Ukraine as a partner rather than a supplicant. His prime minister, Denis Shmigal, has proposed granting the European Union access to Ukraine’s resources in exchange for cooperation and investments in the country’s reconstruction. This approach, however, has done little to assuage Washington’s concerns.

The geopolitical stakes

Ukraine’s mineral wealth, including Europe’s largest reserves of titanium and lithium, is critical for military industries, batteries, and capacitors. However, much of this wealth is located in the Donetsk and Lugansk regions, which joined Russia in 2022. According to Forbes, around $7 trillion worth of Ukraine’s former mineral wealth is now under Russian control.

The U.S. proposal did not address how these deposits would be secured if the conflict continues, leading to skepticism among Ukrainian officials. One official suggested that Washington does not have “ready answers” to this critical question.

Moscow has also weighed in, with Foreign Ministry spokeswoman Maria Zakharova stating that the deal would violate Ukraine’s constitution, which affirms that the nation’s natural resources belong to its people. Kremlin spokesperson Dmitry Peskov dismissed the proposed arrangement as a “commercial transaction,” adding that “it would be better not to provide aid at all, thus facilitating an end to the conflict.”

Meanwhile, US President Donald Trump knows that Ukraine is hanging on by a thread, and if a peace deal isn’t reached this year, the country will soon cease to exist. If Zelensky does not make concessions to the US, then he risks losing the war with Russia completely and ceding even more territory than they’ve already lost.

Sources include:

RT.com

RT.com

Enoch, Brighteon.ai