Trump's frustration mounts as Ukraine amends mineral deal
The Trump administration has provided the authorities in Kyiv with an updated version of the agreement concerning joint investments in Ukrainian mineral deposits, reported by the portal Axios, citing its sources. Some sections of the revised agreement that concerned Ukrainians have reportedly been removed.
Several associates of Ukrainian President Volodymyr Zelensky are encouraging him to accept the improved proposal regarding the extraction of rare earth metals, which the Americans are said to have presented. These associates hope this will help avoid further conflict with Donald Trump, as he could justify continued support for Ukraine. According to Axios sources, an agreement with the USA now seems more likely.
According to a source from the portal, significant amendments have been introduced in the latest version of the agreement, ensuring its compliance with Ukrainian law.
The original document stipulated that 50% of revenue from the extraction of Ukrainian rare earth metals would be transferred to the United States, and the agreement would fall under the jurisdiction of New York courts.
Moreover, it was supposed to have precedence over other Ukrainian trade agreements. In the updated version of the agreement, some sections that concerned Ukrainians have been removed, including the provision about the jurisdiction of New York courts.
Trump very frustrated
Last Sunday, Volodymyr Zelensky rejected the agreement presented by the American side. He said he prohibited his ministers from signing it because it did not safeguard Ukraine's interests.
As noted by Axios, Ukrainians were disappointed that the original project did not include security guarantees. In response to these concerns, the portal quotes Thursday's statement by the President's National Security Advisor Mike Waltz, which was made on Fox News.
Waltz suggested that the United States invest jointly with Ukraine in its economy and natural resources, becoming a long-term partner. He emphasized that this would give Ukraine the strongest security guarantee, far more valuable than additional military aid.
On Thursday, he stated that President Donald Trump is visibly frustrated with President Volodymyr Zelensky's rejection of the proposed joint investment agreement in Ukraine's mineral resources. He suggested that this frustration may be the reason behind the decision to halt arms supplies to Ukraine.
Ukraine has, among others, deposits of valuable lithium
Rare earth metals are crucial to some economic sectors, including the automotive, aerospace, and energy industries. Ukraine has, among other things, large deposits of lithium, known as white gold. This metal is used to produce batteries for phones, laptops, tablets, and vacuums. Ukraine also has significant deposits of uranium, titanium, nickel, copper, and cobalt.
According to estimates from "Forbes," the total value of Ukraine's mineral resources reaches approximately 15 trillion dollars, and its lithium reserves alone are estimated at about 500,000 metric tonnes. In the first version of the agreement, the USA demanded 500 billion dollars worth of deposits from Ukraine in exchange for the support it received during the war.
- Today, China controls most of the production of these elements, with some production in politically unstable and unfriendly countries to the US, for example, in Africa. In the event of a military or even economic conflict, the United States may be deprived of access to these raw materials, and the significant impact of supply chain disruptions in seemingly minor matters became clear during the pandemic - explained fuel expert Dawid Czopek recently in an interview with money.pl.
