US Finally Signed Long-awaited Natural Resources Deal With Ukraine Pushed By Trump

The two countries signed the accord in Washington, DC, on Wednesday after months of fraught negotiations, with uncertainty persisting until the last moment following reports of 11th-hour proposals to change aspects of the deal.

The deal aims to provide an economic incentive for the US to continue to invest in Ukraine’s defence and reconstruction, as well as to address Washington’s concerns over the amount of aid it has already contributed.

Ukraine is believed to have vast reserves of critical minerals like graphite, titanium and lithium. They are highly sought after because of their use in renewable energy, military technology and infrastructure.

US Treasury Secretary Scott Bessent said it showed both sides were committed to lasting peace and prosperity in Ukraine.

The deal will also see the establishment of an investment fund to spur Ukraine’s economic recovery from the war.
The agreement marks a breakthrough in US-Ukraine ties after relations reached a ground following a spectacular blow-up between US President Donald Trump and Ukrainian President Volodymyr Zelenskyy during their meeting at the White House in February.

Announcing the agreement, US Treasury Secretary Scott Bessent said the creation of the United States-Ukraine Reconstruction Investment Fund was a signal to Russia that the Trump administration was “committed to a peace process centred on a free, sovereign, and prosperous Ukraine over the long term”.

“President Trump envisioned this partnership between the American people and the Ukrainian people to show both sides’ commitment to lasting peace and prosperity in Ukraine,” Bessent said in a statement.

“And to be clear, no state or person who financed or supplied the Russian war machine will be allowed to benefit from the reconstruction of Ukraine.”

The Trump administration did not provide further details of the deal.

Ukraine’s Ministry of Economy said the US would contribute to the fund directly or through military assistance, and Kyiv would contribute 50 percent of revenues from the exploitation of natural resources.

The ministry said all of the fund’s resources would be exclusively invested in Ukraine for the first 10 years, after which “profits may be distributed between the partners”.

The US and Ukraine would have equal decision-making power over the fund, the ministry said, with the deal only covering future US military assistance, not past aid.

“We are gaining not only investment, but also a strategic partner committed to working with us to drive economic growth and innovation,” Ukrainian Minister of Economy Yulia Svyrydenko said in a statement.

“This agreement is the outcome of extensive negotiations, and I am grateful to both negotiating teams for their professionalism and dedication. Together, we have developed a mutually beneficial framework. It also reflects the US commitment to lasting peace in Ukraine and recognition of Ukraine’s contribution to global security.”

In a Telegram post shortly before the deal was signed, Ukrainian Prime Minister Denys Shmyhal said the deal would leave Kyiv with “full control over subsoil, infrastructure, and natural resources”, and not interfere with its bid to join the European Union.

Ukraine and the US had planned to sign the agreement weeks ago, but a fiery clash between Trump and Zelenskyy in front of the world’s news media on February 28 temporarily derailed talks.

Tymofiy Mylovanov, a former Ukrainian economy minister who heads the Kyiv School of Economics, described the deal as a major political and diplomatic win for both countries.

“It gives Trump a domestic political boost – and that translates, I expect, into a more positive attitude toward Ukraine,” Mylovanov said on X.

“Ukraine held the line. Despite enormous pressure, every overreaching demand from the other side was dropped. The final deal looks fair.”