Ukraine, US sign minerals accord sought by Trump

KYIV/WASHINGTON, D.C., May 2 ------ Ukraine and the United States signed a deal heavily promoted by US President Donald Trump that will give Washington preferential access to new Ukrainian minerals deals and fund investment in the war-ravaged country's reconstruction. The two countries signed the accord in Washington after months of sometimes fraught negotiations, with uncertainty persisting until the last moment with word of an 11th-hour snag. 

The accord establishes a joint investment fund for Ukraine's reconstruction as Trump tries to secure a peace settlement in Russia's three-year-old war on Ukraine. The agreement is central to Ukraine's efforts to mend ties with Trump and the White House, which frayed after he took office in January. Ukrainian officials have hoped that the deal would ensure continued US support for Kyiv's defense against Moscow. 

US Treasury Secretary Scott Bessent and Ukrainian First Deputy Prime Minister Yulia Svyrydenko were shown signing the agreement in a photo posted on X by the Treasury, which said the deal "clearly signals the Trump Administration's commitment to a free, sovereign, prosperous Ukraine." Svyrydenko wrote on X that the accord provides for Washington to contribute to the fund. "In addition to direct financial contributions, it may also provide NEW assistance — for example, air defense systems for Ukraine," she wrote. Washington did not directly address that suggestion. 

Since Russia invaded on Feb. 24, 2022, the US has been Ukraine's single largest military donor, with aid amounting to more than 64 billion euros ($72 billion), according to the Kiel Institute in Germany. Before the signing, Trump repeated on Wednesday that the US should get something for its aid to Kyiv, thus the effort to secure a deal for Ukraine's plentiful deposits of rare earth minerals. In announcing the deal, the US Treasury said the partnership recognized "the significant financial and material support that the people of the United States have provided to the defense of Ukraine since Russia's full-scale invasion." 

Extraction decisions 

Svyrydenko said the agreement allowed Ukraine to "determine what and where to extract," and that the country still owned its subsoil. Ukraine is rich in natural resources, including rare earth metals, which are used in consumer electronics, electric vehicles and military applications, among others. Global rare-earth mining is currently dominated by China, which is locked in a trade war with the US after Trump's sharp tariff increases. Ukraine also has large reserves of iron, uranium and natural gas. 

Svyrydenko said Ukraine had no debt obligations to the US under the agreement a key point in the lengthy negotiations between the two countries.  The deal, she added, also complied with Ukraine's constitution and its campaign to join the European Union, which are key elements in Kyiv's negotiating position. 

The minerals deal and US peace efforts have been negotiated separately but reflect Washington's approach to Ukraine and Russia. Trump has upended US policy by softening Washington's stance toward Moscow and sometimes falsely blaming Ukrainian President Volodymyr Zelensky for the war. US peace proposals have called for recognition of Russia's claim to Crimea, which it seized from Ukraine in 2014, and potentially four other Ukrainian regions. Zelensky has said Kyiv would never do so because it would contravene Ukraine's constitution. "Importantly, the Agreement sends a signal to global partners that long-term cooperation with Ukraine over decades is not only possible but reliable," Svyrydenko said on X. 

A draft of the agreement seen by Reuters earlier on Wednesday showed that Ukraine secured the removal of any requirement for it to pay back the US for past military assistance, something Kyiv had staunchly opposed. The draft did not provide any concrete US security guarantees for Ukraine, one of its initial goals. Separately, Ukraine has discussed with European allies the forming of an international force to help ensure Ukraine's security if a peace agreement is reached with Russia. 

Source: manilatimes.net