Ukraine rejects Trump’s waiver of 50% of its rare minerals economy

Ukrainian President Folodimir Zellinski rejected an offer from the United States granting it the rights to own 50% of the rare minerals in Ukraine, in exchange for the previous military aid provided by Washington Kiev.

This offer was made by US Treasury Secretary Scott Besent during a meeting with Zelinski in Kiev last Wednesday, where he estimated the value of these resources at about half a trillion dollars.

Zelinski seeks to obtain better conditions, including security guarantees from the United States and Europe, and it is preferable to involve other countries in exploiting these resources.

Kiev has also expressed concern about the absence of future security guarantees in the American show, and the definition of New York as a judicial authority to resolve disputes, which it considers incomplete. These minerals include lithium, titanium and graphite, and are vital for advanced technical industries, most of which are located in conflict areas in eastern Ukraine.

“We are looking for a better deal that guarantees the maximum benefit of Ukraine,” a senior Ukrainian official told the Vinonghe Times.

American geopolitical context and expectations

The American offer comes with the continuation of the Russian -Ukrainian war, which started 3 years ago, as Ukraine relies heavily on Western military and economic support. The American offer shows an attempt to enhance the strategic relationship with Ukraine by taking advantage of its natural resources.

The administration of US President Donald Trump has indicated that Kiev would give him the right to reach its natural resources, including rare minerals, as well as commitment to purchasing US energy exports. This offer is part of the “maximum pressure” policy through which Washington seeks to enhance its influence in the region, according to the newspaper.

Rare minerals

Rare minerals play a vital role in modern industries, including advanced technology, electric car industry, and military equipment. Although these minerals are relatively available in many countries of the world, their extraction requires high technologies to be the production process economically.

USGS data indicates that China has the largest share of these global reserves, along with other countries such as Brazil, India, Australia, Russia and the United States. In Ukraine, the National Geological Agency confirmed the presence of rare minerals in several regions, especially the east of the country, which is partially under Russian control.

Reactions and challenges

There has been no official comment from the Ukrainian embassy in Washington or a US National Security Council spokesman for the offer. However, the Ukrainian rejection – according to the Financial Times – shows Kiev’s insistence on exploiting its natural resources in a way that serves its national interests and enhances its geopolitical position.

In addition to rare minerals, Ukraine has large reserves of other minerals such as titanium, legium and graphite, which are also vital in modern industries.

Although Ukraine does not have huge reserves compared to China or the United States, the presence of these resources in areas close to conflicts add additional challenges, especially in light of the continuation of the war with Russia.

According to informed sources, Ukraine may face challenges in securing the investments necessary to develop the mining sector. The focus on securing its security and economic needs makes it careful in signing any agreements that may affect its sovereignty or national interests, according to the newspaper.

In addition, any future deal related to natural resources will require the approval of the Ukrainian parliament, and to conduct extensive studies to ensure the sustainability of these resources and avoid exploitation by foreign companies excessively.