Scott Bessent and Yulia Svyrydenko sign the US-Ukraine natural resources deal. It acknowledges Ukraine’s right to join the EU | Photo: US Department of Treasury
While acknowledging “Russia’s full-scale invasion” for the first time, the Treasury Department announced the long-awaited minerals deal with Ukraine has been signed on Wednesday. The agreement takes a tougher stance against Moscow and acknowledges Ukraine’s right to join the European Union.
“The US and Ukraine signed an agreement to establish the United States-Ukraine Reconstruction Investment Fund,” the US Department of the Treasury reported. The signing comes days after Ukrainian President Volodomyr Zelensky met with his US counterpart, Donald Trump, at the Vatican before Pope Francis’ funeral. Zelensky said the meeting could be historic.
“In recognition of the significant financial and material support that the people of the US have provided to the defence of Ukraine since Russia’s full-scale invasion, this economic partnership positions our two countries to work collaboratively and invest together to ensure that our mutual assets, talents, and capabilities can accelerate Ukraine’s economic recovery.”
Trump has designed the agreement to appear as a victory for his government, stating his country will get back “much more in theory” than the billions that were provided to Ukraine by his predecessor, Joe Biden.
Fact-checking Trump’s numbers
The amount the US has given Ukraine to fight off Russia’s three-year invasion, according to President Trump, who claims it is $350 billion, differs vastly from the actual amount, which is more like $114 billion, according to factual data from the Kiel Institute.
Nevertheless, the deal has been months in the making, and now that it’s signed, Ukraine hopes it will cement US assistance as the country struggles to repel Russia three years after the invasion.
U.S. 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 stated that the deal “clearly signals the Trump Administration’s commitment to a free, sovereign, and prosperous Ukraine.”
As noted by the BBC, the Trump administration’s language in announcing the deal is notably harsher toward Russia than is typically the case. The agreement acknowledges Ukraine’s intention to join the EU and the need for the deal not to conflict with that.
The deal is a clear signal to Russia
“This agreement signals clearly to Russia that the Trump Administration is committed to a peace process centered on a free, sovereign, and prosperous Ukraine over the long term,” Bessent said.
Bessent told Fox News that the deal was a signal to the American people that “we have a chance to participate, get some of the funding and the weapons, compensation for those, and be partners with the success of the people of Ukraine.”
Svyrydenko said the accord allowed Ukraine to “determine what and where to extract” and that its natural resources remain the property of Ukraine.
Ukraine is rich in natural resources, including rare earth metals used in consumer electronics, electric vehicles, and military applications, among others. Global rare-earth mining is currently dominated by China, which is currently embroiled in a trade war with the US. Ukraine also has extensive reserves of iron, uranium, and natural gas.
Ukraine owes the US nothing
Svyrydenko said Kyiv has no debt obligations to the US under the agreement, a key point in the lengthy negotiations between the two countries.
On the other hand, it appears that there are no concrete security guarantees from Washington, D.C., an issue that Ukraine and Europe have long been pushing the White House to address.
While the agreement would seem to signal Trump’s shift toward supporting Ukraine’s warring efforts against Russia, the deal appears to be fragile in this regard.
