The United States is close to finalizing a strategic minerals agreement with Ukraine, President Donald Trump announced on Monday.
After a Cabinet meeting, Trump stated that Treasury Secretary Scott Bessent had confirmed the deal was nearly complete. “They’ll sign it shortly,” the president said.
This deal is expected to grant the U.S. access to Ukraine’s rare earth minerals, crucial for manufacturing smartphones, electric vehicles, and military equipment. Securing these resources is part of Washington’s broader effort to reduce reliance on China, which dominates the global rare earth supply chain.
The Biden administration had previously explored similar agreements, but negotiations stalled.
Ukrainian President Volodymyr Zelensky visited Washington on February 28 to conclude the deal but left empty-handed after tensions arose.
Trump and Vice President JD Vance reportedly criticized Ukraine’s handling of the negotiations, leading to the cancellation of their scheduled meeting. Zelensky was asked to leave the White House, delaying the agreement’s finalization.
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Trump has consistently tied U.S. aid to Ukraine to American economic and security interests. Since taking office in January, he has emphasized that financial support for Kyiv should yield strategic benefits for the United States. The rare earth deal aligns with this stance, as Ukraine holds an estimated 5% of the world’s reserves of these critical minerals.
Despite its mineral wealth, Ukraine faces challenges in fully exploiting its resources. Many deposits remain untapped due to outdated Soviet-era assessments and the ongoing conflict with Russia.
A significant portion of Ukraine’s rare earth reserves lies in territories currently occupied by Russian forces, complicating extraction and export efforts.
If finalized, the agreement could strengthen the U.S. supply chain for essential materials while providing Ukraine with economic benefits.
However, geopolitical uncertainties and logistical hurdles may impact its implementation. As negotiations continue, both nations remain focused on securing an outcome that aligns with their strategic interests.
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