Why Trump Wants Ukraine’s Minerals and What’s Holding Up the Deal with Kyiv

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The deal between the U.S. and Ukraine over natural resources continues to be a point of contention, especially as Washington pushes for peace negotiations with Russia. Reports suggest that President Trump pressured Ukrainian leader Volodymyr Zelenskyy to allow the U.S. access to Ukraine’s untapped resources. Initially set to be signed on February 28th, the agreement was put in doubt following an explosive meeting at the White House, according to Bloomberg. The delay seems to stem from U.S. hesitations, despite Kyiv’s readiness to finalize the deal. While Trump emphasizes securing critical minerals, Ukraine is not known for significant reserves of rare earth elements deemed economically viable. However, it does produce coal, iron ore, uranium, titanium, and magnesium, which could prove profitable for the U.S. Despite Trump’s claims of excessive aid provided to Ukraine, the proposed agreement involves creating a joint investment fund for Ukraine’s reconstruction. This marks a departure from traditional U.S. foreign policy, resembling more the Treaty of Versailles than the Marshall Plan. With estimated resource reserves worth $10 trillion, including lithium, graphite, and titanium, coal and iron ore might be the most feasible targets for exploitation due to their straightforward marketability. However, challenges persist regarding the commercial viability of these resources amid global oversupply and processing requirements. Additionally, Ukraine’s efforts to boost natural gas production have been notable, though its oil reserves are modest compared to those under development in the U.S.