President Trump is set to finalize a game-changing minerals deal with Ukraine, securing America’s access to critical resources while reducing dependence on China. The agreement comes despite initial tensions between Trump and Ukrainian President Volodymyr Zelenskyy.
At a glance:
• Trump announces the US will sign a mineral resources deal with Ukraine “very shortly” to secure rare earth elements
• The agreement creates a reconstruction investment fund with joint US-Ukraine ownership, with Ukraine contributing 50% of revenues from future resource monetization
• Trump recently signed an Executive Order invoking the Defense Production Act to boost domestic mining of critical minerals
• The deal aligns with Trump’s strategy to reduce American dependence on Chinese mineral supplies
• The agreement faced delays after a tense meeting between Trump, Zelenskyy, and Vice President JD Vance
America First Mineral Strategy Takes Shape
President Donald Trump has announced plans for the United States to sign a groundbreaking minerals and natural resources deal with Ukraine. The agreement is a major step in Trump’s America First agenda to secure critical resources needed for technology and defense while reducing dependence on foreign suppliers, especially China.
The deal follows Trump’s recent Executive Order invoking the Defense Production Act to increase American production of minerals essential for national security. By focusing on both domestic production and strategic international partnerships, Trump is taking a wide-ranging approach to mineral security and ensuring America stands on its own feet in the future.
The agreement will establish a reconstruction investment fund with joint U.S. and Ukraine ownership, where Ukraine will contribute 50% of revenues from future monetization of government-owned natural resources.
Additionally, Secretary of Defense Pete Hegseth confirmed that U.S. troops will not be deployed to Ukraine as part of any security guarantees for the country. His clarification intended to address concerns about a US military presence in the region, and stress the economic nature of the pact.
Overcoming Diplomatic Challenges
The minerals deal faced delays after a heated argument between Trump, Ukrainian President Volodymyr Zelenskyy, and Vice President JD Vance in late February. The meeting made global headlines and ended with Zelensky leaving the White House without securing an agreement.
Industry experts note that the benefits of the mineral agreement could take up to 20 years to materialize due to the long-term nature of mining projects. The agreement therefore represents a strategic investment in America’s future mineral security rather than a quick fix.
While working to secure this minerals agreement, Trump has simultaneously engaged in discussions with both Russian President Vladimir Putin and Zelenskyy about potential cease-fire arrangements.
Breaking China’s Resource Monopoly
The Ukraine minerals deal forms part of Trump’s broader strategy to counter China’s dominance in critical mineral production. China currently controls significant portions of the global supply chain for rare earth elements and other minerals essential for everything from smartphones to fighter jets.
The deal potentially unlocks access to an estimated $500 billion worth of rare earths and critical minerals in Ukraine, resources that would significantly reduce American vulnerability to supply chain disruptions.
