The United States and Ukraine have signed a long-anticipated deal that will grant Washington preferential access to Ukraine’s critical minerals and natural resources in exchange for contributions to a jointly managed Reconstruction Investment Fund aimed at rebuilding Ukraine’s war-torn economy.
The agreement—months in the making and subject to heated back-and-forth between President Donald Trump and Ukrainian President Volodymyr Zelensky—was finalised Wednesday in Washington. It is being framed by both sides as a major step forward in securing US-Ukraine ties, particularly as Ukraine presses for a ceasefire with Russia and continued Western support.
A new framework for aid and reconstruction
The core of the deal is the establishment of a US–Ukraine Reinvestment Fund, which will be financed equally by both countries. The fund will channel revenues from future licences in Ukraine’s mining, oil, gas, and rare earth sectors into reconstruction projects. According to Ukraine’s Economy Minister Yulia Svyrydenko, Kyiv will retain full control over what and where to extract, and no state-owned assets will change hands.
The United States’ contributions can come in the form of cash or new military aid, including items such as air defence systems—a subtle nod to ongoing US assistance without obligating specific future aid packages.
Crucially, the agreement does not require Ukraine to repay past aid, a key sticking point in earlier drafts. President Trump had previously demanded repayment of what he claimed was US$350bn in aid. Prime Minister Denys Shmyhal hailed the final terms as a “good, equal, and beneficial” agreement.
What the US gains
The US gains priority access to future mineral development projects in Ukraine, including potentially lucrative resources such as lithium, graphite, titanium, uranium, and rare earth elements. Ukraine is estimated to hold around 5% of global critical minerals, including substantial lithium and graphite reserves essential for electric vehicle and clean energy technology.
These gains are part of Washington’s broader push to diversify its critical mineral supply chains away from China, which currently dominates global refining capacity.
The US will also be exempt from Ukrainian taxes or levies on contributions or profits related to the deal. Additionally, the agreement includes a clause stating that in the case of legal conflict between the agreement and Ukrainian law, the agreement will prevail—a point that critics say could compromise sovereignty, though Kyiv insists it preserves full control.
Impact on peace process and security assurances
Though the deal does not include explicit US security guarantees, Ukrainian officials argue that embedding American commercial interests on the ground creates a stronger incentive for Washington to remain engaged in Ukraine’s defence.
President Trump has repeatedly said he wants a peace deal concluded swiftly, and officials suggest this minerals agreement is designed to help “lock in” US involvement—by making Ukraine’s stability a matter of economic interest. Trump himself said the American presence on extraction sites would help “keep bad actors out of the country.”
Yet some analysts remain cautious. Anatol Lieven of the Quincy Institute said the agreement “is not a security guarantee” but acknowledged it could act as a deterrent to future Russian aggression, especially if it leads to deeper economic integration.
Negotiations, breakdowns, and Vatican diplomacy
The path to Wednesday’s signing was fraught. An earlier attempt in February ended in a public spat between Trump and Zelensky at the White House, leading to a temporary freeze in intelligence sharing and aid. Negotiations resumed quietly, with a one-on-one meeting at Pope Francis’ funeral in Vatican City helping to mend the rift. Zelensky later called the signing the “first result” of that encounter.
The final version dropped earlier US demands for exclusive access or control over existing projects and no longer conflicts with Ukraine’s EU aspirations. It includes language acknowledging Ukraine’s future EU membership and promises to renegotiate terms if needed.
Reaction and next steps
The deal was welcomed cautiously in Kyiv, where some view it as a diplomatic win that preserves national sovereignty while unlocking investment. Others remain wary, noting the risks of external dependency and the challenges of developing new mining projects during wartime.
The agreement still requires ratification by Ukraine’s parliament, and some terms—including how profits will be shared after the initial 10-year reinvestment period—are expected to be clarified in a follow-up technical agreement.
Meanwhile, fighting on the ground continues. Ukrainian and Russian drone attacks on Thursday claimed lives on both sides, underscoring that peace talks remain elusive.
Still, Treasury Secretary Scott Bessent said the agreement sent a clear message:
“No state or person who financed or supplied the Russian war machine will be allowed to benefit from the reconstruction of Ukraine.”
The minerals deal may not guarantee peace—but for now, it guarantees continued US skin in the game.