This article was automatically translated from the original Turkish version.
Rare Earth Elements and the Critical Minerals Agreement is an agreement concluded between the United States (USA) and Ukraine aimed at regulating the use of critical minerals possessed by Ukraine.
This agreement anticipates that the United States will gain access to lithium titanium graphite and other critical minerals in exchange for the military and economic assistance it provides to Ukraine. Disagreements exist between the two country on the scope of the agreement revenue sharing and security guarantees. For this reason the agreement has not been signed.
Ukraine possesses mineral resources of strategic importance on a continental scale. Of the 34 minerals listed by the European Union (EU) as critical raw materials 22 are found in Ukraine. The country is particularly rich in reserves of rare earth elements titanium lithium and graphite.
In recent years the United States has begun reshaping its global mining policies to reduce its dependence on China. China controls approximately 60 percent of global rare earth elements production and 90 percent of processing capacity. These minerals are of great importance for electric vehicles renewable energy systems and military technologies.
The United States aims to source these critical minerals from allied countries instead of China. Ukraine with its substantial reserves represents an alternative source for the United States. On the other hand a significant portion of these resources is located in regions such as Donetsk Luhansk and Zaporizhzhia which are under east occupation. Approximately 40 percent of Ukraine’s mineral resources lie in areas occupied by Russia.
US President Donald Trump emphasized in early 2025 statements that financial and military support provided to Ukraine in the context of the Russia-Ukraine war must be reciprocated. The Trump administration has proposed that Ukraine’s natural resources be operated by the United States with a portion of the revenues transferred to the US.
Initially the United States demanded $50 billion in revenue from Ukraine but Ukrainian President Volodymyr Zelensky rejected this proposal. Zelensky stated that he wished to preserve Ukraine’s economic independence and indicated that the terms of the agreement could be renegotiated if modified.
The United States’ initial demand was deemed excessive by Ukraine and as a result of negotiations some provisions were revised:
The Zelensky administration sought to include US security guarantees in the agreement but the Trump administration did not include any direct security commitment in the text. Instead the United States merely stated that it supports Ukraine’s security aspirations.
This situation has sparked debate both within Ukraine and internationally. Zelensky stated that the agreement is inadequate without security guarantees. UK Prime Minister Keir Starmer in a statement on 2 March 2025 emphasized that the US-Ukraine mineral agreement does not constitute a security guarantee in itself.
German Chancellor Olaf Scholz evaluated Trump’s demands as “selfish” and stated that Ukraine should use these resources for its own economic development. European countries have emphasized that Ukraine’s security cannot be ensured through economic cooperation alone.
On 28 February 2025 the meeting at the White House ended negatively. A heated discussion occurred publicly between the two leader over the terms of the agreement and security guarantees. Trump addressed Zelensky:
"Either you sign this agreement or there is no we" emphasizing Ukraine’s dependence on US support and asserting that Ukraine "cannot win the war without the United States."
Following the dispute the planned joint press meeting was canceled. Zelensky left the United States early and negotiations were temporarily suspended.
The agreement under negotiation between the United States and Ukraine regulates the sharing of revenues from critical minerals and investment processes. The draft includes the following sections:
Reconstruction Investment Fund: The United States and Ukraine will establish a jointly managed fund to support Ukraine’s economic recovery.
Revenue Sharing: Ukraine will contribute 50 percent of revenues from minerals oil and natural gas to this fund.
US Investments: The United States will invest in Ukraine’s mining energy and infrastructure projects.
Mining Licenses: Existing mining sites will not be transferred to the United States but new exploration and operational licenses may be opened to US investments.
Security Guarantees: While the United States supports Ukraine’s pursuit of security guarantees it does not offer any direct security commitment.
Fund Management: The fund will be managed transparently and directed toward Ukraine’s economic development.
Implementation and Next Steps: The agreement will enter into force upon approval by the Ukrainian Parliament and a detailed "Fund Agreement" will be drafted.
Following the negative outcome of the White House meeting on 28 February 2025 Trump announced on 4 March 2025 that he was suspending military assistance to Ukraine. US Secretary of State Marco Rubio stated that Zelensky must apology for his conduct during the dispute with Trump in the Oval Office.
Ukrainian President Zelensky stated that relations with the United States will continue but that the best security guarantee for his country is a strong military. Zelensky also indicated that he is prepared to resign in exchange for NATO membership.
Negotiations are still ongoing and no definitive outcome has been reached.
No Discussion Added Yet
Start discussion for "U.S.-Ukraine Rare Earth Elements and Critical Minerals Agreement" article
Background and Geopolitical Context
Negotiations and Controversial Issues
Revision of Agreement Terms
Disagreement on Security Guarantees
White House Meeting
Draft Content of the Agreement
Changes in US Policy Toward Ukraine
Current Status