So it’s finally happened: after months of difficult negotiations, the United States and Ukraine signed a comprehensive agreement on cooperation in the raw materials sector on Wednesday evening (local time). The deal is also a signal to the Kremlin. Trump: “I didn’t want us to come away empty-handed.”

The significant agreement, which has now been concluded in Washington, is intended to give Ukraine an economic boost and secure long-term access for the US to strategically important raw materials – in particular rare earths, which are of great importance for high technology and the defense industry.

“A historic agreement”

US Treasury Secretary Scott Bessent described the agreement as a “historic economic agreement” and emphasized its geopolitical significance. He said it sent a “clear signal to the Russian leadership” that President Donald Trump’s administration is committed to a “free, sovereign, and prosperous Ukraine” in the long term.

Trump: “Didn’t want us to come away empty-handed”

Trump, who spoke on the US channel NewsNation in the evening, made no secret of the fact that economic interests played a central role for him. “I wanted to make sure we didn’t come away empty-handed,” the president said. And: “This agreement means that, theoretically, we will get back more than we invested.”

Pressure on Kiev – and a breakthrough after the scandal

Trump had publicly put pressure on the Ukrainian government in the run-up to the agreement. He demanded that the US receive economic compensation for the billions of dollars in military and economic aid it had provided to ward off the Russian invasion. The talks threatened to collapse in February when tensions arose between Trump, his vice president JD Vance, and Ukrainian President Volodymyr Zelensky during a meeting at the White House.

The breakthrough ultimately came with a newly negotiated partnership model that provides for more balance between the two sides. Ukrainian Economy Minister Julia Swyrydenko, who traveled to Washington for the signing, announced the creation of a joint investment fund to pool capital from around the world for projects in the raw materials sector.

Ukraine retains control – US gets privileged access

According to Svyrydenko, the fund will primarily promote the extraction of minerals, oil, and gas. She emphasized that Ukraine would retain all property rights and complete control over its natural resources. Decisions on locations and types of extraction would be made exclusively by the Ukrainian state.

At the same time, the agreement grants the US privileged access to strategic raw materials, including rare earth metals, which are indispensable for battery technologies, chips, defense equipment, and communication systems, among other things.

Partnership set for ten years

The agreement is initially set to run for ten years and has been designed in such a way that it does not stand in the way of Ukraine’s desired EU membership. While Kiev wants to take advantage of the economic stimulus and international investment, Washington is securing important raw materials in a world where competition for raw materials is increasingly fierce.

With the conclusion of the agreement, both sides are sending a foreign policy signal – to Moscow as well as to Beijing, which is also active in the global raw materials markets.

Image: Wolodymyr Selenskyj mit Donald Trump
Credit: APA