Tensions Rise as Zelenski Rejects Rare Earth Deal with Trump

Written by Asger Risom

Feb.24 - 2025 8:47 AM CET

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Photo: Wikimedia Commons
Photo: Wikimedia Commons
The Ukrainian leader refuses to hand over strategic mineral resources as part of U.S. aid negotiations

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A deepening rift between Ukraine and the United States has emerged over a controversial proposal by President Donald Trump. The U.S. is pushing for access to Ukraine’s rare earth minerals—critical components in technology and defense manufacturing—in exchange for past military and economic support. However, Ukrainian President Volodymyr Zelenski has firmly rejected the deal in its current form, calling the terms unacceptable.

U.S. Demands and Ukraine’s Resistance

According to Digi24, Trump has been demanding compensation equivalent to $500 billion, including rights to 50% of Ukraine’s rare earth minerals. This demand has been framed as repayment for U.S. assistance to Kyiv since the Russian invasion began in 2022.

A Ukrainian source, speaking anonymously, stated that Zelenski is “not prepared to accept the current proposal” and that Ukraine has submitted amendments in an effort to negotiate a fairer deal. However, U.S. officials are applying heavy pressure, with Trump’s National Security Advisor Mike Waltz insisting that Zelenski “will sign this deal soon” and that it is in Ukraine’s best interest.

Shifting U.S. Policy and Russian Influence

Complicating matters further, Trump’s position on Ukraine has dramatically shifted since a February 12 phone call with Russian President Vladimir Putin. Following the conversation, Washington signaled a new approach, effectively aligning with Moscow’s narrative that Ukraine bears responsibility for the ongoing war. This reversal has left Kyiv in a precarious position, as it now faces mounting pressure from its former staunch ally.

Zelenski, who has already rejected an earlier version of the agreement, remains adamant that he will not “sell” his country’s resources. However, he has indicated a willingness to consider American investments in Ukraine’s mining sector under different terms.

The Future of U.S.-Ukraine Relations

This standoff raises concerns about the future of Ukraine’s strategic partnerships. With Trump pivoting toward a more isolationist stance and showing signs of reconciliation with Russia, Kyiv faces increasing uncertainty regarding Western support. Meanwhile, Ukraine’s rare earth minerals remain a highly sought-after resource, and Zelenski’s resistance signals his determination to defend his nation’s sovereignty—even at the risk of alienating Washington.

As negotiations continue, the outcome of this dispute could reshape the geopolitical landscape, not just for Ukraine but for Europe and beyond.

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