The Trump administration has finalized a new minerals deal with Ukraine, giving American investors tax-free access to Ukraine’s rare earth minerals.
This move comes after weeks of intense back-and-forth and a major confrontation between former President Donald Trump and Ukrainian President Volodymyr Zelensky during a previous White House meeting.
The agreement, announced by U.S. Treasury Secretary Scott Bessent, is a key step toward a peaceful resolution of the ongoing conflict in Ukraine.
In the press release, Bessent said that this deal reflects the strong financial and material support the U.S. gave Ukraine during its defense against Russian aggression.
He also added that the Trump administration’s goal is to work toward ending the war by supporting Ukraine’s independence, economic stability, and long-term growth. According to him, this minerals deal sends a strong message to Russia that the U.S. is serious about backing Ukraine for the long haul.
Bessent emphasized that those who supported or funded the Russian war effort would not be allowed to benefit from Ukraine’s future rebuilding. Instead, the focus is on creating long-lasting partnerships that are fair and mutually beneficial to both nations.
Ukrainian Deputy Prime Minister Yulia Svyrydenko flew to Washington to attend the official signing of the deal. News outlets like Axios and Bloomberg had earlier reported that the signing was scheduled for this week.
The finalized agreement updates an earlier proposal that required Ukraine to repay billions of dollars in U.S. aid. The new version drops that requirement and focuses instead on joint business ventures in the rare earth minerals sector.
Under the deal, any American investment in Ukraine’s mineral industry will be free from U.S. taxes. Ukraine’s mineral exports to the United States will also not face any tariffs. The joint ventures will be split 50-50 between U.S. investors and Ukrainian companies.
All money raised for development will be managed by a fund jointly controlled by both governments. Future U.S. military aid to Ukraine will count toward that fund.
Ukrainian Prime Minister Denys Shmyhal clarified that the deal allows Ukraine to maintain full control over its land, infrastructure, and natural resources. This assurance was necessary, especially since earlier versions of the deal included clauses that may have given the U.S. more say over Ukraine’s infrastructure.
While Trump has often stated that Ukraine should repay the billions it received during the Biden administration, Bessent denied any new conditions being added from the U.S. side.
He claimed that the agreement is about creating a “security shield” for Ukraine through economic collaboration rather than simply providing military help.
Ukrainian officials also pointed out that the goal is to attract more U.S. investment to strengthen Ukraine’s economy and defense industry. Deputy Economy Minister Taras Kachka told Axios that the agreement was “written in friendly language” and focuses on investments, not repayments.
Yulia Svyrydenko mentioned that Ukraine’s share of contributions to the fund would come from fees paid by companies obtaining new licenses for mineral development.
The final signing of the agreement marks the end of weeks of tense negotiations. At one point, a heated argument between Trump, Vice President JD Vance, and President Zelensky erupted in front of cameras at the White House, which temporarily stalled progress. Zelensky left Washington without a deal at that time.
However, this new agreement shows that the Trump administration may now be warming up to Ukraine again. This comes after Trump had made controversial remarks calling Zelensky a “dictator” and hinting at support for Russia keeping parts of Ukrainian territory.
In the last few weeks, Trump has also publicly questioned whether Russia is truly serious about negotiating peace.
He has suggested that only he can broker a real deal. His top aides have echoed this, with White House Chief of Staff Susie Wiles telling the New York Post that the administration has dedicated 100 days and its best people to achieving peace. She added that if peace doesn’t happen now, it’s likely not possible at all.
The deal with Ukraine could become a major turning point, both in terms of peace talks and U.S.-Ukraine relations. It shows that economic partnerships may be the new path forward, even in the middle of ongoing war and political tension.
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