US and Ukraine sign landmark minerals deal after months of delay

The United States and Ukraine on Wednesday signed a landmark minerals agreement, ending a two-month delay and signalling a new phase in Washington's support for Kyiv following the cessation of military aid under President Donald Trump's administration.

The accord, hailed as a strategic economic partnership, comes amid shifting US foreign policy priorities and reflects Trump's emphasis on long-term investments over direct security commitments. Announced in Washington by treasury secretary Scott Bessent, the deal was described as a "commitment to lasting peace and prosperity in Ukraine."

"This agreement signals clearly to Russia that the Trump administration is committed to a peace process centered on a free, sovereign and prosperous Ukraine over the long term," Bessent said. He also emphasised that "no state or person who financed or supplied the Russian war machine will be allowed to benefit from the reconstruction of Ukraine."

The deal includes the creation of a US-Ukraine reconstruction investment fund, with both countries holding equal voting rights. Crucially, Ukraine will retain full sovereignty over its natural resources, including rare earth elements that are increasingly vital for green and digital technologies.

After protracted negotiations, Ukrainian Prime Minister Denys Shmygal called the deal "good, equal and beneficial," noting that the fund's profits will be reinvested exclusively in Ukraine. He stressed that Kyiv would maintain full control over its subsoil, infrastructure, and resources, and would not be required to repay any "debt" for past US support.

Ukrainian economy minister Yulia Svyrydenko said the deal would support investment in critical mineral projects, oil and gas development, and infrastructure to boost local processing capabilities.

The agreement follows an earlier demand by Trump for rights to Ukraine's mineral wealth — initially floated as a form of compensation for US military aid provided under former President Joe Biden in the early years of Russia's invasion. The demand sparked diplomatic tension, with Ukraine resisting pressure over sovereignty concerns.

Trump's administration, while scaling back direct military assistance, is now positioning economic engagement as a cornerstone of its foreign policy. The treasury department's official statement notably referred to Russia's actions as a "full-scale invasion" — a rare departure from the administration’s usual language that has often placed partial responsibility on Kyiv.