MUNICH, Germany — Ukrainian President Volodymyr Zelenskyy has decided against authorizing his ministers to finalize an agreement granting the United States access to Ukraine’s rare earth minerals, stating that the proposal overly favored U.S. interests.
This significant proposal arose during Zelenskyy’s discussions with U.S. Vice President JD Vance at the Munich Security Conference, but it reportedly lacked concrete security guarantees for Ukraine in exchange for the resource access, according to insiders familiar with the negotiations.
A senior White House official characterized Zelenskyy’s rejection of the agreement as “short-sighted.” Zelenskyy emphasized, “I didn’t let the ministers sign a relevant agreement because in my view it is not ready to protect us, our interest.”
The proposal suggested utilizing Ukraine’s rare earth minerals as compensation for past U.S. support and as a form of payment for future assistance. Ukraine possesses substantial reserves of critical minerals essential for industries such as aerospace, defense, and nuclear energy. The U.S. has shown a keen interest in these resources to lessen reliance on China, but Zelenskyy indicated that any resource extraction must be contingent upon receiving security guarantees to prevent future Russian aggression.
“For me, it is crucial to connect some kind of security guarantees with investment,” the Ukrainian president remarked.
Zelenskyy refrained from elaborating on the specific reasons for his directive, which was reportedly conveyed to Ukrainian officials following a visit from a high-level U.S. envoy.
A former senior official dismissed the proposal as akin to a “colonial agreement” that Zelenskyy could not endorse. In a statement, the White House National Security Council noted that, while not confirming the specifics of the offer, they believe that strong economic ties with the U.S. could serve as a vital deterrent against future aggression.
U.S. discussions with Ukrainian representatives in Munich focused on the commercial aspects of mineral exploration and potential partnerships for extraction. However, the value of these deposits remains largely unassessed, with much of the land still unexplored or hindered by ongoing conflict.
Concerns were raised regarding how the U.S. plan would secure these resources in the event of persistent Russian hostilities. A senior Ukrainian official underscored that any agreements must adhere strictly to Ukrainian law and resonate with the interests of its citizens, stating, “Subsoil belongs to Ukrainians under the Constitution.”
Zelenskyy and Vance’s meeting was described as “very good” and “substantive,” with Zelenskyy articulating that negotiations must position Ukraine strongly. He insisted that any future dialogue with Russia must involve the U.S., Ukraine, and Europe at the table.
While expressing his vision for peace, Zelenskyy acknowledged that a counter proposal is in the works and will be presented to the U.S. soon. He stressed the necessity for any agreement to not just foster economic growth but also ensure security for Ukraine.
