Allowing Putin to steal Ukraine’s resources makes America (Trump) look weak

One of the issues complicating a Ukraine ceasefire or peace agreement is the natural resources found in the ground.

We know that Ukraine is rich in critical natural resources, such as rare earth.  Among his many reasons for wanting to enfold Ukraine into his Russian empire, Putin wants all those natural mineral resources – just as he wants the agricultural resources – to supplement his oil-dependent economy.

President Trump appears to have trumped Putin’s lust by entering into an agreement — the United States-Ukraine Reconstruction Investment Fund — that grants the United States access to the value of several critical minerals in return for military aide and economic investment in the nation’s reconstruction.

That means that ANY of those mineral resources Putin holds in occupied regions – or what he can acquire – is to the detriment of both the United States and Ukraine.  Putin is essentially stealing the value of resources that are dedicated to the United States.  Putin is again kicking sand in Trump’s face.

The Trump deal covers more than rare earth.  It deals covers 57 mineral categories, including Lithium (critical in production of batteries) … Graphite (used in electronics) … Manganese (essential for production of steel) … Zirconium (used in nuclear reactors and aerospace) … Titanium (used by defense industry) … Uranium (for nuclear energy) … and oil and gas

While Ukraine would retain ownership of the minerals and keep 100 percent of the profits for ten years, the United States would invest in commercializing them and share half the profits after ten years. The delay in realizing profits from the venture would significantly aid Ukraine’s reconstruction.

The Trump-Zelenskyy resource agreement was hailed as a strategic victory—a deal securing the United States’ access to Ukraine’s vast mineral wealth while simultaneously boosting Kyiv’s post-war economy.  It also reduces American dependency on China and other countries.  But allowing Putin to retain control over mineral-rich Ukrainian territory undermines the very foundation of the deal, weakens America’s geopolitical leverage and hands Russia a massive economic and strategic benefit.

It has been estimated that more than 40 percent of Ukraine’s mineral reserves are in regions currently occupied by Russia – and would presumably be ceded to Putin in any peace deal.  It includes the Shevchenkivske lithium deposits, Azovske zirconium deposits, and Petrovo-Hnutivske rare earth deposits. The value of the mineral resources now under the control of Russia exceeds $12 trillion.

It was argued that the deal with Ukraine was essentially a security issue – assuming that the United States would not allow Putin to take over more of Ukraine. However, allowing Putin to retain almost half of Ukraine’s critical resources undermines that theory.

Allowing Putin to succeed in gaining geography, strategic locations, vast resources and an enhanced international reputation as a winner (and conversely the United States and NATO as losers) – and positioning for a future aggression against Ukraine and conceivably NATO –would be a diplomatic and military disaster of monumental proportions. Appeasement in Ukraine would be a foreign policy blunder on par with President Biden’s tragic surrender in Afghanistan.

Ukraine is the one issue that all at once tests Trump’s strength and reputation as a deal maker – and his America First agenda.  And yet, none of that is evident in his handling of Ukraine – especially when it comes to the Ukrainian critical minerals issue.

So, there ‘tis.