Trump Announces Deal With Ukraine For National Reconstruction

 The White House announced a reconstruction project that it purports will bring economic prosperity to Ukraine during its reconstruction after the end of the Russian war. 

The plan sets up a fund which will receive 50% of mining profits received by the government of Ukraine in future rare earth and critical mineral ventures. A committee of six—three Ukrainian and three United States representatives—will decide how to invest the money in a way that benefits Ukraine's economy. Profits will not be taken from the fund to benefit either government directly until after 10 years have passed. Ukraine maintains full ownership of its land and mineral rights.

The White House press release touts the deal as "a fully collaborative partnership between our nations, that both the United States and Ukraine will benefit from." The aim, it states, is to help Ukraine with "long-term reconstruction and modernization, in response to the large-scale destruction caused by Russia’s full-scale invasion."

This appears to capitalize on the fact that Ukraine engages in quasi-socialist public-private partnerships, in which Ukraine receives profits from joint business ventures with private companies. New ventures for the minerals and metals (a total of 55 minerals are on the list, the AP reports), will be subject to this deal, but already-existing partnerships will not. 

The United States agrees to provide funds and equipment to Ukraine for reconstruction, including military equipment and defense systems.

In exchange, the United States will be given the first right to purchase the minerals, or decide who will and will not be eligible to purchase minerals. Furthermore, Ukraine agrees that no other country who helped Ukraine during the war will be able to benefit from reconstruction. 

I see pros and cons to this deal, but more importantly, what will Ukrainians think? Zelenskyy cannot constitutionally implement it himself; it must pass the Ukrainian parliament. Therefore, whatever devil is in the details will be debated, and the whole thing could die by vote at that level. I also think President Trump is a bad actor, and would very soon declare that Ukraine broke the deal over some perceived bad-faith accusation, and will renegotiate it in order to benefit the United States even more, to the detriment of Ukraine. 

I will add to this post as I learn more.

https://www.whitehouse.gov/fact-sheets/2025/05/fact-sheet-president-donald-j-trump-secures-agreement-to-establish-united-states-ukraine-reconstruction-investment-fund

https://www.abc.net.au/news/2025-05-01/usa-ukraine-russia-invasion-reconstruction-deal/105236892

https://apnews.com/article/ukraine-us-rare-earth-minerals-deal-8566241ea0e121a30437d845357055d8