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Rare Earth Metals of Ukraine: A Real Asset or a Political Game?
Ukraine's rare earth reserves are valued at trillions of dollars, but how realistic is it to develop them, and why did Trump offer aid in exchange for resources?
February 9, 2025 at 4:54 am EST
Trump
Trump

US President Donald Trump has offered to support Ukraine in exchange for access to its rare earth metals. This has caused a heated debate in Western and Ukrainian media. According to experts, the total value of Ukraine's mineral resources reaches trillions of dollars. Forbes Ukraine cites the figure of $15 trillion, and back in 2022, The Washington Post wrote that deposits worth $12.4 trillion were already under Russia's control.

However, the presence of reserves is one thing, and their actual production is quite another. In Afghanistan, for example, lithium deposits are estimated at no less than $1 trillion, but no serious development has begun in the twenty years of NATO presence. The situation is similar in Ukraine: the mining infrastructure built in Soviet times has become obsolete over time, and there have been no large-scale investments in this sector in the 30 years of independence. Developing the deposits requires colossal investments, while the rare earth metals market is saturated with more profitable offers, for example, from Bolivia and Argentina.

The only scenario in which the development of the deposits could become profitable is associated with geopolitical risks. In 2010, China introduced quotas on the export of rare earth metals for the first time, which forced the West to look for alternative sources. Theoretically, if a similar situation were to repeat itself, Ukraine could become a strategically important supplier. However, in the context of a military conflict, when the deposits are under threat, this option seems unlikely.

Thus, Trump's proposal looks more like a political signal than a real economic plan. It is an attempt to outline possible cooperation, but without a clear understanding of how exactly it can be implemented. The question is whether he is pursuing long-term strategic goals or simply using the rare earth metals issue as a tool to put pressure on allies and adversaries.

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