Minerals play a crucial role in the recent US-Ukraine deal, which is often referred to as a 'rare-earths deal.' While rare earths are a part of the agreement, Ukraine's reserves of these elements are not globally significant. Rare earth elements are essential for electronics, clean energy technologies, and certain weapon systems due to their magnetic and conductive properties.
However, Ukraine boasts substantial reserves of other valuable minerals such as graphite, lithium, titanium, beryllium, and uranium. Although not classified as rare earths, these minerals are among the 50 critical materials vital for future economic growth. Some of these reserves are located in regions currently under Russian control.
The United States heavily relies on mineral imports, with many coming from China. Out of the 50 critical minerals, the US was entirely dependent on imports for 12 and more than 50% dependent on imports for 16 others last year, as per the United States Geological Survey. Ukraine, on the other hand, holds deposits of 22 of these critical materials, according to the Ukrainian government. The US aims to decrease its dependence on China, a key strategic rival, for rare earths and other minerals.
Regarding Russia's stance, President Vladimir Putin expressed openness to economic cooperation with the US, including rare earth minerals. Putin mentioned that Russia is willing to collaborate with American companies to extract rare earth minerals from both Russian territories and parts of Russian-occupied Ukraine. He emphasized Russia's abundant rare earth resources compared to Ukraine.
