International commentators say the military conflict in Ukraine is not only a tension over sovereignty and security in Europe, but also a conflict with profound economic and technological significance.
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| This drone image shows the Zavallievsky Graphite open-pit mine, amid Russia's attack on Ukraine, in Zavallia, Ukraine, February 10. (Source: Reuters) |
Analysts say that Ukraine's territory is "coveted by many parties" because it possesses enormous natural resources. Is that why not only the US, UK or Europe... hope to have access?
What is Ukraine really?
Behind the international support and diplomatic tensions lies an increasingly coveted strategic resource, including rare earth elements and critical minerals, buried beneath Ukraine's soil, the European Conservative commented.
The Eastern European country has one of the largest reserves of critical minerals in Europe. Of the 34 elements that the European Union considers essential to its economy, Ukraine holds 22, including lithium, titanium, graphite and several rare earth elements such as neodymium and erbium. These may be unfamiliar names, but they are vital for the production of electric vehicle batteries, magnets used in wind turbines, electronics and defense technology equipment.
Many of these mines are located in areas directly affected by the military conflict. Luhansk, Donetsk, Zaporizhzhia, and Kherson—four regions annexed by Russia in 2022—hold about 53% of Ukraine’s mineral reserves. Moscow’s control over these regions has hampered Kiev’s ability to exploit these resources, limiting its ability to attract foreign investment and develop the local mining industry.
Ukraine's natural deposits of graphite - a metal used in lithium-ion batteries - account for 6% of the world's reserves. In addition to its use in batteries, graphite is used in a wide range of applications, from nuclear reactors to something as simple as pencil lead.
The country also holds significant lithium reserves, estimated to account for 1% to 2% of global reserves, with around 500,000 tonnes proven. The mineral is essential for the production of batteries, ceramics and glass, making Ukraine a major supplier of the resource in Europe.
In addition, Ukraine has the largest titanium reserves on the continent, accounting for 1% of the world's total reserves. According to the Geological Survey of Ukraine, the country can supply the US and European Union's demand for titanium metal for 25 years.
Ukraine's uranium mines, indispensable for nuclear power generation, account for 2% and 4% of global reserves.
On top of that, Ukraine has significant reserves of rare earth elements like lanthanum and cerium , used in displays and lighting systems; neodymium , needed for wind turbines and electric car batteries; and elements like erbium and yttrium , used in applications ranging from nuclear power to laser manufacturing.
The Donbas region is the richest in metals and home to most of Ukraine's heavy industry. Historically, it has been the most significant contributor to the country's GDP.
Who will be the main “player”?
Ukraine’s interest in minerals is not limited to the ongoing military conflict. Access to these materials is crucial to the development of clean technologies in a world that is increasingly moving towards “green” energy. China is the dominant country in rare earth production and refining, controlling 70% of the global market.
Meanwhile, for Western countries, diversifying the supply of these materials is a strategic priority.
In particular, the US has stepped up efforts in this area to reduce its dependence on China in the rare earth supply chain. But with only one operational mine and no significant refining capacity, Washington has seen in Ukraine a “too good” opportunity to strengthen its independence in this important area.
This may explain the Trump administration's keen interest in securing a deal with Kiev to exploit valuable resources.
The Trump administration has sought to strengthen its position in the mineral market through a cooperation agreement with Ukraine, which was signed on February 28 - during President Volodymyr Zelensky's visit to the White House to negotiate a security guarantee for Kiev.
Tensions between the two US-Ukraine leaders became evident during a meeting at the White House, with President Trump accusing Mr. Zelensky of "overplaying his hand" and demanding that the leader of the Eastern European nation accept proposed terms to continue receiving US support.
The fate of the US-Ukraine mineral deal is still up in the air, but if it materializes, it would be the most important foreign investment in Kiev's recent history.
However, while the US seeks to position itself as a leading investor in Ukraine's mining sector, France and the UK have also made moves.
France has pursued bilateral agreements with Kiev to secure supplies of key materials for its defense and technology industries. Since 2024, France has been negotiating mining cooperation agreements with Ukraine, which could conflict with U.S. interests if both sides seek exclusive access to these resources, observers say.
Meanwhile, the UK has been a staunch ally of Ukraine in its conflict with Russia and could leverage this relationship to secure access to key minerals without significant direct investment. London has expressed concern about Europe’s dependence on China in this area and could opt for a long-term strategic partnership with Kiev to diversify global supply chains.
Ukraine's critical minerals and rare earths are an economic asset and a key card in the country's “geopolitical game.”
As the military conflict continues, access to these resources could shape Ukraine’s reconstruction and economic future. However, the rivalry between the US, France and the UK adds another layer of complexity as each country seeks to secure its own slice of the pie.
The European news site Euractiv.com recently commented that the dispute between the US President and his Ukrainian counterpart in Washington, DC has opened up an opportunity for the EU to restore the 2021 natural resources agreement with Kiev - an agreement that was stalled due to Russia's special military campaign (February 2022).
The EU is seeking to restore the partnership and accelerate the implementation of an “old deal” to help Ukraine exploit its mineral resources. The deal is seen as an effort to secure supplies of essential resources for the green energy transition, while reducing its heavy dependence on China for materials such as lithium, cobalt, natural graphite and rare earths.
Even Kennan Institute researcher Andrian Prokip and a Washington-based research group believe that Ukraine's open confrontation with the US could play out in a way that benefits the EU.
“Kiev is now interested in promoting cooperation on this issue with the EU and for the EU to demonstrate its interest in Ukrainian minerals” and also signal to Washington that it has more than one potential partner and buyer, said expert Andrian Prokip.
Thus, the coming days will decide whether Ukraine will be able to use its “natural resources” to strengthen its negotiating position?... Or whether external forces will use this “card” for their exploitation terms with Kiev.
Source: https://baoquocte.vn/thoa-thuan-khoang-san-my-ukraine-tam-do-be-eu-hay-ai-khac-co-the-nhay-vao-thay-the-nguoi-choi-chinh-306742.html
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