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Ukraine ‘powerhouse’ of critical minerals; why is Donald Trump eyeing it? — Explained
Ukrainian President Volodymyr Zelenskyy refused to give the United States half of its mineral resources wealth in exchange for Donald Trump's aid. A deal between the US and Ukraine on resources is likely to be highly important for the war-torn nation.
Ukrainian President Volodymyr Zelenskyy refused to give the United States half of its mineral resources wealth in exchange for aid from the Donald Trump government.
“Help us defend this, and we will make money on this together,” said Zelenskyy, according to a Guardian report.
According to multiple media reports, the United States offered a deal in which it would give Ukraine the support it needs to fight Russia, in exchange for 50 per cent ownership of the nation's mineral deposits.
The European nation has key deposits of minerals like Graphite, Lithium, Titanium, Cobalt, Zirconium, Tantalum, Beryllium, Chromium and Vanadium which are used in multiple industrial needs.
A Center for International Relations and Sustainable Development (CIRSD) report described Ukraine as a “powerhouse” of critical minerals.
According to the mineral reserve data of 2022, Ukraine registered 20,000 deposits out of which 8,700 were proven to be ore-bearing minerals. They included 117 of the 120 most used metals and minerals in the world.
What is the use of these minerals?
- Graphite: The mineral Graphite is used in many key manufacturing industries like steelmaking, automaking, electrical, nuclear, aerospace, construction and component making, among other use-case scenarios. The mineral is a good conductor of electricity and heat.
- Lithium: Lithium is used to manufacture batteries, ceramics, lubricants, glass, etc. Lithium-ion batteries are the most common use of the mineral at a mass scale to make batteries for the electric vehicle industry. US carmaker Tesla is one of the many global carmakers to make Lithium-ion batteries.
- Titanium: Titanium is a very light-weighing metal which is resistant to corrosion and stronger than other metal composites. At an industry level, the mineral is used to make aerospace parts like airframes, engines, landing gears, etc. Other use cases can be in making sports equipment, medical implants, as well as ship propellers.
- Cobalt: Companies in the aerospace industry also use Cobalt inside engines and turbines and also make superalloys which are modified to endure more strength and resistance to thermal exposure.
- Zirconium: Zirconium is used in the medical industry to make implants and also proves to be essential to make an alloy which is used in various manufacturing industries.
- Tantalum: Tantalum is used in the electronics industry to make capacitors for cell phones, laptops, and other electronics products. Companies also use them to build heat exchangers and piping to make construction corrosion resistant.
- Beryllium: Beryllium is another lightweight metal which is used in making weapon parts in nuclear weapons, missile components, connectors, and even in the semiconductor industry. Due to its non-magnetic and good conductor of electricity nature it serves as a key element.
- Chromium: Chromium is used as an essential component to make stainless steel and also used in other applications like paints and dyes and chemical makeups of fabric.
- Vanadium: Vanadium is a mineral used to create medical supplements which work for treating key issues like diabetes, high cholesterol, heart disease, etc. Another application of this mineral is also as a component in nuclear reactors.
Due to the importance of these materials in the everyday manufacturing process, the United States stands to gain if Ukraine decides to hand over its mineral resources to fight off Russia in a war that has been waging since 2022.
With the global demand for these minerals expected to rise, Ukraine serves as a good opportunity for countries like the United States and the European Union to leverage the acquisition of these resources.
“Ukraine’s potential to supply these minerals is crucial for countries looking to diversify their supply chains and reduce dependency on countries such as China and other non-democratic regimes. The European Union (EU) and the United States have adopted strategies to leverage Ukraine’s resources to bolster their supply chains, support green transitions, and aid Ukraine’s post-war recovery,” according to a 2024 report by Detons, a multinational law firm.
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Business NewsNewsWorldUkraine ‘powerhouse’ of critical minerals; why is Donald Trump eyeing it? — Explained
First Published:17 Feb 2025, 08:34 PM IST
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