Latest news with #KielInstitutefortheWorldEconomy
Yahoo
26-05-2025
- Business
- Yahoo
'Russia is not winning this war,' EU defense commissioner says
Russia is not winning the war in Ukraine, European Defense Commissioner Andrius Kubilius said in an interview with LRT broadcaster published on May 26, stressing Europe must stop relying on the United States to ensure that remains the case. In the interview, Kubilius said the EU must be ready to defend Ukraine and itself with or without Washington's backing. While U.S. support has been vital, Kubilius said that the EU's long-term security depends on its own strategic and industrial strength, especially as U.S. President Donald Trump has signaled he may walk away from peace efforts unless progress is made. "450 million Europeans should not be begging 340 million Americans to protect Europe from 140 million Russians who cannot take on 38 million Ukrainians," Kubilius said. Kubilius said Europe has matched the U.S. in aid to Ukraine — around 60 billion euros ($68 billion) over the last three years, including the U.K. and Norway — yet still hesitates to take full ownership of the war's outcome. Recent findings from the Kiel Institute for the World Economy also reported that total assistance — military and civilian — allocated by Europe to Ukraine since 2022 actually exceeds that of the U.S. by 23 billion euros ($26 billion). "The annual support is about 20 billion euros ($23 billion) each. Twenty billion on the European side and 20 billion on the American side is less than 0.1% of GDP for both," Kubilius noted. "We are spending 3% or 3.5% on our own defense, and we are spending less than 0.1% on the defense of Ukraine." Europe must prepare for a world in which U.S. involvement in its defense wanes, Kubilius argued. While he emphasized the importance of avoiding a "chaotic divorce" with Washington, he said the EU must develop a clear and independent defense policy. "It is far worse to be unprepared or to go into an angry and chaotic divorce with the Americans," he said. "It is better for us to come up with a clear plan of what we want from the Americans over the next decade, avoid chaos, than to be constantly begging them to stay and be completely unprepared and then face a full-scale crisis.' Kubilius said this included developing the EU's own defense industry. "Up to now, when Europeans were buying weapons, only 20% of their purchases were coming from European industry, while over 65% were coming from the U.S.," Kubilius noted. Asked whether the EU has a plan if the U.S. withdraws support for Ukraine, Kubilius said Europe is not helpless. According to him, a 150-billion-euro ($170 billion) EU loan facility could provide new channels to strengthen Ukraine's military capabilities and defense sector — if member states are willing to act. "Yes, Ukraine needs support. Yes, that support can come from the European Union together with America. Without America, too, we need to think about how we are going to do it," he said. "There is no other way." As ceasefire talks stall and U.S. diplomatic efforts show little progress — including Trump's recent phone call with Russian President Vladimir Putin, which yielded no commitment to a truce — Ukraine has renewed its calls for more European aid, particularly in air defense. Read also: Russia can attack Europe 2-4 years after war's end, faster with lifted sanctions, Ukrainian intel chief warns We've been working hard to bring you independent, locally-sourced news from Ukraine. Consider supporting the Kyiv Independent.
Yahoo
01-05-2025
- Business
- Yahoo
Rubio presses Europe to 'step up' support for Ukraine in talks with French FM
U.S. Secretary of State Marco Rubio urged European allies to commit more resources to Ukraine during a meeting with French Foreign Minister Jean-Noel Barrot, warning that 'words are not enough' to end Russia's war and secure a lasting peace, the State Department reported on May 1. According to a readout from State Department Spokesperson Tammy Bruce, Rubio praised France's leadership in building support for a peace agreement, but stressed that European partners must 'step up with real resources and political will' if they hope to bring the war to an end. The meeting comes amid growing concern over Europe's ability to fulfill its defense pledges. As reported by the Times on April 30, European nations may struggle to provide even 25,000 troops to a proposed multinational 'deterrence force' for Ukraine, far short of the 64,000 target initially suggested by U.K. defense officials. The plan, part of a so-called 'coalition of the willing' led by the U.K. and France, aims to secure postwar stability, rebuild Ukraine's military, and deter future Russian aggression. For now, the U.S. has reportedly offered intelligence and logistics support but has denied a troop commitment. For weeks, British Prime Minister Keir Starmer has pressed Trump for a formal commitment, warning that U.S. backing is essential to the coalition's viability. According to the Kiel Institute for the World Economy's Ukraine Aid Tracker, Europe has surpassed the U.S. in total aid to Ukraine: 138 billion euros ($157 billion) compared to Washington's 115 billion euros ($131 billion). Researchers highlighted several recent European aid packages, including Sweden's largest assistance tranche to date worth $1.6 billion and new support from Germany, the U.K., Norway, and Denmark. Read also: EU will not recognize Crimea as part of Russia, Kallas says We've been working hard to bring you independent, locally-sourced news from Ukraine. Consider supporting the Kyiv Independent.
Egypt Independent
01-05-2025
- Business
- Egypt Independent
US and Ukraine sign critical minerals deal after months of tense negotiations
CNN — The United States and Ukraine have signed an 'economic partnership agreement' that will give Washington access to Kyiv's mineral resources in exchange for establishing an investment fund in Ukraine. The US and Ukraine have been trying to hammer out the natural resources deal since US President Donald Trump returned to the White House in January. Compared to earlier drafts, the final agreement is reportedly less lopsided in favor of the US and is not as far-reaching. It stipulates that future American military assistance to Ukraine will count as part of the US investment into the fund, rather than calling for reimbursement for past assistance. The deal comes after weeks of intense negotiations that at times turned bitter and temporarily derailed Washington's aid to Ukraine. Speaking Wednesday in a call with NewsNation, Trump said he made the deal to 'protect' Washington's contribution to the Ukrainian war effort. 'We made a deal today where we get, you know, much more in theory, than the $350 billion but I wanted to be protected,' Trump said. 'I didn't want to be out there and look foolish.' Trump has falsely claimed that the US has given Ukraine $350 billion since Russia fully invaded its neighbor in February 2022. The actual figure is around $120 billion, according to the Kiel Institute for the World Economy. The US president said he told his Ukrainian counterpart Volodymyr Zelensky during their weekend meeting on the sidelines of Pope Francis' funeral that 'it's a very good thing' if he signed the deal because 'Russia is much bigger and much stronger.' Among the terms of the agreement are 'full ownership and control' of the resources staying with Ukraine, according to Kyiv's Economy Minister Yulia Svyrydenko, who went to Washington to sign on behalf of the Ukrainian government. 'All resources on our territory and in territorial waters belong to Ukraine,' she said, adding: 'It is the Ukrainian state that determines what and where to extract. Subsoil remains under Ukrainian ownership – this is clearly established in the Agreement.' The signing comes hours after a last-minute disagreement over which documents to sign Wednesday threatened to derail the deal. The details of the agreement have not been made public. However, Ukraine's Prime Minister Denys Shmyhal said on Sunday that the deal 'will not include assistance provided before its signing.' 'It is truly an equal and beneficial international agreement on joint investments in the development and recovery of Ukraine between the US and Ukrainian governments,' Shmyhal added. Meanwhile, the tone of the US Treasury Department's announcement of the deal showed more solidarity with Ukraine than previous statements from the Trump administration, referring to the war as 'Russia's full-scale invasion' of Ukraine. An excavator mines rare earth materials in the Zhytomyr region of Ukraine in February 2025, as companies continue operations despite the war. Kostiantyn Liberov/Libkos/Getty Images 'As the President has said, the United States is committed to helping facilitate the end of this cruel and senseless war,' Treasury Secretary Scott Bessent said in a statement, calling it a 'historic economic partnership.' 'This agreement signals clearly to Russia that the Trump Administration is committed to a peace process centered on a free, sovereign, and prosperous Ukraine over the long term,' Bessent added. 'And to be clear, no state or person who financed or supplied the Russian war machine will be allowed to benefit from the reconstruction of Ukraine.' Bessent said the US looks 'forward to quickly operationalizing' the agreement, but it's not clear how swiftly new mining projects and collaborations can be launched as the war rages on. Previous sticking points Zelensky was expected to strike the deal during his trip to Washington in February – but the agreement was left unsigned when that visit was cut short following a contentious Oval Office meeting. Among the key sticking point of the negotiations was the question of security guarantees – and whether the US would provide them as part of the deal. Trump initially refused that, saying he wants Ukraine to sign the agreement first and talk about guarantees later. At that time, Zelensky described the draft agreement as asking him to 'sell' his country. Ukrainian officials have since indicated they believed that US investment and the presence of American companies in Ukraine will make the US more interested in Ukraine's security. US President Donald Trump and Ukraine's President Volodymyr Zelensky openly clashed in the White House on February 28, when they were due to sign an earlier draft of the minerals agreement. Saul Loeb/AFP/Getty Images Shortly after the doomed White House visit, Trump ordered US aid to Ukraine to be suspended. While the assistance has since been restored, the episode became a major wakeup call for Ukraine's European allies, who have pledged to step up their help to the country. Trump had previously billed the agreement as Ukraine 'paying back' for the aid the US has provided to Ukraine since Russia launched its unprovoked full-scale invasion of the country in February 2022. Speaking to Fox News Wednesday, Bessent said the deal is 'a signal to the American people, that we have a chance to participate, get some of the funding and the weapons, compensation for those.' Under the deal, the US and Ukraine will create a joint investment fund in Ukraine with an equal contributions from both and equal distribution of management shares between them, Ukrainian Prime Minister Shmyhal said. 'The American side may also count new, I emphasize new, military aid to Ukraine as a contribution to this fund,' Shmyhal added. Mineral riches Kyiv's allies have long eyed Ukraine's mineral riches. The country has deposits of 22 of the 50 materials classed as critical by the US Geological Survey. These include rare earth minerals and other materials that are critical to the production of electronics, clean energy technologies and some weapon systems. The global production of rare earth minerals and other strategically important materials has long been dominated by China, leaving Western countries desperate for other alternative sources – including Ukraine. A memorandum of understanding prepared under the Biden administration last year said the US would promote investment opportunities in Ukraine's mining projects to American companies in exchange for Kyiv creating economic incentives and implementing good business and environmental practices. Ukraine already has a similar agreement with the European Union, signed in 2021. This story has been updated with developments.
CNN
01-05-2025
- Business
- CNN
US and Ukraine sign critical minerals deal after months of tense negotiations
CNN — The United States and Ukraine have signed an 'economic partnership agreement' that will give Washington access to Kyiv's mineral resources in exchange for establishing an investment fund in Ukraine. The US and Ukraine have been trying to hammer out the natural resources deal since US President Donald Trump returned to the White House in January. Compared to earlier drafts, the final agreement is reportedly less lopsided in favor of the US and is not as far-reaching. It stipulates that future American military assistance to Ukraine will count as part of the US investment into the fund, rather than calling for reimbursement for past assistance. The deal comes after weeks of intense negotiations that at times turned bitter and temporarily derailed Washington's aid to Ukraine. Speaking Wednesday in a call with NewsNation, Trump said he made the deal to 'protect' Washington's contribution to the Ukrainian war effort. 'We made a deal today where we get, you know, much more in theory, than the $350 billion but I wanted to be protected,' Trump said. 'I didn't want to be out there and look foolish.' Trump has falsely claimed that the US has given Ukraine $350 billion since Russia fully invaded its neighbor in February 2022. The actual figure is around $120 billion, according to the Kiel Institute for the World Economy. The US president said he told his Ukrainian counterpart Volodymyr Zelensky during their weekend meeting on the sidelines of Pope Francis' funeral that 'it's a very good thing' if he signed the deal because 'Russia is much bigger and much stronger.' Among the terms of the agreement are 'full ownership and control' of the resources staying with Ukraine, according to Kyiv's Economy Minister Yulia Svyrydenko, who went to Washington to sign on behalf of the Ukrainian government. 'All resources on our territory and in territorial waters belong to Ukraine,' she said, adding: 'It is the Ukrainian state that determines what and where to extract. Subsoil remains under Ukrainian ownership – this is clearly established in the Agreement.' The signing comes hours after a last-minute disagreement over which documents to sign Wednesday threatened to derail the deal. The details of the agreement have not been made public. However, Ukraine's Prime Minister Denys Shmyhal said on Sunday that the deal 'will not include assistance provided before its signing.' 'It is truly an equal and beneficial international agreement on joint investments in the development and recovery of Ukraine between the US and Ukrainian governments,' Shmyhal added. Meanwhile, the tone of the US Treasury Department's announcement of the deal showed more solidarity with Ukraine than previous statements from the Trump administration, referring to the war as 'Russia's full-scale invasion' of Ukraine. 'As the President has said, the United States is committed to helping facilitate the end of this cruel and senseless war,' Treasury Secretary Scott Bessent said in a statement, calling it a 'historic economic partnership.' 'This agreement signals clearly to Russia that the Trump Administration is committed to a peace process centered on a free, sovereign, and prosperous Ukraine over the long term,' Bessent added. 'And to be clear, no state or person who financed or supplied the Russian war machine will be allowed to benefit from the reconstruction of Ukraine.' Bessent said the US looks 'forward to quickly operationalizing' the agreement, but it's not clear how swiftly new mining projects and collaborations can be launched as the war rages on. Previous sticking points Zelensky was expected to strike the deal during his trip to Washington in February – but the agreement was left unsigned when that visit was cut short following a contentious Oval Office meeting. Among the key sticking point of the negotiations was the question of security guarantees – and whether the US would provide them as part of the deal. Trump initially refused that, saying he wants Ukraine to sign the agreement first and talk about guarantees later. At that time, Zelensky described the draft agreement as asking him to 'sell' his country. Ukrainian officials have since indicated they believed that US investment and the presence of American companies in Ukraine will make the US more interested in Ukraine's security. Shortly after the doomed White House visit, Trump ordered US aid to Ukraine to be suspended. While the assistance has since been restored, the episode became a major wakeup call for Ukraine's European allies, who have pledged to step up their help to the country. Trump had previously billed the agreement as Ukraine 'paying back' for the aid the US has provided to Ukraine since Russia launched its unprovoked full-scale invasion of the country in February 2022. Speaking to Fox News Wednesday, Bessent said the deal is 'a signal to the American people, that we have a chance to participate, get some of the funding and the weapons, compensation for those.' Under the deal, the US and Ukraine will create a joint investment fund in Ukraine with an equal contributions from both and equal distribution of management shares between them, Ukrainian Prime Minister Shmyhal said. 'The American side may also count new, I emphasize new, military aid to Ukraine as a contribution to this fund,' Shmyhal added. Mineral riches Kyiv's allies have long eyed Ukraine's mineral riches. The country has deposits of 22 of the 50 materials classed as critical by the US Geological Survey. These include rare earth minerals and other materials that are critical to the production of electronics, clean energy technologies and some weapon systems. The global production of rare earth minerals and other strategically important materials has long been dominated by China, leaving Western countries desperate for other alternative sources – including Ukraine. A memorandum of understanding prepared under the Biden administration last year said the US would promote investment opportunities in Ukraine's mining projects to American companies in exchange for Kyiv creating economic incentives and implementing good business and environmental practices. Ukraine already has a similar agreement with the European Union, signed in 2021.
Russia Today
29-04-2025
- Business
- Russia Today
Ukraine one of the world's most corrupt countries
US National Security Adviser Michael Waltz has called for proper oversight of the financial assistance Washington provides to Kiev. In a Monday interview with Fox News, the top state official called Ukraine one of the most corrupt nations in the world. The US Congress has authorized roughly $175 billion for Ukraine since 2022, although a significant portion of that funding has gone to American industries and government activities related to the conflict. Waltz's comment comes days after US President Donald Trump held a face-to-face conversation with Ukraine's Vladimir Zelensky on the sidelines of Pope Francis' funeral at the Vatican. 'I will say Ukraine was one of, and is one of, the most corrupt countries in the world,' Waltz said, highlighting that Washington has to 'always guard the taxpayer dollars.' The official also rebuked the administration of Trump's predecessor for its failure to provide proper oversight of the way Kiev was spending the financial aid provided by the White House at the time. 'We have to keep a hard eye on that, […] but secondly we have to find opportunities to end the war,' he said. Waltz, who had previously said that Washington must be reimbursed by Kiev for the 'investments' it has made in the conflict, also accused the Ukrainian leader of intractability. He recalled the shouting match which took place at the White House earlier this year. 'Rather than trying to correct the President of the US and the Vice President in the Oval Office when he was invited there for the first meeting, he could have sat side by side with the president, signing a minerals deal that bound our economies,' the adviser said. Washington and Kiev have been discussing a deal for weeks that would grant the US access to Ukraine's deposits of rare-earth minerals. The Trump administration insists that the agreement should be used to compensate the US for past aid to Ukraine. Kiev, however, has maintained that the assistance was provided unconditionally. According to Germany's Kiel Institute for the World Economy, as of October 2024, the US had provided Ukraine with approximately $92 billion in financial and military assistance. Meanwhile, the US-based Council on Foreign Relations estimated that Washington's financial assistance to Kiev amounted to $195 billion as of April 2024, with $128 billion worth of the aid having gone straight to the government of Ukraine. Pentagon Inspector General Robert Storch reported last November that 'corruption continues to complicate Ukraine's efforts to achieve its EU and NATO aspirations,' particularly due to multiple scandals in the Defense Ministry.
