Ukraine, minerals and clauses-scratch: the agreement that downloads the cost of each US risk to Kiev

Much discussed for almost two monthsthe agreement between the United States and the Ukraine on mineral resources A mystery remains of the latter. Neither Zelensky nor Trump, after their clash to the White House on February 28, have ever signed the vague memorandum of understanding in 11 points that had already been widespread. Since then the teams of the two presidents negotiate a new text, of which very little has been filtered. But now a new one Law proposal recently presented to Verkhovna Rada, Kiev’s Parliament, has all the air of opening a window on its contents or its real implications. At the expense of Ukraine they emerge like this Draconian clausesof those that usually winning power requires a defeated country: measures aimed mostly at guaranteeing at the expense of Kiev any cost and risk for American companies – included in the scenario of a new war – leaving the latter all the advantages of the exploitation of the mining resources of the attacked country.

Controversial content

Formally, it is a « resolution » proposal In view of a « law-question » aimed at « creating preferential conditions for the business activities of the partner countries of Ukraine-it is specified-considering the special role of the United States in providing military, financial and humanitarian assistance ». Nine parliamentarians led by David Arakhamia di Sluga presented it on 12 March (« Servant of the people »); Since it is the group leader of Zelensky’s party, which controls the majority of the seats in the Rada, the impulse certainly comes from the president’s office and the law will almost certainly pass. Yet its contents are destined to create tensions in Ukraine, because they seem written under dictation of the White House in the exclusive interest of the United States.

The paradox

The proposal speaks of the « introduction of compensation mechanisms in the case of political and military risks for foreign capital ». In the explanatory note, Sluga deputies are more explicit. The rule must contain « state guarantees and support measures for foreign affairs entities, primarily of the United States, including mechanisms for compensation for the risks associated with martial law and economic instability ». In other words, if after a respite Russia returned to bombing, Ukraine should compensate American companies In the event that these were forced to stop or slow down the country’s mining exploitation. If someone at the Kremlin decides to attack him, the Ukrainian taxpayer should therefore pay the American shareholder: a Carthaginian peace codicillo.

Capestro condition

It is not the only one. The bill provides « the introduction of a special tax regime for business activities, primarily of companies in the United States, which will include tax benefits ». Thus the American companies that will have licenses and concessions or will enter the privatizations of the Ukrainian government will be taxed less than the same Ukrainian companies or other countries. In the resolution proposal we then talk about the « tax conditions » to « facilitate the occupation of foreign specialists of the partner countriesin particular the United States « : even the employees of American companies would enjoy a tax paradise regime, reserved only for them.
The favor treatment would then extend to the most expensive aspect in Trump, the duties. But in the reverse sense to what prefers the tenant of the White House, selectively abolishing the duties that exist: to « create favorable conditions for the attraction of investments », the bill provides « a special customs regime for foreign entities, primarily of the United States » and « the exemption from duties to import » on the machinery necessary for mining exploitation. Officable to American companies would then be the mineral licenses already granted to Ukrainian citizens who have not exploited them in these years of war.
But why does Zelensky accept a lot? Perhaps, just because the risk of the withdrawal of the support of the United States at any time does not leave him another choice.