MINERALS DEAL MORPHS INTO INVESTMENT PARTNERSHIP’: When it came time to announce the signing of a deal months in the making that was touted as giving the U.S. access to Ukraine’s rare earth minerals, the word “minerals” was not mentioned.
Instead, the agreement established a “U.S.-Ukraine Reconstruction Investment Fund,” which was described as an “economic partnership” in which the two countries would “work collaboratively” to “accelerate Ukraine’s economic recovery,” according to a Treasury Department statement.
“Together with the United States, we are creating the fund that will attract global investment into our country,” said Ukrainian First Deputy Prime Minister Yulia Svyrydenko, who signed the agreement sitting next to Treasury Secretary Scott Bessent in a photo released on X.
“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 said in the statement. “President Trump envisioned this partnership between the American people and the Ukrainian people to show both sides’ commitment to lasting peace and prosperity in Ukraine.”
“This partnership allows the United States to invest alongside Ukraine to unlock Ukraine’s growth assets, mobilize capital, and governance standards that will improve Ukraine’s investment climate and accelerate Ukraine’s economic recovery.”
‘NO DAYLIGHT BETWEEN UKRAINE AND THE US’: While it’s unclear how and when the historic agreement will benefit the two countries, the immediate effect is a thaw in the frosty relations between Ukrainian President Volodymyr Zelensky and President Donald Trump, and the continuation of military aid to Ukraine, at least for now.
Trump has reportedly approved the first sales of “defense-related products” to Ukraine worth $50 million through direct commercial sales, another sign relations are warming, as Trump grows increasingly frustrated with Russian President Vladimir Putin’s intransigence. In an interview with ABC’s Terry Moran that aired Tuesday, Trump said he still believes Putin wants peace, but bristled when Moran pressed him
“Still? Even with the raining missiles on?” Moran said. “Do you trust him?”
“I don’t trust you. Look at you. You come in all shootin’ for bear. You’re so happy to do the interview, and then you start hitting me with fake questions,” Trump said.
In an appearance on Fox News last night, Bessent called the Ukraine deal a “win-win,” and told host Sean Hannity it’s a tribute to Trump’s deal-making prowess. “He’s done trade deals, tax deals, and now we’ve got this Ukrainian-American economic partnership deal.”
“It is a way to show that there’s no daylight between Ukraine and the U.S., as President Trump presses to end this horrible war,” Bessent said. “By showing that the U.S. has an economic interest in Ukraine. It’s a signal to the Russian leadership. It’s also a signal to the American people that we have a chance to participate, get some of our funding and weapons compensation.”
“This historic deal will strengthen the partnership between our two nations, help Ukraine rebuild and restore its communities, and ensure the American taxpayer benefits from the United States’ investment in freedom,” said Rep. Michael McCaul (R-TX) “It also telegraphs a strong message to the Kremlin that this administration is not messing around; Putin must stop his incessant attacks on Ukraine, come to the table, and work toward peace – today.”
WHO WON THE ART OF THE DEAL? The U.S. side did not release details, which may be because, according to leaks from the Ukrainian side, Kyiv got the U.S. to back down on almost all the onerous demands that Trump originally tried to impose on Ukraine.
Gone is the demand that ownership of Ukraine’s natural resources be transferred to U.S. ownership until the full compensation of past aid is paid. Gone is the original proposal of a 67%-33% split of revenues into the investment fund. Contributions will now be 50-50.
Revenues from Ukraine will only come from new licenses. Current revenue remains with Ukraine. The agreement was changed to ensure it complied with Ukraine’s Constitution and did not present a roadblock to accession to the European Union.
For all the hoopla, the deal will have little practical effect unless and until there is a permanent ceasefire. “The rebuilding can’t start until this war ends, and President Trump is committed to that,” Bessent said on Fox. “He wants both sides to come to the table now by showing that the U.S. has an economic interest in Ukraine.”
US AND UKRAINE SIGN MINERALS DEAL TO FORGE A ‘HISTORIC ECONOMIC PARTNERSHIP’
Good Thursday morning and welcome to Jamie McIntyre’s Daily on Defense, written and compiled by Washington Examiner National Security Senior Writer Jamie McIntyre (@jamiejmcintyre) and edited by Christopher Tremoglie. Email here with tips, suggestions, calendar items, and anything else. Sign up or read current and back issues at DailyonDefense.com. If signing up doesn’t work, shoot us an email and we’ll add you to our list. And be sure to follow me on Threads and/or on X @jamiejmcintyre.
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HAPPENING TODAY: The Senate Armed Services Committee takes up the nominations of Matthew Lohmeier to be undersecretary of the Air Force; Justin Overbaugh to be deputy undersecretary of defense for intelligence and security, and Daniel Zimmerman to be assistant secretary of defense for international security affairs.
$150 BILLION DOD PLUS UP ADVANCES: The House Armed Services Committee approved a $150 billion boost to defense spending 35-21 on Tuesday. The measure will now be sent to the House Budget Committee, where it will be incorporated into the “One Big Beautiful Bill,” which Republicans hope to pass sometime after Memorial Day.
“This legislation is a historic investment of $150 billion to restore America’s military capabilities and strengthen our national defense,” Committee Chairman Mike Rogers (R-AL) said before the vote.
Six Democrats joined the Republican majority on the committee to advance the bill that would push current defense spending to over $1 Trillion for the current fiscal year that ends Sept. 30. The six were Donald Davis (D-NC), Jared Golden (D-ME), George Whitesides (D-CA), Gabe Vasquez (D-NM) and Eugene Vindman (D-VA).
The Democrats’ attempts to amend the bill failed, including a provision that would have reduced Defense Secretary Pete Hegseth’s salary to $1 and required him to undergo management training.
HOUSE REPUBLICANS VOTE TO HINDER DEMOCRATS’ ABILITY TO INVESTIGATE TRUMP ADMINISTRATION
HEGSETH TO IRAN: ‘WE SEE WHAT YOU’RE DOING’: At yesterday’s Cabinet meeting at the White House, Hegseth brushed off the criticism of his leadership, saying, “I think we’re controversial cause we’re over the target.”
He cited “a recruiting renaissance,” “100% operational control of the border,” and “ripping wokeness out of the military” as achievements of his first 100 days. “The Houthis in the Middle East are feeling the weight of American power, and we’re deterring Communist China,” he told Trump. “So because of your leadership, sir, I believe we’re making the military great again.”
Later on X, he posted a “Message to IRAN.”
“We see your LETHAL support to The Houthis. We know exactly what you are doing,” he wrote. “You know very well what the U.S. Military is capable of — and you were warned. You will pay the CONSEQUENCE at the time and place of our choosing.”
The threat comes days after the U.S. lost a $60 million F/A-18 Super Hornet fighter jet, when the aircraft carrier USS Harry S. Truman was forced to make a series of sharp turns in a zig-zag maneuver to avoid a Houthi ballistic missile, and the plane along with its towing vehicle slid off the hangar deck into the Red Sea.
HEGSETH ISSUES WARNING TO IRAN OVER HOUTHI SUPPORT
THE RUNDOWN:
Washington Examiner: US and Ukraine sign minerals deal to forge a ‘historic economic partnership’
Washington Examiner: UK joins US in Houthi strikes for first time under new government
Washington Examiner: US partners with Uzbekistan on paid deportation operation
Washington Examiner: Trump’s CBP nominee Rodney Scott tells Senate he’ll deliver ‘real border security’
Washington Examiner: House Republican aims to cut cartels’ cash flow by targeting wire transfer services
Washington Examiner: VA committee chair asks DOJ to review unneeded $3 billion Biden-era funding plea
Washington Examiner: Opinion: Calibrating US policy to constrain Iranian oil exports
Washington Examiner: Calibrating US policy to constrain Iranian oil exports
Washington Examiner: Hugo Gurdon Opinion: Will Trump make bad deals with China, Iran, and Russia?
Washington Examiner: Tom Rogan Opinion: Trump is tough on strong Xi, but he’s weak on weaker Putin
Breaking Defense: HASC Approves $150B Defense Increase as GOP Shuts Down Amendments to Curb Hegseth, DOGE
AP: Rubio calls India and Pakistan in effort to defuse crisis over Kashmir attack
AP: About 4,700 North Korean soldiers have been killed or wounded fighting for Russia, South Korea says
DefenseScoop: DOD to Deploy Counter-Drone Capabilities at US-Mexico Border as Cartels Surveil Troops
Washington Post: Hegseth Backs Admiral for Middle East Post, Passing over Army General
The Hill: Hegseth ‘Proud’ to End Women, Peace, and Security Program
AP: A Palestinian student at Columbia is freed after his arrest at a citizenship interview
Defense News: Global Arms Spending Made Biggest Post-Cold War Jump in 2024: Report
New York Times: Vietnam Veterans Worry That a War’s Hard Lessons Are Being Forgotten
Air & Space Forces Magazine: Trump: Selfridge Getting F-15EX Fighters to Replace A-10s
Air & Space Forces Magazine: Congress Eyes Nearly $25B to Jump Start Golden Dome
The War Zone: Marines Get Their First High Power Microwave Weapon for Taking on Drone Swarms
SpaceNews: Space Force Embraces Commercial Tech in Major Overhaul of Surveillance Satellite Program
Defense News: Lockheed Loses Experimental Satellite After Firefly Launch Mishap
Air & Space Forces Magazine: Anti-Jamming GPS Upgrades Coming This Year
Defense One: DARPA Takes Aim at China’s Telecom Hacks in AI-Cyber Contest
Air & Space Forces Magazine: Many US Bases Still Lack Sufficient Tech to Track Drone Incursions: DOD Officials
Air & Space Forces Magazine: Blind Trust’: Netflix Drops Trailer for Air Force Thunderbirds Movie
THE CALENDAR:
THURSDAY | MAY 1
8 a.m. 14750 Conference Center Dr., Chantilly, Virginia — Armed Forces Communications and Electronics Association Northern Virginia Chapter “Space Force IT Day, with the theme ‘Space Resilience,’” with Maj. Gen. Dennis Bythewood, special assistant to the chief of space operations, Space Force; Col. Nathan Iven, acting deputy chief of space operations for cyber and data; and Stacie Williams, chief science officer, Space Force https://afceanova.swoogo.com/spaceforceitday2025
8:05 a.m. 151 St. George Blvd., Oxon Hill, Maryland — Defense Strategies Institute MOSA (Modular Open Systems Approach) for Defense Summit, with Raymond O’Toole, acting director of operational test and evaluation, Defense Department https://mosa.dsigroup.org/
9 a.m. 2212 Rayburn — House Armed Services Tactical Air and Land Forces Subcommittee hearing: “Small UAS and Counter-Small UAS: Gaps, Requirements, and Projected Capabilities,” with Doug Beck, director, Defense Innovation Unit; Lt. Gen. Eric Austin, deputy commandant of the Marine Corps for capabilities development and integration and commanding general, Marine Corps Combat Development Command; Army Lt. Gen. Robert Collins, principal military deputy to the assistant secretary of the Army for acquisition, logistics, and technology, and director, Army Acquisition Corps: Army Maj. Gen. David Stewart, Director, Joint Counter-Small Unmanned Aircraft Systems Office https://armedservices.house.gov
9:30 a.m. G50 Dirksen — Senate Armed Services Committee hearing to consider the nomination of Matthew Lohmeier to be undersecretary of the Air Force; Justin Overbaugh to be deputy undersecretary of defense for intelligence and security; and Daniel Zimmerman to be assistant secretary of defense for international security affairs https://www.armed-services.senate.gov/hearings
10 a.m. 1400 L St. NW — Atlantic Council discussion: “Strengthening U.S. Shipbuilding: Congress’s Role in Maritime Revitalization,” with Sen. Mark Kelly (D-AZ); Sen. Todd Young (R-IN); and Rep. John Garamendi (D-CA) https://www.atlanticcouncil.org/event/revitalizing-us-shipbuilding
1 p.m. 1400 L St. NW — Atlantic Council Global Energy Center and Eurasia Center discussion the the report: “Underwater Mayhem: Countering NATO Energy and Critical Infrastructure Threats,” with co-author Benjamin Schmitt, senior fellow, University of Pennsylvania; co-author Michael Kurtyka, fellow, Atlantic Council Global Energy Center; co-author Alan Riley, nonresident senior fellow, Atlantic Council Global Energy Center; John Herbst, senior director, Atlantic Council Eurasia Center; and Justina Budginaite-Froehly, nonresident senior fellow, Atlantic Council Europe Center and Transatlantic Security Initiative https://www.atlanticcouncil.org/event/underwater-mayhem
2 p.m. — Henry L. Stimson Center virtual discussion: “Gambling on Armageddon: Costs and Risks of Nuclear Modernization,” with Christopher Preble, Stimson senior fellow and director of Stimson’s Reimagining U.S. Grand Strategy Program; Elizabeth Threlkeld, Stimson senior fellow and director of Stimson’s South Asia Program; and Geoff Wilson, Stimson fellow and strategic adviser at Stimson’s National Security Reform Program https://www.stimson.org/event/gambling-on-armageddon
5 p.m. — Common Good virtual discussion: “The Limits of Presidential Power,” with former Defense Secretary Leon Panetta, chairman of the Panetta Institute for Public Policy; former Rep. David Jolly (R-FL); and Richard Salomon, lawyer and CEO of Vantage Point Consultants https://www.thecommongoodus.org/upcoming-events/the-limits-of-presidential-power
8 p.m. Tuscaloosa, Alabama — President Donald Trump delivers the commencement Address at the University of Alabama at Coleman Coliseum.
FRIDAY | MAY 2
8 a.m. — George Washington University Project for Media and National Security Defense Writers Group breakfast discussion: “Battlefield Energy Solutions for Large Scale Combat Operations,” with Army Maj. Gen. Michelle Donahue, commanding general, Combined Arms Support Command email: [email protected]
8:30 a.m. 14th and F Sts. NW — National Press Club “World Press Freedom Week” event: Alsu Kurmasheva, journalist for Radio Free Europe who was held in detention in Russia, delivers remarks on her detention in Russia, her return to reporting, and ongoing efforts to free the 10 VOA and RFE/RL and RFA journalists still imprisoned worldwide https://www.press.org/newsroom/world-press-freedom-week
2 p.m. Sedona, Arizona— McCain Institute Sedona Forum: “Wielding America’s Preeminent Power” https://www.mccaininstitute.org/resources/events/sedona-forum
MONDAY | MAY 5
9:30 a.m. G50 Dirksen — Senate Armed Services Committee hearing to consider the nominations of Anthony Tata to be undersecretary of defense for personnel and readiness; and Katherine Sutton to be assistant secretary of defense for cyber policy https://www.armed-services.senate.gov/hearings
11 a.m. 1000 Massachusetts Ave. NW — Cato Institute forum: “A Fork in the Road: The Stark Choices on U.S.-Iran Policy,” with Danny Citrinowicz, research fellow at Tel Aviv University’s Institute for National Security Studies; Gregory Brew, senior analyst on Iran and energy, Eurasia Group; Negar Mortazavi, senior fellow, Center for International Policy; and Jon Hoffman, Cato research fellow https://www.cato.org/events/fork-road-stark-choices-us-iran-policy
