Russia plays the "rare earth card" against the United States and calls for cooperation, will 2 million tons of aluminum break the tariff deadlock?

The Kremlin has stated that since Donald Trump took office, relations between Russia and the United States have begun to ease, and Russia is ready to cooperate with Washington to develop the rare earth elements needed in the United States. Dmitry Peskov, spokesman for Russian President Vladimir Putin, told reporters on Tuesday, "The United States needs rare earth metals, and we have plenty of them. This creates quite broad prospects for cooperation between the two sides." After Ukraine rejected the United States' proposal for a $500 billion fund, Russia proposed the idea of cooperation in mineral development, which is part of a broader agreement that stipulates Washington should get a share of Ukraine's mineral revenues. Trump has repeatedly stated that the United States is particularly interested in Ukraine's rare earth minerals, even though the country does not have internationally recognized economically viable large reserves. In an official media interview posted online on Monday night, Putin said, "We definitely have many more resources of this kind than Ukraine, and I would like to emphasize this." "Russia is unquestionably one of the leading holders of these rare metals and rare earth metal reserves," he added, saying that any agreement reached with the United States may include the mining of minerals in the Ukrainian regions occupied by Russia. According to the US Geological Survey, Russia has one of the world's largest reserves of rare earth metals, but the country's production lags behind. Putin urged the government on Monday to accelerate mineral development. Putin also said that if import restrictions are lifted, Russia will supply 2 million tons of aluminum to the United States, and suggested that Russian companies could consider setting up a joint venture in the Krasnoyarsk region of Siberia to produce this lightweight metal. Putin did not disclose more details. This proposal came two weeks after Trump ordered a 25% tariff on all US aluminum imports. The country is the second largest aluminum producer in the world after China. Russia used to be a major supplier of aluminum to the United States, but its aluminum supply to the US has basically stopped since the US imposed a 200% tariff on Russian aluminum in 2023. Even before that, Russia's aluminum supply to the US in recent years has not exceeded 1 million tons.