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U.S., Ukraine reach consensus on key issues, but territorial disputes unresolved

Posted By: Hari Ram Posted On: Dec 25, 2025Share Article
U.S., Ukraine reach consensus on key issues, but territorial disputes unresolved
Ukraine's President Volodymyr Zelenskyy. File. | Photo Credit: AP

U.S., Ukraine reach consensus on key issues, but territorial disputes unresolved

The United States and Ukraine have reached a consensus on several critical issues aimed at bringing an end to the nearly four-year conflict, but sensitive issues around territorial control in Ukraine's eastern industrial heartland, along with the management of the Zaporizhzhia nuclear power plant, remain unresolved, Ukraine's President said.

Volodymyr Zelenskyy spoke as the U.S. showed the 20-point plan, hammered out after marathon talks in Florida in recent days, to Russian negotiators. A response is expected from Moscow on Wednesday (December 24, 2025), Mr. Zelenskyy said.

The Ukrainian President briefed journalists on each point of the plan on Tuesday. His comments were embargoed until Wednesday morning. The draft proposal, which reflects Ukraine's wishes, intertwines political and commercial interests to safeguard security while boosting economic potential.

At the heart of the negotiations lies the contentious territorial dispute concerning the Donetsk and Luhansk regions, known as the Donbas. This is “the most difficult point,” Mr. Zelenskyy said. He said these matters will be discussed at the leaders' level.

Russia continues to assert maximalist demands, insisting that Ukraine relinquish the remaining territory in Donbas that it has not captured — an ultimatum that Ukraine has rejected. Russia has captured most of Luhansk and about 70% of Donetsk.

In a bid to facilitate compromise, the United States has proposed transforming these areas into free economic zones. Ukraine insists that any arrangement must be contingent upon a referendum, allowing the Ukrainian people to determine their own fate. Ukraine is demanding the demilitarisation of the area and the presence of an international force to ensure stability, Mr. Zelenskyy said.

How the Zaporizhzhia nuclear power plant, the largest plant in Europe, which is under Russian occupation, will be managed is another contentious issue. The US is proposing a consortium with Ukraine and Russia, with each party having an equal stake in the enterprise.

But Mr. Zelenskyy countered with a joint venture proposal between the US and Ukraine, in which the Americans are able to decide how to distribute their share, presuming it would go to Russia.

“We did not reach a consensus with the American side on the territory of the Donetsk region and on the ZNPP,” Mr. Zelenskyy said, referring to the power plant in Zaporizhzhia. “But we have significantly brought most of the positions closer together. In principle, all other consents in this agreement have been found between them and us.”

Point 14, which covers territories that cut across the eastern front line, and Point 12, which discusses management of the Zaporizhzhia plant, will likely be major sticking points in the talks.

Mr. Zelenskyy said: “We are in a situation where the Russians want us to leave the Donetsk region, and the Americans are trying to find a way so that it is not a way out' — because we are against leaving — they want to find a demilitarized zone or a free economic zone in this, that is, a format that can provide for the views of both sides.” The draft states that the contact line, which cuts across five Ukrainian regions, should be frozen once the agreement is signed.

Ukraine's stance is that any attempt to create a free economic zone must be ratified by a referendum, affirming that the Ukrainian people ultimately hold the decision-making power, Mr. Zelenskyy said. This process will require 60 days, he added, during which time hostilities should stop to allow the process to happen.

More difficult discussions would require hammering out how far troops would be required to move back, per Ukraine's proposal, and where international forces would be stationed. Mr. Zelenskyy said, “People can choose: this ending suits us or not,” he said.

The draft also proposes that Russian forces withdraw from Dnipropetrovsk, Mykolaiv, Sumy, and Kharkiv regions, and that international forces be located along the contact line to monitor the implementation of the agreement.

“Since there is no faith in the Russians, and they have repeatedly broken their promises, today's contact line is turning into a line of a de facto free economic zone, and international forces should be there to guarantee that no one will enter there under any guise — neither little green men nor Russian military disguised as civilians,” Mr. Zelenskyy said.

Ukraine is also proposing that the occupied city of Enerhodar, which is connected to the Zaporizhzhia power plant, be a demilitarised free economic zone, Mr. Zelenskyy said. This point required 15 hours of discussions with the US, he said.

For now, the US proposes that the plant be jointly operated by Ukraine, the US and Russia, with each side receiving dividends from the enterprise.

“The USA is offering 33 per cent for 33 per cent for 33 per cent, and the Americans are the main manager of this joint venture,” he said. “It is clear that for Ukraine, this sounds very unsuccessful and not entirely realistic. How can you have joint commerce with the Russians after everything?” Ukraine offered an alternative proposal, that the plant be operated by a joint venture with the US, in which the Americans can determine independently how to distribute their 50 per cent share.

Mr. Zelenskyy said billions in investments are needed to make the plant run again, including restoring the adjacent dam.

“There were about 15 hours of conversations about the plant. These are all very complex things.”

The document ensures that Ukraine will be provided with “strong” security guarantees that mirror NATO's Article 5, which would obligate Ukraine's partners to act in the event of renewed Russian aggression.

Mr. Zelenskyy said that a separate bilateral document with the US will outline these guarantees. This agreement will detail the conditions under which security will be provided, particularly in the event of a renewed Russian assault, and will establish a mechanism to monitor the ceasefire.

This mechanism will utilise satellite technology and early warning systems to ensure effective oversight and rapid response capabilities.

“The mood of the United States of America is that this is an unprecedented step towards Ukraine on their part. They believe that they are giving strong security guarantees,” he said.

The draft contains other elements, including keeping Ukraine's army at 800,000 during peacetime, and by nailing down a specific date for ascension to the European Union.

The document proposes accelerating a free trade agreement between Ukraine and the US once the agreement is signed. The US wants the same deal with Russia, said Mr. Zelenskyy.

Ukraine would like to receive short-term privileged access to the European market and a robust global development package that will cover a wide range of economic interests, including a development fund to invest in industries such as technology, data centres, and artificial intelligence, as well as gas.

Also included are funds for the reconstruction of territories destroyed in the war.

“Ukraine will have the opportunity to determine the priorities for distributing its share of funds in the territories under its control. And this is a very important point, on which we spent a lot of time,” Mr. Zelenskyy said.

The goal will be to attract USD 800 billion through equity, grants, loans and private sector contributions.

The draft proposal also requires Ukraine to hold elections after the signing of the agreement. “This is the partners' vision,” Mr. Zelenskyy said.

Ukraine is also asking that all prisoners since 2014 be released at once, and that civilian detainees, political prisoners and children be returned to Ukraine.

Published - December 24, 2025 03:21 pm IST

Russia-Ukraine Crisis / Ukraine

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