Ukraine $800 billion reconstruction deal stalled at Davos amid US-EU friction
A landmark $800 billion agreement for the post-war reconstruction of Ukraine has been postponed at the World Economic Forum. The delay follows escalating tensions between the United States and European capitals over President Donald Trump’s "Peace Council" initiative and his controversial stance on Greenland.
The economic development plan, intended to be a tripartite pact between Ukraine, Europe, and the U.S., will not be signed this week as originally scheduled. According to the Financial Times, citing senior officials, the diplomatic climate has soured significantly. "Nothing has been signed for now," a high-ranking official confirmed.
European leaders are reportedly unwilling to move forward with major dossiers while the Greenland dispute remains unresolved. One official noted that no European capital is currently prepared to participate in a "high-profile ceremony" alongside President Trump, as the recent friction has completely overshadowed the Ukrainian agenda in the Alps.
Broken negotiations and absent representatives
The tension disrupted critical negotiations between top security officials. Sources indicate that the U.S. delegation failed to send a representative to a key discussion scheduled for the evening of January 19.
"The atmosphere has shifted," a senior EU diplomat stated. "Trump has overstepped diplomatic boundaries, and we cannot pretend that it is business as usual." Despite the current deadlock, sources suggest the "prosperity plan" is not abandoned indefinitely but is likely to be revisited once diplomatic channels stabilize.
Zelenskyy remains in Kyiv
A scheduled meeting between Donald Trump and Ukrainian President Volodymyr Zelenskyy was also canceled. While the signing ceremony was a primary objective for the Davos summit, the Ukrainian leader remained in Kyiv to manage the domestic energy crisis following a massive Russian attack.
President Zelenskyy indicated he would only travel to Davos if the reconstruction documents were fully finalized and if concrete decisions regarding air defense systems and energy aid packages were secured. For now, the $800 billion recovery roadmap remains in a state of diplomatic limbo.
Translation by Iurie Tataru
