Trump And The Return to Economic Colonialism: Coercive Diplomacy As A New Tool
US President Donald Trump. Photo Credit: POTUS, X
U.S. President Donald Trump, continuing his strong-arm tactics toward Europe and making territorial claims over the continent, has now set his sights on economically subjugating an independent European country. His demands for a share of Ukraine’s natural resources, along with his close ally Elon Musk’s use of coercive diplomacy and blackmail, signal that Trump’s America is willing to sacrifice any principle and revive old patterns of exploitation to maintain its dominance in what is now a new era of great power competition.
As the war in Ukraine rages on, leaving the country heavily reliant on military and financial aid from its Western allies—especially the U.S.—Washington has reportedly proposed an agreement to Kyiv that resembles extortion. The Trump administration has demanded that Ukraine hand over half of its revenue from natural resources, including oil, gas, minerals, and port infrastructure, in exchange for continued support. Moreover, the U.S. wants a 66% stake in resources from territories currently under Russian occupation if they are liberated. Meanwhile, Trump refuses to offer any concrete security guarantees to Ukraine or bolster its conventional deterrence against Russia.
The pressure doesn’t come from Trump alone. Elon Musk, a close ally, has reportedly threatened to cut off Ukraine’s access to Starlink services if Kyiv refuses to comply with the deal. This would cripple Ukraine’s critical military communications and disrupt essential civilian services, including businesses, hospitals, and humanitarian aid, putting the country under even greater strain.
Ukraine’s natural resources hold immense strategic value. The country possesses vast mineral reserves vital for advanced technologies, including electric vehicles and wind turbines, and are critical to national security for major powers. For example, Ukraine has some of the world’s largest deposits of graphite and lithium, essential for lithium-ion batteries, electronics, and stealth fighter jets. Additionally, rare earth elements and strategic metals like neodymium and gallium—crucial for defense industries and green energy—are abundant in Ukraine. With China dominating global supply chains for these materials, Western nations view Ukraine’s reserves as essential to countering Beijing’s economic influence.
Trump’s worldview revolves around great power competition, where the U.S. must use any means necessary to maintain its global dominance. In this perspective, sanctions, threats, extortion, military intervention, and even colonial-style resource exploitation are all seen as legitimate tools for securing America’s superiority. His interest in Ukraine’s mineral and energy wealth aligns with this broader strategy, particularly in countering China. Similarly, his previous interest in acquiring Greenland can be understood in this context, as its strategic location and resources would bolster U.S. power against both China and Russia.
The world is experiencing a resurgence of great power rivalry and neo-colonialism, but with one crucial difference: Europe is no longer a dominant force or a colonial power—it is now a target. Historically, Europe played a central role in shaping global policies and resource distribution. However, it is now caught in the crossfire of ruthless geopolitical competition from the U.S., China, and other rising powers. As America pursues aggressive bargaining, sanctions, and military threats to strengthen its position, Europe finds itself no longer leading the game but struggling to navigate its growing vulnerabilities in an increasingly brutal global contest.
Timothy Hopper
Timothy Hopper is an international relations graduate of American University.