Zelenskyy Claims US Advocating for ‘Free Economic Zone’ in Eastern Ukraine

Zelenskyy Claims US Advocating for ‘Free Economic Zone’ in Eastern Ukraine

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Ukraine is facing growing diplomatic pressure as President Volodymyr Zelenskyy disclosed that the United States has proposed creating a “free economic zone” in parts of the Donetsk region currently under Ukrainian control. Zelenskyy stressed that any decisions related to territory or governance can only be made with the approval of the Ukrainian people.

Speaking on Thursday, the Ukrainian president confirmed that Kyiv has presented Washington with a 20-point counter-proposal as part of ongoing peace discussions. The proposals prioritise long-term security guarantees and make it clear that any potential territorial changes would require public approval through a referendum or elections.

Zelenskyy explained that the US proposal envisions Ukrainian forces withdrawing from certain areas of Donetsk, with the understanding that Russian troops would not move in. However, he questioned who would govern the territory under such an arrangement. While the US describes the proposal as an “economic free zone,” Russia refers to it as a “demilitarised zone,” a distinction Zelenskyy said highlights the uncertainty surrounding the plan.

He reiterated that Ukraine cannot accept unilateral concessions and questioned why any withdrawal should apply only to Ukrainian forces rather than both sides equally. According to Zelenskyy, security guarantees must be firmly established before any further steps can be considered.

The talks also involve discussions over the future of the Zaporizhzhia nuclear power plant, which remains under Russian control, as well as broader issues related to the Donbas region. High-level US officials, including Secretary of State Marco Rubio, Defense Secretary Pete Hegseth, and special envoy Steve Witkoff, participated in Thursday’s discussions.

International reactions have underscored growing concern over regional security. NATO Secretary General Mark Rutte warned that Russia could pose a direct military threat to the alliance within the next five years, calling for urgent increases in defence spending and production. Speaking in Berlin, he said the risk of conflict was no longer distant.

Meanwhile, Ukraine’s allies are exploring ways to use frozen Russian assets, estimated at around €200 billion, to support Kyiv. The European Commission is considering measures to keep the funds immobilised without requiring renewal every six months, though approval from EU finance ministers is still pending.

German Chancellor Friedrich Merz and NATO chief Rutte indicated that further consultations with the United States are expected soon, with the possibility of a broader international meeting on Ukraine next week. European officials believe progress toward a ceasefire may be closer than at any previous point, while maintaining that any territorial decisions must ultimately be approved by Ukraine itself.

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Syed Sadat Hussain Shah

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