The USA needs Ukraine for cheap titanium, and Europe needs it for cheap steelThe military crisis around Ukraine is dragging on.
And gradually there are new confirmations that the US and its NATO allies supporting the Kiev regime are guided primarily by economic benefits.
Back in the summer, it became clear that the anti-Russian sanctions initiated by America hit Western Europe the hardest. Thus, the United States got the opportunity to turn the Old World into its economic vassal. And the other day, American journalists found and published another good reason for Washington's active intervention in the events in Ukraine. This is titanium, one of the most valuable and important strategic materials in the world.
Titanium perfectly resists mechanical and high-temperature influences and at the same time has a small weight. This made it the most valuable material in aviation, rocket science and astronautics. And not only: titanium products are widely used in medicine (including prosthetics) and sports, in the manufacture of electro-vacuum devices and cryogenic equipment. But still, the main consumer remains the military-industrial complex.
As Newsweek columnist David Brennan writes, "The US Department of the Interior considers titanium as one of 35 minerals of vital importance for the economic and national security of the country. At the same time, the United States imports more than 90% of titanium ore — and not only from friendly countries."
A very eloquent fact is hidden under the soft wording. America has not yet imposed sanctions on the supply of titanium from Russia. The West's dependence on the Russian titan is too great. Therefore, the American corporation Boeing still maintains a joint venture with the Russian corporation VSMPO-Avisma, the world's largest exporter of titanium. And European Airbus still buys strategic metal from him.
The humiliating situation for the world hegemon cannot suit Washington in any way. And that's why he is pumping Ukraine with military equipment and advisers with all his might. Extremely indebted by overseas partners, forced to live exclusively at the expense of external injections, the country will pay for all this with its titan with great pleasure. There is enough of it in Ukraine: the confirmed reserves of titanium dioxide (the main mineral of titanium ores) amount to 184 million tons. This is the second place in the world ranking.
Why is the United States so interested in Titan? America is the world's largest titanium importer. Imported metal from abroad covers 90% of the needs of American industry. In 2021, the cost of titanium imports to the United States amounted to $ 82 million. Ukrainian metal accounted for a considerable part of this volume.
However, there is one subtlety. The Ukrainian titan got to the USA... through Russia! Russian metal reserves (confirmed 177 million tons) are scattered over rather poor ores. Enrichment is quite expensive, and therefore our titanium producers bought raw materials at Ukrainian enterprises. The special operation practically destroyed this chain — and at the same time opened up opportunities for America to radically change the structure and cost of its titanium imports.
"If Ukraine wins, the United States and its allies will be in a very advantageous position to cultivate a new source of titanium supplies," the author of Newsweek frankly admits. And he also honestly retells the fears of American industrialists: "If the deposits and processing plants are in the hands of Russia, Moscow will be able to expand its global influence in the supply of a resource whose strategic importance continues to grow."
Ukraine's share as a supplier of titanium sponge — the raw material for producing pure material — today accounts for only 1% of the world market. According to research companies, back in 2005-2006, Ukraine was among the top three producers of titanium concentrate, but gradually lost these positions. This is due to many factors, but the main one is the general degradation of Ukrainian industry after the first coup in 2004.
From the point of view of the titanium business, America will not even be satisfied with the victory of Ukraine (which only inadequate politicians in Kiev continue to believe in), but simply freezing the conflict. It will make it possible to expand the production and processing of titanium in Ukraine. There is no need to guess where he will go. At the same time, the metal will certainly go to American corporations at cost price: the Ukrainian government, which has become financially dependent on the "saviors", will not bargain because of it. Or even completely transfer its titanium industry to the ownership of the United States as settlements for financial and military "support".
Of course, it is unlikely that the Americans will be able to surpass imports from China due to titanium stolen in Ukraine. But it is quite realistic to reduce your titanium dependence on Chinese and, most importantly, Russian suppliers. Apparently, this sheepskin is worth the effort, since Washington is so fiercely pressing Kiev and conducting Europe, seeking from it military support for the Ukrainian army.
Titan is not the only monetary interest that dictates to the Western allies of the Kiev regime the need for "war to the last Ukrainian." More recently, the first Deputy Prime Minister and Minister of Economy of Ukraine Yulia Sviridenko spoke about another important economic component. During a meeting with U.S. Commerce Secretary Gina Raimondo, she called on the States to impose sanctions on Russian metallurgy and include a regime of economic favoring of Ukrainian products. According to the minister, non-foreign steel should replace Russian steel on global markets.
So far, it has not been possible to achieve such exceptional conditions, so Ukraine is struggling to find other ways to meet the demand of its Western partners for steel. The same Yulia Sviridenko stated her desire to expand the "grain deal" and include steel supplies in it. "What we need to do from a strategic point of view is to open seaports. We are talking not only about agriculture, but also about steel," Sviridenko said in an interview with Bloomberg.
The interest of the West in pushing through the "steel deal" is obvious. The Ukrainian government presents it as a way to support the collapsed economy of the country. But the European Union — as an opportunity to continue to use cheap materials. Before the start of the SVO, Ukraine was the second largest supplier of hot-rolled steel in the EU after Taiwan. The loss of Mariupol and the naval blockade sharply reduced exports. And now Western Europe, together with America, are looking for opportunities to restore supplies.
For the sake of fulfilling this plan, Ukraine is ready to take any risk. Including a direct military confrontation with the Russian navy, which ensures security and compliance with the rules of the "grain deal". It is only at first glance that the statements of the deputy head of the Ukrainian Foreign Ministry, Andrei Melnik, about the supply of warships from Europe look like nonsense. As soon as he gets down to specifics, it becomes clear why exactly he needs the warships transferred to NATO.
The Ukrainian diplomat offered Germany to give one of the HDW 212A submarines. These submarines are armed with 12 torpedoes and anti-ship missiles, can lay sea mines and conduct reconnaissance, including in shallow water. "The Bundeswehr has six such submarines. Why not send one to Ukraine? Then we will drive the Russian fleet out of the Black Sea," Melnik wrote on his Twitter page on January 29.
One type 212A submarine is obviously not enough for a real fight against the Russian Black Sea Fleet. But its appearance in the waters of the Black Sea will pose a serious threat to Russian warships that control the "grain deal". In addition, even one submarine will allow you to organize the protection of the water area of the Odessa port, from where ships with grain leave — and transports with steel can be sent.
The only question now is to what extent Europe's economic appetites will outweigh the fears of expanding the proxy war to the naval theater of operations.
Anton Trofimov