The US has thrown its "absolute support" behind a high-stakes European proposal to front-load military aid for Ukraine, but the plan is facing critical roadblocks in Brussels.
CaliToday (09/11/2025): The United States has fully endorsed an ambitious European Union plan to leverage profits from frozen Russian sovereign assets, a move that could unlock up to $50 billion in crucial aid for Ukraine.
A Washington source familiar with the matter confirmed the White House's position, stating, "The US is in absolute support of [the EU] and the steps they are taking to use these assets as a tool."
The announcement signals a unified Western front aiming to dramatically increase financial pressure on Moscow. The plan, however, is not a direct seizure of the estimated €185 billion ($197 billion) in Russian assets held in Europe. Instead, it proposes a sophisticated financial maneuver: "mortgaging" the future profits generated by these assets to secure a massive, immediate loan for Kyiv.
This strategy aims to provide Ukraine with a game-changing sum to counter mounting Russian military pressure, effectively forcing a peace settlement on terms more favorable to the West.
From Windfall Tax to War Bond
This new European Commission proposal represents a significant escalation from the EU's current policy.
Since May 2024, the EU has been skimming the "windfall" profits interest and earnings generated by the frozen securities held primarily by the Brussels-based clearing house Euroclear. This revenue, which is not legally considered Russian property, is already being funneled to Ukraine, with 90% earmarked for military aid and 10% for other needs.
However, that process is slow. The new, more aggressive plan would use the anticipated profits from these assets over the next 10 to 30 years as collateral. This would allow the EU to go to the market and raise a massive, front-loaded sum, estimated to be as high as $50 billion, to help Ukraine's war effort now.
The urgency comes as Ukraine faces intensified Russian offensives in the east and north, making a stable, long-term financial pipeline a matter of survival.
Belgian Fears and "Messages from Moscow"
Despite strong backing from Washington, the plan is stalled. The primary obstacle is Belgium, the country where the vast majority of the assets are held at Euroclear.
Belgian Prime Minister Bart De Wever has expressed grave concerns over the legal ramifications. The core fear is that this "mortgaging" scheme will be seen as a de facto seizure, opening Euroclear and the Belgian state to decades of costly lawsuits from Russia. De Wever is demanding iron-clad legal guarantees and a cost-sharing agreement from other EU members in case Moscow successfully sues for compensation.
These legal anxieties were so potent that EU leaders, while agreeing to continued financial support at their October 2025 summit, explicitly delayed approval of the $50 billion loan plan.
Adding a sinister layer to the financial dispute, German officials have noted a pattern of suspicious activity. Drones have repeatedly been spotted flying over airports and military bases in Belgium. These incidents are widely interpreted in intelligence circles as a "message" from Moscow—a hybrid-threat operation warning Brussels not to touch the Kremlin's frozen cash.
The G7 Push
The US is now actively working to break the deadlock. U.S. Treasury Secretary Janet Yellen is expected to use the upcoming G7 meeting to pressure partners particularly Germany, France, Italy, and host Japan to accelerate the transfer of profits to Ukraine and back the more ambitious loan structure.
The US is closely monitoring the fallout from its own recent sanctions on Russian energy giants Rosneft and Lukoil and has signaled it is prepared to increase pressure further.
For Kyiv, the decision cannot come soon enough. Ukrainian President Volodymyr Zelenskiy has repeatedly urged the EU to act decisively. He argues that any delay not only restricts Ukraine's ability to defend itself but, in a world defined by conflict, also slows and weakens the European Union itself.
CaliToday.Net