European delegates rejected a US proposal to transfer some of the approximately €260 billion in frozen Russian sovereign assets to a vehicle overseen by Washington. The plan, floated during recent peace negotiations, was deemed unacceptable by European officials who opposed surrendering control over the funds.

Proposal details and diplomatic context

The initiative was presented by US special envoy Steve Witkoff and Jared Kushner, President Donald Trump’s son-in-law, during meetings in Miami involving officials from Ukraine, France, Germany, the UK, the European Union, and NATO. According to reports, the mechanism would have involved unfreezing specific assets and placing them under US oversight as part of a comprehensive peace agreement framework.

A US official confirmed that the use of these assets was discussed within the broader context of ending the war in Ukraine. However, the official noted that mechanisms for releasing funds and determining their final use remained under consideration. The assets were immobilized in 2022 following Russia’s full-scale invasion, with the majority held within EU jurisdictions.

European opposition and Kremlin stance

European representatives firmly dismissed the concept. One source briefed on the discussions stated that delegates were told the proposal was "simply not going to happen." The resistance stems from legal and political concerns regarding the sovereignty of the funds and the precedent of transferring control to a non-EU entity.

In response to the ongoing asset freeze, Kremlin spokesperson Dmitry Peskov stated that Moscow would "make every possible effort to achieve the return of stolen assets," including pursuing legal proceedings against Western nations.

Broader peace negotiation challenges

This rejection occurs amidst stalled diplomatic efforts. President Trump recently claimed that Russia and Ukraine had agreed to an energy ceasefire, a assertion contradicted by Ukrainian President Volodymyr Zelenskyy, who reported continued Russian strikes on energy facilities. Trump has also called for new leadership in Ukraine, arguing that current negotiations have failed.

Witkoff previously reported "substantive progress" in trilateral talks, citing a three-day "no-shoot policy" agreed upon by both sides to facilitate discussions. However, the divergence on asset management highlights significant structural hurdles in reaching a durable settlement.

Russian Energy Minister Alexander Novak stated that Ukraine attacked two oil refineries in Russia today. The strikes targeted facilities in the Saratov region and the Ryazan region.

Novak asserted that Ukraine is not showing any signs of moving toward an energy truce. This development marks a continuation of hostilities affecting critical energy infrastructure within Russia.