**Frozen Russian Assets Await Trump’s Decision**
The United States has around $4-5 billion of frozen Russian assets. President-elect Donald Trump will decide what to do with them when he takes office in January 2025.
Russia invaded Ukraine, and the West froze billions of dollars in Russian assets. The EU has about $220 billion, while the U.S. has a smaller amount. The West is divided on whether to confiscate these funds and give them to Ukraine.
The G7 decided to use some of the money to back loans for Ukraine’s reconstruction and defense needs. President Joe Biden signed a law in April that allowed the U.S. to confiscate frozen Russian assets for Ukraine’s help. Washington has not reported how many assets it has found yet.
Trump has not commented on this issue, but his unpredictability makes it hard to know what he will do. He could choose to mobilize the money and make Russia pay, or he might decide against it for fear of other countries pulling their assets out of the U.S.
**What Trump’s Decision Means**
If Trump confiscates the U.S.-based Russian assets, Europe might feel pressure to do the same. If Trump doesn’t take action or cuts funding for Ukraine, Europe may reconsider its position on sending money to Kyiv.
Experts believe it is unlikely that Trump would unfreeze the assets and give them back to Russia. While he has the power to suggest repealing the law, a decision like this needs to go through Congress. Many Republicans support confiscating these funds.
**Options for Trump**
Trump can decide how to use the frozen Russian assets. He could push Europe to join him in confiscation or leave the money alone if he thinks it might harm the U.S. dollar. One option is to target Russian state-owned companies, which might be easier than going after oligarch assets.
However, using these funds as a bargaining chip for negotiations with Russia could be seen as weak. Instead, Ukraine should convince its partners that liquidating the assets will help their needs, not just freeze them.
The law does not allow the assets to be used for defense purposes, but Europe could set aside some of the money to buy weapons from the U.S., satisfying Trump while boosting the American defense industry and creating jobs.