Bloomberg: Washington, Moscow could near deal to freeze Ukraine conflict

Washington and Moscow are reportedly working toward an agreement to halt the war in Ukraine by locking in Russia’s occupation of territories seized since its invasion began, sources familiar with the matter told Bloomberg.

US and Russian officials are negotiating territorial terms ahead of a potential summit between Presidents Donald Trump and Vladimir Putin as soon as next week. The US is also seeking approval from Ukraine and European allies, though the deal remains uncertain.

Putin demands that Ukraine cede the entire Donbas region along with Crimea, annexed by Russia in 2014. This would require Ukrainian President Volodymyr Zelenskyy to order a troop withdrawal from parts of Luhansk and Donetsk still controlled by Kyiv—effectively granting Russia a victory it has not won militarily since February 2022.

Under the proposed deal, Russia would halt its offensive in the Kherson and Zaporizhzhia regions along current front lines. However, it is unclear whether Moscow is willing to relinquish control over any occupied territories, including the Zaporizhzhia nuclear power plant, Europe’s largest.

The agreement aims to freeze the conflict and open the door to ceasefire and peace talks, contrasting with earlier US demands for an unconditional ceasefire before negotiations.

Putin has insisted his war goals remain unchanged: Kyiv must accept neutrality, abandon NATO ambitions, and recognize Russia’s control over Crimea and four eastern and southern regions.

Ukraine rejects ceding territory, citing its constitution, and does not recognize Russian annexation.

Regarding the summit, Putin said on August 7, “I didn’t object to meeting Zelenskyy under the right conditions, though they don’t exist now.” Trump, meanwhile, said he is ready to meet Putin even without Zelenskyy, stating, “I don’t like long waits. They would like to meet with me and I will do whatever I can to stop the killing.”

US Treasury yields and oil prices fell following the report. Ukraine bonds surged, and Hungary’s forint reached its highest level against the euro in nearly a year.

The White House and Kremlin declined to comment. Ukraine also did not respond to requests regarding the proposals.

By Sabina Mammadli