In an effort to break the stalemate over the Donbas, the Trump administration has floated a “thought-provoking” proposal: the creation of a Free Economic Zone (FEZ). This plan aims to bypass the binary choice of “Ukrainian control vs. Russian control” by turning contested regions into neutral hubs of trade and international oversight. The U.S. hope is that by de-politicizing the land, both sides can find a face-saving way to stop the fighting.
President Zelensky has not rejected the idea outright but has added several non-negotiable conditions. He insists that any such zone must not be under Russian leadership, either “de jure or de facto.” Furthermore, he has proposed that the future of these territories be decided by the Ukrainian people through a national referendum. This adds a layer of democratic legitimacy—and political risk—to the proposal, as recent polls show 62% of Ukrainians oppose any territorial concessions.
For Russia, the FEZ is a harder sell. The Kremlin has suggested it might use its National Guard or police forces to “secure” such zones, a move that Ukraine interprets as a “creeping occupation.” Russia’s goal remains the full administrative and military integration of these regions into the Russian Federation. Moscow sees the FEZ not as a permanent solution, but perhaps only as a temporary stepping stone toward total control.
The logistics of an FEZ would be immensely complex. It would require a “multinational force” to manage borders and ensure that neither side uses the zone to regroup for future attacks. European nations have expressed a willingness to contribute to such a force, provided it has a clear mandate and U.S. logistical support. However, the Trump administration has already clarified that there will be “no U.S. boots on the ground,” leaving the burden of enforcement to the Europeans.
As the delegations head to Miami, the FEZ remains the most controversial and creative element of the peace plan. It represents the “90% progress” the U.S. claims to have made, but the remaining “10%”—who actually holds the keys to the zone—could be the spark that reignites the war if not handled with extreme diplomatic precision.