Even under fire, Ukraine is ramping up its arms industry. President Volodymyr Zelensky says the country now produces more than 50% of the weapons it uses on the front line. Almost its entire inventory of long-range weapons is domestically made.

The European Commission has proposed that the leaders use some of the frozen assets — totaling 210 billion euros ($246 billion) — to underwrite a 90 billion-euro ($105 billion) “reparations loan” to Ukraine. The U.K., Canada and Norway would fill the gap.

Russian Deputy Foreign Minister Sergey Ryabkov told ABC News during an exclusive interview in Moscow on Monday that he believes the warring parties are close to a deal.

President Donald Trump has directed U.S. officials to help to facilitate a “lasting and durable peace" between Ukraine and Russia, with a "very, very strong" package being presented.

Kyiv has now expressed readiness to drop its bid to join the NATO military alliance if the U.S. and other Western nations give it similar security guarantees.

Ukrainian drones attacked Lukoil PJSC’s Grayfer field in the Caspian Sea, damaging an offshore gas platform, according to Ukraine’s General Staff.

Ukraine controls nearly 90% of the strategic northeastern town of Kupiansk, its military chief said on Wednesday, but Russia's defence minister said a Ukrainian counter-attack on the town had been unsuccessful.

The latest proposal is designed to deter future Russian aggression. But Russia is not part of the talks and has shown little willingness to negotiate.