Trump Ends Oil Export Permit to Venezuela, Cutting Financial Support

President Trump announced the cancellation of a permit allowing Chevron to export Venezuelan oil, ending a financial lifeline for Maduro’s government. This decision was made due to concerns over democratic violations during Venezuela’s elections and immigration issues. Trump’s action reverses concessions made by the Biden administration in 2022, reflecting continuing political tensions between the U.S. and Venezuela.

President Donald Trump announced the termination of a permit previously issued by the United States, allowing Chevron Corp. to pump and export Venezuelan oil. This move effectively cuts off a crucial financial lifeline for the Venezuelan government. Trump criticized President Nicolás Maduro’s administration for failing to meet democratic standards during the 2023 presidential election and for delays in repatriating immigrants scheduled for deportation.

In a post on Truth Social, Trump stated, “We are hereby reversing the concessions that Crooked Joe Biden gave to Nicolás Maduro, of Venezuela, on the oil transaction agreement.” Although Trump did not mention Chevron or the specifics of the permit, it aligns with the timeframe he described.

The permit, formally known as a general license, exempted Chevron from economic sanctions, permitting the company to engage in Venezuelan oil exports to the U.S. President Biden’s administration had authorized this license in 2022, following an agreement with Maduro to engage constructively with Venezuela’s political opposition. However, the elections conducted in 2024 were widely criticized for their lack of fairness and transparency.

Chevron acknowledged awareness of the announcement, with spokesperson Bill Turenne stating, “Chevron conducts its business in Venezuela in compliance with all laws and regulations, including the sanctions framework provided by U.S. government.” The Venezuelan government has yet to respond to Trump’s declaration, which could signify increased economic pressure on Maduro’s regime.

Venezuela, which holds the largest proven oil reserves globally, once maintained a robust economy powered by its oil production. Nonetheless, due to years of corruption, mismanagement, and the impact of U.S. economic sanctions, the country has witnessed a severe decline in production levels.

The termination of the oil export permit to Chevron by President Trump represents a significant shift in U.S. policy toward Venezuela, aimed at exerting further economic pressure on the Maduro government. Following concerns over the legitimacy of recent elections, this decision underscores ongoing tensions between U.S. leadership and Venezuela’s ruling administration, with potential ramifications for both nations’ economies.

Original Source: apnews.com