Trump reverses Biden's oil concessions to Venezuela
2 Min Read
Trump's announcement comes amid allegations from anti-Maduro factions about unmet electoral conditions, though these claims remain unverified.
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This Nov. 30, 2006 file photo shows oil drills in Maracaibo Lake in Venezuela's oil-rich Zulia state (AP Photo/Leslie Mazoch, File)
US President Donald Trump announced Wednesday that he is reversing concessions granted to Venezuela by former President Joe Biden over two years ago, escalating Washington's pressure campaign against the Venezuelan government.
In a post on Truth Social, Trump declared he was "reversing the concessions" related to the "oil transaction agreement, dated November 26, 2022." On that date, the Biden administration had authorized Chevron to expand its oil production in Venezuela and bring Venezuelan crude to the United States. This decision was intended to ease some US sanctions on Venezuela, aiming to support dialogue between President Nicolás Maduro's government and opposition groups.
The previous agreement allowed Chevron to operate under strict conditions while maintaining control over its joint ventures in Venezuela. Analysts noted that the license was part of a pragmatic approach by the Biden administration to balance US energy needs with political negotiations in Venezuela.
Trump's announcement comes amid allegations from anti-Maduro factions about unmet electoral conditions, though these claims remain unverified. The timing of his decision suggests it directly targets Chevron's operations in Venezuela.
Read more: Maduro: Evidence of US role in assassination attempt revealed
The move is expected to have serious consequences for Venezuela's economy, which heavily relies on oil exports. The Biden-era license provided a crucial channel for Venezuelan crude to reach international markets, offering some relief amid US sanctions. With this reversal, the economic impact on the Venezuelan people is likely to worsen.
Venezuelan President Nicolás Maduro has consistently opposed US sanctions, denouncing them as illegal measures aimed at destabilizing Venezuela. Maduro has attributed the country's economic challenges to the devastating impact of the sanctions while praising the resilience of the Venezuelan people.
