President Trump has revoked oil concessions to Venezuela granted by Biden, citing non-compliance by Maduro’s government. The decision affects Chevron’s operations and reflects a significant shift in U.S. policy. Venezuelan officials criticized the move, predicting negative economic outcomes, while experts await further rulings from the U.S. Treasury Department. Trump emphasizes electoral cooperation as essential for reinstating agreements.
In a recent announcement from Washington D.C., President Donald Trump has rescinded the oil concessions that were previously granted to Venezuela by former President Joseph Biden. This decision arises from Venezuela’s alleged non-compliance with specified electoral conditions and the failure to cooperate regarding the deportation of “violent criminals.” The move significantly impacts operations for Chevron in Venezuela, which were sanctioned by Biden in 2022.
Trump has criticized the Chavista government of President Nicolás Maduro, asserting that the administration has failed to meet established criteria and neglected to facilitate the repatriation of Venezuelan migrants. On his social media platform, Truth Social, he stated, “therefore, I order that the ineffective and unfulfilled Biden Concession Agreement be rescinded as of the March 1 renewal option”.
The U.S. government does not acknowledge Maduro’s victory in the 2025-2031 elections and endorses Edmundo González Urrutia, a figure in exile, who claims to have won the upcoming July 28, 2024, elections. Urrutia was present during Trump’s inauguration on January 20.
Delcy Rodríguez, the Executive Vice President of Venezuela, expressed her disapproval of Trump’s actions, labeling them as “harmful and inexplicable,” because of potential adverse effects on the country’s economy, income streams, and currency values. She firmly rejected the requested measures from the opposition, quoting Uruguayan independence leader José Gervasio Artigas: “Let us expect nothing but from ourselves.”
Experts are now anticipating a decision from the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) before the March 1 deadline. Earlier in the year, President Biden reinstated most sanctions on Venezuelan oil in April 2024 after Maduro failed to honor his electoral commitments, although individual licenses for certain companies, such as Chevron, Repsol, and Maurel & Prom, were maintained.
Earlier this year, the Trump administration dispatched Richard Grenell to Caracas, where he successfully secured the release of six U.S. nationals previously detained by the Venezuelan government. Furthermore, Washington claims that Grenell obtained assurances that expelled Venezuelan migrants would be allowed to return home.
This recent revocation of oil concessions by President Trump marks a significant departure from the policies of his predecessor, Joseph Biden, linking Venezuela’s compliance with electoral standards to concessions. The geopolitical implications of this decision are profound, particularly for Chevron and the Venezuelan economy, which may face severe repercussions. As the situation evolves, expertise will be critical in assessing the future landscape of U.S.-Venezuela relations.
Original Source: en.mercopress.com
