The Trump administration has announced new regulatory measures regarding China’s procurement of Venezuelan crude oil. A U.S. official, who requested anonymity, revealed on Thursday that while Chinese buyers are permitted to continue purchasing Venezuelan oil, these dealings must occur at fair market prices. This is a significant alteration from the discounted rates that Venezuelan President Nicolas Maduro had previously extended.
The official further clarified that despite Venezuelan oil’s global sales, the administration has stipulated a pivotal requirement: a substantial portion of the oil must be directed toward the United States. This policy comes on the heels of the U.S. government’s seizure of Venezuela’s oil resources on January 3 and the declaration that it will maintain indefinite oversight of Venezuela’s oil export activities.
In the words of the official, "Thanks to President Trump’s decisive and successful law enforcement operation, the people of Venezuela will collect a fair price for their oil from China and other nations rather than a corrupt, cheap price." This statement underscores the administration's aim to ensure Venezuela receives equitable compensation for its natural resources.
China has long held the position of Venezuela’s paramount oil purchaser, with extensive transactions facilitating Caracas’s repayment of significant loans extended by Beijing through debt-for-oil agreements. These recent terms mark a departure from prior arrangements, emphasizing market-driven prices and diversified sales channels.