Venezuela makes major decision: stop sending oil to China, start shipping up to $2 billion worth directly to United States. This completely changes Venezuela’s biggest customer from China (main buyer last 10 years) to America.
Deal happens right after US military captured Venezuela’s former leader Nicolas Maduro and wife last Saturday. Now Venezuela’s temporary leader Delcy Rodriguez agrees to American terms.
Why Venezuela needs this deal
Venezuela has millions of barrels of oil ready on ships and in storage tanks. Can’t sell anywhere because President Trump put strict sanctions (trading bans) starting mid-December 2025.
China was only reliable buyer after 2020 US sanctions blocked other customers. Now those China-bound oil cargoes get redirected straight to American ports instead.
Trump’s personal control plan
President Trump announced Venezuela delivers 30-50 million barrels of “high-quality oil under sanctions” to USA. Most important part: Trump personally controls all money from oil sales.
“This oil sells at market prices. Money controlled by me, President of United States, ensuring benefits Venezuelan and American people!” Trump wrote on Truth Social Tuesday.
Oil industry expert told Reuters: “Trump wants this fast to claim big victory.” Venezuela avoids cutting oil production further thanks to new American market.
Chevron in control
American oil giant Chevron gets full responsibility managing all oil flow from Venezuela to USA. Chevron already ships 100,000-150,000 barrels daily; only company operating continuously recently.
US Energy Secretary Chris Wright handles deal execution. Oil moves directly from Venezuelan tankers to American ports, no more waiting in limbo.
Money problems still exist
Venezuela’s state oil company PDVSA can’t use normal banks, accounts are frozen worldwide. Can’t do dollar transactions due to US sanctions blocking global financial system access.
USA and Venezuela discuss solutions this week:
- Oil auctions: American companies bid to buy Venezuelan oil
- Special licenses: Let PDVSA partners access oil for refining/sale
- Strategic Reserve: Could Venezuelan oil fill America’s emergency oil storage?
Past licenses helped companies get Venezuelan oil legally. Some already prepare receiving new cargoes.
Venezuela remains highly dependent on oil revenues, and the agreement to supply crude to the United States gives President Trump access to relatively inexpensive oil while also providing a political achievement that underscores U.S. influence in the region.
Source: Philenews
Also read: Trump: Venezuela will deliver 50M oil barrels to the U.S.
For more videos and updates, check out our YouTube channel.
