President Donald Trump said Monday that he will impose tariffs of 25% on any nation that purchases oil from Venezuela, CNN reported.
“Venezuela has been very hostile to the United States and the Freedoms which we espouse. Therefore, any Country that purchases Oil and/or Gas from Venezuela will be forced to pay a Tariff of 25% to the United States on any Trade they do with our Country,” Trump said in a post on Truth Social.
Trump claimed, without evidence, Venezuela has “purposefully and deceitfully” sent criminals, including violent individuals and members of gangs like Tren de Aragua, to the United States.
This news comes after reports that Trump is set to delay prior tariffs he announced, including charging 25% on imports of pharmaceuticals, cars and lumber. Those tariffs were set to go into effect on April 2, the same day Trump’s said he’ll announce a number of reciprocal tariffs on other nations — a day he refers to as “liberation day.” He pledged Monday to enact the 25% tariffs on countries purchasing oil from Venezuela on that same day.
Markets opened markedly higher on Monday and appeared unphased by Trump’s latest threats.
Venezuela was one of the top foreign suppliers of oil to the United States last year, according to Commerce Department trade data. In total, the United States bought $5.6 billion of oil and gas from there in 2024. This came after the Biden administration briefly lifted sanctions on Venezuelan oil in 2023. But they were reinstated in April 2024 after the Biden administration accused the country’s leader, Nicolás Maduro, of failing to hold free and fair elections.
But Venezuelan oil continues to make its way into the United States even after sanctions were reinstated, due to a joint-venture license Chevron was granted to pump oil there. That license was set to be revoked on April 3, however, after Trump met with Chevron CEO Mike Wirth and other oil executives last week. The Treasury Department announced on Monday it would be extended to May 27.
The initial revocation of the license was presented by the Trump administration in part as a form of punishment for Venezuela’s unwillingness to accept deported migrants, who were accused of being part of the notorious Tren de Aragua gang.
Venezuela has since reached an agreement to resume repatriation flights from the United States, receiving 200 deportees on Monday. Some relatives of deportees have told CNN that their family members were not involved in any criminal activity and there’s been very little evidence presented by the administration to dispel such claims.
Venezuelan oil is more important to China than any other country.
Venezuela produced 921,000 barrels of crude oil per day in 2024, according to data Lipow Oil Associates provided CNN.
Of that, 351,000 barrels per day were shipped to China last year, the top foreign destination for Venezuelan oil. Second behind China was the United States, which received 228,000 barrels per day.
Venezuela’s oil shipments trail far behind America’s top source, Canada, which exported 4.1 billion barrels to the United States.
It’s not yet clear if or how the United States would be impacted by the tariffs Trump threatened if it continues to purchase Venezuelan oil, even if it comes via Chevron. The White House did not respond to CNN’s request for comment.
“This announcement by the Trump administration appears to be one more action targeting China,” Matt Smith, lead oil analyst of the Americas at Belgian analytics provider Kpler, told CNN. Trump has already enacted 20% tariffs across all Chinese goods entering the United States, with steel and aluminum imports facing an additional 25% tariff.
Given Trump’s tariffs tend to be additive, if China continues to purchase Venezuelan oil, the 25% tariff he threatened on Monday would mean Chinese goods America imports will face a 45% tariff, and steel and aluminum will face a 70% tax.
