President Trump is considering the extension of Chevron’s Venezuela license during discussions with oil executives, amidst plans to impose tariffs on nations buying Venezuelan oil, with concerns over China’s influence in the region.

President Donald Trump is contemplating the extension of Chevron’s sanction waiver for operations in Venezuela, as previously reported by the Wall Street Journal. This reconsideration arose during a meeting with oil and gas executives at the White House, where discussions included potential tariffs on nations purchasing Venezuelan oil, aimed at curbing China’s influence in the region.

Chevron has indicated concerns that, should it withdraw from Venezuela, China may fill the resulting void. This sentiment plays into President Trump’s skepticism regarding China’s ambitions in the Venezuelan oil sector. Trump previously criticized President Biden’s concessions made to Nicolás Maduro concerning oil transactions and political conditions in Venezuela, promoting a retraction of those agreements.

Presently, Chevron has been exporting approximately 240,000 barrels of Venezuelan crude oil daily, significantly contributing to the nation’s economy. This volume represents a quarter of Venezuela’s total oil production, generating approximately $6 billion in revenue. Additionally, Chevron had plans to elevate exports from its Petropiar operation by 50% this year, contingent on the favorable extension of its license by Trump.

In summary, President Trump is reviewing the possibility of extending Chevron’s waiver to operate in Venezuela, revision fueled by his administration’s discussions with oil executives. The potential economic repercussions of tariff implementations on Venezuelan oil purchases were also evaluated to combat China’s growing influence in the sector. Chevron’s vital role in Venezuela’s economy reaffirms the significance of these developments.

Original Source: oilprice.com