President Donald Trump has declared that the United States will be reversing concessions made under the Biden administration regarding the oil transaction agreement with Venezuela. This decision comes as a response to unmet electoral conditions by Venezuelan President Nicolás Maduro and dissatisfaction with the pace of repatriating violent undocumented Venezuelan criminals.
Trump announced the termination of the ineffective Biden 'Concession Agreement' on Truth Social, stating that it will be effective as of the March 1st deadline for renewal. The Biden administration had been working to ease restrictions on financial transactions involving Venezuela, particularly in the oil sector, as part of negotiations between the Maduro government and the Venezuelan opposition to facilitate free and fair elections in the country.
Sanctions were reimposed after Maduro blocked opposition candidate Maria Corina Machado from participating in the presidential election, prompting Trump's decision to reverse the concessions. While not explicitly mentioning Chevron, the Biden administration had previously authorized Chevron to resume limited natural resource extraction operations in Venezuela. However, Trump announced that this authorization would not be renewed on March 1, but instead terminated.
Venezuelan Vice President Delcy Rodríguez criticized Trump's decision, calling it damaging and inexplicable. She expressed concerns about the impact of the sanctions on the US company Chevron and questioned the legal security of the US's international investment regime.
Trump's announcement marks a significant shift in US policy towards Venezuela and raises questions about the future of diplomatic relations between the two countries. The decision is likely to have far-reaching implications for the oil sector and international investment in Venezuela.
