Trump Revokes Chevron’s Operating Permit in Venezuela, Complicating Economic Recovery
President Trump has withdrawn Chevron’s permit to operate in Venezuela, criticizing Maduro for not meeting repatriation and electoral commitments. This unilateral action reverses Biden’s earlier concessions to Chevron amidst concerns about democracy and immigration. The situation poses severe risks to Venezuela’s oil sector, critical for its economy, drawing responses from both Chevron and Venezuelan officials.
On Wednesday, President Donald Trump announced the revocation of Chevron’s permit to operate in Venezuela, delivering a significant blow to the country’s already fragile economy under the leadership of President Nicolás Maduro. Trump attributed this decision to Maduro’s failure to meet commitments regarding the repatriation of deported Venezuelans, which he had promised during a prior visit from a US envoy, initially perceived as a step towards more pragmatic diplomatic engagement.
In contrast to Trump’s recent action, former President Joe Biden had eased sanctions in 2022, granting Chevron permission to resume operations in Venezuela, contingent upon Maduro’s pledges for fair elections. However, as it became evident that Maduro was undermining opposition forces, Biden reimposed most sanctions while maintaining Chevron’s concession to prevent drastic increases in oil prices in an election year.
Trump expressed his reversal of Biden’s concessions on his social media platform, emphasizing that Maduro had failed to establish fair electoral conditions. He highlighted that Maduro’s administration was not adhering to its agreement to swiftly return violent criminals to the United States, a key issue for his administration’s immigration policy.
Chevron, which had previously halted operations in Venezuela in 2018 due to earlier sanctions imposed by the Trump administration, had been instrumental in reviving the nation’s oil sector, which has significantly declined over the years. The American company was responsible for approximately 240,000 barrels of oil production per day, accounting for nearly one quarter of Venezuela’s total output.
Venezuelan Vice President Delcy Rodriguez criticized Trump’s decision, labeling it as damaging and perplexing, while warning of the adverse effects on migration — a concern that aligns with Trump’s priorities. She asserted that such actions ultimately harm the US and its interests.
In response to the news, Chevron spokesperson Bill Turenne indicated that the company is evaluating the implications of the decision while reaffirming that Chevron complies with all relevant laws and regulations, including US sanctions framework.
In conclusion, President Trump’s decision to revoke Chevron’s operating permit in Venezuela highlights a shift in US policy towards Maduro’s administration, emphasizing accountability regarding immigration and electoral integrity. This move could exacerbate Venezuela’s economic challenges and influence US oil markets, prompting concerns from both Venezuelan officials and Chevron. The ongoing dynamics between the US and Venezuela continue to evolve, with significant implications for both nations.
Original Source: business.inquirer.net
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