Trump Ends Venezuela Oil Deal Over Maduro’s Failure To Take Back Illegal Migrants

President Donald Trump has revoked a key oil license that had allowed Chevron to continue operations in Venezuela, citing the Maduro regime’s failure to uphold its commitments on deportations. The decision marks a reversal of a policy introduced under Joe Biden that had given Venezuela economic relief despite U.S. sanctions.

Trump announced the decision on Truth Social, stating that his administration was “reversing the concessions” granted under a November 2022 oil transaction agreement as detailed here. The move directly affects Chevron, which was the primary beneficiary of Biden’s relaxation of oil sanctions on Venezuela.

The original deal had been tied to Venezuela’s promise to accept deported illegal migrants, including criminals from the notorious Tren de Aragua gang per this report. However, the administration has now determined that Venezuela has not met its obligations. Trump said the agreement was being revoked because deportations were not happening at the “rapid pace” that had been promised.

The economic impact was immediate. Reports showed that Venezuela’s oil bonds dropped after the announcement, signaling further instability in the country’s already fragile economy. Chevron, which had been operating in Venezuela for over a century, will now be required to end its operations by July.

Chevron had taken a cautious approach to its work in Venezuela, focusing primarily on infrastructure maintenance and debt recovery rather than major investments. Now, with the license revoked, all U.S.-backed oil operations in the country will come to a halt.

By shutting down the oil deal, Trump is making it clear that his administration will not reward countries unwilling to meet their commitments. His administration has made it clear that countries failing to comply with U.S. demands will not benefit from economic deals.

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