Sunday, 11 May 2025

President Trump Hits Venezuela with Large Oil Tariff

100 Percent Fed Up
Hits: 13

President Trump just dropped a 25% tariff on any country importing oil from Venezuela.

He says it’s time to cut off their President,Nicolas Maduro’s regime by cutting off global buyers.

Critics call it risky.

But it sounds like smart leverage to the rest of us.

Either way, the oil market is going to be a spot to watch in the coming weeks.

AP News reports:

President Donald Trump said Monday he would be placing a 25% tariff on all imports from any country that buys oil or gas from Venezuela as well as imposing new tariffs on the South American country itself.

In a Truth Social post, Trump said Venezuela has been “very hostile” to the U.S. and countries purchasing oil from it will be forced to pay the tariff on all their trade to the U.S. starting April 2.

The tariffs would most likely add to the taxes facing China, which in 2023 bought 68% of the oil exported by Venezuela, according to a 2024 analysis by the U.S. Energy Information Administration. Spain, India, Russia, Singapore and Vietnam are also among the countries receiving oil from Venezuela, the report shows.

But even the United States — despite its sanctions against Venezuela — buys oil from that country. In January, the United States imported 8.6 million barrels of oil from Venezuela, according to the Census Bureau, out of roughly 202 million barrels imported that month.

And on Monday, the Treasury Department issued an extension for U.S.-based Chevron Corp.’s lease to pump and export Venezuelan oil until May 27. The extension, known as a general license, exempts the country from economic sanctions and allows it to continue to pump oil.

In February, Trump had announced an end to the Chevron-Venezuela relationship, in what became a financial lifeline for the South American country.

Venezuelan President Nicolás Maduro responded by accusing the U.S. of violating international trade rules with an “arbitrary, illegal and desperate measure” designed to “undermine the development” of the South American nation.

Love that the president is freely using his power to use tariffs, a powerful move the liberals were hoping he would never touch.

Bloomberg adds:

Donald Trump threatened a 25% tariff on any nation purchasing oil and gas from Venezuela, ratcheting up his dispute with the country over immigration with a move that risks roiling the global energy trade. The potential measure would weigh particularly heavy on China—a major buyer of Venezuelan crude that’s already in the crosshairs for 20% levies. Keep track of the tariff web here.

Hyundai, meanwhile, is looking to get ahead of the trade war. The South Korean carmaker plans to spend about $21 billion in the US through 2028. It’s the latest foreign company to spotlight plans to ramp up US production as Trump enacts measures aimed at forcing manufacturers to create more American jobs. The president called the investment “a clear demonstration that tariffs very strongly work.”

More Asian auto news: BYD leapfrogged Tesla on revenue with sales surpassing the $100 billion mark for 2024 as it wowed consumers with a range of electric and hybrid cars packed with high-tech features. This year alone, BYD has unveiled a new ecosystem that allows EVs to charge for 400 kilometers in just five minutes. Beijing-based carmaker Xiaomi is said to be set to raise about $5.5 billion in an upsized share sale, capitalizing on a stock-price surge to help raise funds to expand in EVs.

This is a Guest Post from our friends over at WLTReport.

View the original article here.


Source link

Search