The Trump administration has officially shut down a Biden-era oil deal with Venezuela, citing the Maduro regime’s failure to take back illegal migrants at the agreed-upon pace. The move effectively ends a two-year arrangement that allowed Chevron to extract and sell Venezuelan oil despite U.S. sanctions.
Trump made the announcement on Truth Social, reversing what he described as Biden’s misguided concessions to Venezuela. The now-canceled license was issued on November 26, 2022, and was originally intended to pressure the Maduro government into accepting deported Venezuelans and committing to electoral reforms.
🚨🇺🇸🇻🇪 | HUGE NEWS FOR VENEZUELA: President Trump is officially reversing Biden’s disastrous oil concessions to the Maduro regime, effective March 1st. This was one of the biggest lifelines keeping the dictatorship afloat, and it’s finally being cut off.
For years, Venezuelans… pic.twitter.com/rzmLaCuenJ
— Rafael E. Struve (@RafaelEStruve) February 26, 2025
The deportation deal, announced last year, required Venezuela to repatriate tens of thousands of its citizens who had entered the U.S. illegally, including members of the Tren de Aragua gang. However, Trump stated that the country had not been sending back “violent criminals” quickly enough, prompting the U.S. to take action.
Six Americans who were being held hostage in Venezuela and were freed Friday night call President Trump on the plane ride home. pic.twitter.com/OVBPX2ss36
— Defiant L’s (@DefiantLs) February 1, 2025
Chevron, which has operated in Venezuela for over a century, was the only beneficiary of the 2022 oil transaction license. The company had not heavily invested in the country under Biden’s deal but had instead focused on recovering outstanding debts while performing maintenance on existing oil infrastructure.
Molotov es tan pero tan imbecil que cree que una acción armada se debe decir en medios y así poder alertar a los malos…..
Hace menos de 24 horas la gente ni se imaginaba que Trump iba a volver a sancionar a Venezuela,así que debemos estar conscientes que Trump es imprescindible https://t.co/w6oqk7M6oC
— GABO⚔️الحلبي (@Abujirji) February 27, 2025
Financial markets reacted quickly to the decision. Bloomberg reported that Venezuelan state oil bonds dropped to their lowest levels of the day after Trump’s announcement. The country’s already struggling economy is expected to take a major hit as a result of the revocation.
