summary
President Trump announces deal to import up to 50 million barrels of oil; Venezuela’s main buyer China accuses US of ‘bullying’; oil prices fall as expected supply increases; allies of detained President Maduro retain power in Venezuela; opposition leader Machado’s election hopes on hold for now
(Reuters) – Global oil prices fell on Wednesday after President Donald Trump’s administration said it had persuaded Venezuela to divert supplies from China and import up to $2 billion worth of sanctioned crude oil, with China accusing the United States of being a bully.
The deal was in line with President Trump’s stated goal of taking control of the South American OPEC member’s vast oil reserves after ousting Nicolás Maduro, the leader he had long turned into a drug-trafficking dictator in league with Washington’s enemies.
In Venezuela, President Maduro’s Socialist Party allies remain in power, and interim President Delcy Rodríguez is walking a fine line between condemning Maduro’s “kidnappings” and opening cooperation with the United States under explicit threats from President Trump.
President Trump: ‘I’ll manage’ the oil money
He said up to 50 million barrels of oil held up in Venezuela under the U.S. blockade would be refined and sold, a first step in a plan to revive the sector, which has long been in decline despite having the world’s largest reserves.
“This oil will be sold at market price and managed by me, the President of the United States, to ensure that the funds are used for the benefit of the people of Venezuela and the United States,” Trump posted on Tuesday.
Officials with state oil company PDVSA told Reuters that negotiations on an export deal were making progress, although the Venezuelan government had not made any official announcements.
Crude oil prices fell by about 1.0% in the global market as supply is expected to increase.
The deal could initially require rerouting cargo bound for China, Venezuela’s biggest buyer, as Caracas seeks to unload millions of barrels stuck in tankers and warehouses.
“The United States’ brazen use of force against Venezuela and its demand for ‘America First’ in disposing of its oil resources are typical acts of bullying,” Chinese Foreign Ministry spokesperson Mao Ning said at a press conference.
“These actions violate serious international laws, seriously violate Venezuela’s sovereignty, and seriously undermine the rights of the Venezuelan people.”
Beijing imported 389,000 barrels a day of Venezuelan crude in 2025, about 4% of its seaborne oil imports, traders said, but could become increasingly reliant on Iran and Russia.
China, Russia and Venezuela’s leftist allies have all condemned the US raid to capture Maduro. This is the largest US intervention in Latin America since the 1989 invasion of Panama to overthrow Manuel Noriega.
U.S. allies are also deeply alarmed by President Trump’s unusual precedent for seizing foreign heads of state, having repeatedly threatened to take further action to advance U.S. interests from Mexico to Greenland.
Dozens killed during Maduro occupation
The story of how U.S. special forces swooped into Caracas in helicopters in the dark on Saturday, broke through President Maduro’s cordon and detained him at the entrance to a security room, with no loss of American life, is still sketchy.
Venezuela has not confirmed its total losses, but its military released a list of 23 dead, and its ally Cuba said 32 military and intelligence personnel were killed.
Maduro, 63, who has ruled Venezuela since the death of his predecessor and leader Hugo Chávez in 2013, pleaded not guilty to drug charges in a Manhattan courtroom on Monday, wearing shackles around his ankles and wearing an orange and beige prison uniform.
Trump appears to have calculated that stability in Venezuela is better served by working with Maduro’s senior allies for now. He has stressed that his priority is to revive the oil sector with the support of American companies, rather than the release of political prisoners or a new vote for a democratic transition.
Venezuelan opposition left waiting
María Colina Machado, a leading figure in Venezuela’s anti-Maduro faction who left the country in disguise to receive the Nobel Peace Prize in October, wants to return home where anti-Maduro factions say they can easily win free votes.
But she is also careful not to antagonize Trump, saying she would like to personally present him with the Nobel Prize he coveted and dedicated to him at the time. She supports President Trump’s desire to make Venezuela a key ally and an energy hub for the Americas.
Machado’s ally Edmundo Gonzalez, who has been banned from running in the 2024 election, won a landslide victory, according to opposition parties, the United States and various election observers.
The United States has been working with Mr. Rodriguez and other Venezuelan government officials to warn them that they must cooperate or risk sharing their fate with Mr. Maduro.
Diosdado Cabello, the hardline interior minister who oversees the security forces accused of widespread rights abuses, is under particular scrutiny, officials told Reuters.
The United States is also keeping a close eye on Defense Minister Vladimir Padrino, who, like Cabello, has been indicted on U.S. drug trafficking charges and has a multimillion-dollar bounty on his head.
Mr. Rodriguez himself is under U.S. sanctions, and foreign financial assets have been identified as potential leverage, according to a person briefed on the administration’s thinking.
The United States is also pressuring Venezuela to expel official advisers from China, Russia, Cuba and Iran, the New York Times reported.
Russia has sent submarines and other vessels to escort an empty, aging oil tanker that was trying to evade a U.S. blockade near Venezuela, the Wall Street Journal reported.
Reporting from Reuters bureaus around the world. Written by Andrew Cawthorn. Editing: Ross Russell
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