Donald Trump cancels oil deal with Venezuela and ends Chevron operations

US President Donald Trump announced the cancellation of the oil agreement with Venezuela , signed in November 2022 during the administration of Joe Biden. The measure directly affects Chevron , the only US oil company operating in the Caribbean country, and brings forward the cessation of activities of the company, which had permission to work until July of this year.

Donald Trump announced the decision through his Truth Social platform, where he claimed that Nicolás Maduro 's regime did not respect the electoral agreements linked to the oil license. "We are reversing the concessions that the corrupt Joe Biden gave to Maduro , which were also related to electoral conditions that have not been met," said the Republican.

The president also argued that Venezuela has not made progress in deporting violent criminals who have entered the US and that, in light of this situation, he ordered the immediate revocation of the agreement.

Senator Maria Elvira Salazar welcomed the decision

No more US dollars for the repressive apparatus of dictator Maduro. Promise made, promise kept. Thank you, President Trump! pic.twitter.com/CZXiErIl56

— María Elvira Salazar ?? (@MaElviraSalazar) February 26, 2025

Vice President Delcy Rodríguez rejected the measure, calling it “harmful and inexplicable.” Through her Telegram account, she stated that the decision not only affects Venezuela, but also the United States’ own economic interests. “We categorically reject this type of action,” the official said.

Vice President Delcy Rodríguez responds to Donald Trump for his "harmful and inexplicable" decision to announce sanctions against the American company Chevron that operates in Venezuela. #ChavismoUnidoPaLoQueSalga #ComandoHugoChávez pic.twitter.com/eSIVb1axxw

— #Elayari2 (@YriadS) February 26, 2025

In 2022, the Biden administration granted Chevron a six-month license to resume its activities in Venezuela following sanctions imposed in 2019. Through a license from the Treasury Department, the oil company was allowed to produce crude oil, without new drilling, and to perform maintenance on the oil fields.

Thanks to this measure, Venezuelan oil production reached more than one million barrels per day in February 2025, according to the Organization of Petroleum Exporting Countries (OPEC). Chevron 's withdrawal represents a significant economic setback for the country, which had achieved some recovery in its oil industry.

Chevron, in partnership with PDVSA , has reached production of more than 200,000 barrels per day in 2024, according to the US Congressional Research Service. However, the company had avoided committing new capital due to uncertainty over the validity of the permit granted by Biden.

Now, the cancellation of the agreement could lead to a drop in oil production and affect Venezuelan exports. The industry will increasingly depend on agreements with other countries, such as China and Russia, to sustain its economy.

In recent days, Trump had hinted at his intention to revoke the license. In various statements, he criticized Biden's agreement and claimed that Venezuela was benefiting from billions of dollars thanks to Chevron's operation. In addition, Secretary of State Marco Rubio joined in these criticisms, describing the license as a key source of funding for Maduro 's government.

USA??WHITE HOUSE @realDonaldTrump WILL ORDER OFAC TO REVOKE CHEVRON'S LICENSEDonald Trump announces that NO

will allow the United States to buy oil from Nicolás Maduro. pic.twitter.com/oJwes4vtaN