U.S. President Donald Trump asserted that Venezuela will become the United States’ main trading partner, with the obligation to purchase products manufactured on U.S. soil using the proceeds from a new oil agreement, according to posts on his social media platform Truth Social and various international media outlets.
What did Trump say about trade between the U.S. and Venezuela?
Trump posted on Truth Social that Venezuela will exclusively buy U.S. products with the money it earns from selling oil to U.S. companies and markets. The purchases will include agricultural products, medicines, medical devices, and equipment manufactured in the U.S.
The president stated that this decision is “a wise choice and highly beneficial for the Venezuelan and American people.” Furthermore, he emphasized that this agreement positions the United States as Venezuela’s most important trading partner in the short term.
What do the new trade rules imply for Venezuela?
According to Trump and recent official statements:
- Venezuela must buy U.S. products with the oil revenues it earns.
- This measure establishes the United States as Venezuela’s main trading partner.
- The White House claims it has maximum influence over Delcy Rodríguez’s interim government and has already begun selling the seized Venezuelan crude oil.
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Products that Venezuela will have to acquire in the U.S.
The purchases that, according to Trump, Venezuela will make include:
- U.S. agricultural products
- Medications and medical devices
- Industrial equipment and technology
- Materials to improve the country’s electrical and energy grid
Venezuela will deliver millions of barrels of oil to the U.S.
As part of this trade agreement, Trump said that Venezuela will deliver between 30 and 50 million barrels of oil to the United States, and that the proceeds from its sale will be controlled by U.S. authorities to ensure they are used for the benefit of both countries.
The president detailed that this oil will be transported and sold in U.S. ports, and that its sale will strengthen the economic relationship between the two countries.
Venezuela’s business context before the announcement
Before these new measures, Venezuela’s main trading partners were the United States, China, Spain, Brazil, and Turkey, with exports primarily of crude oil, petroleum coke, fertilizers, and other natural resources.
Until 2018, the United States was the main destination for Venezuelan exports, but in 2019 China surpassed the U.S. as its largest trading partner, with over $6 billion in bilateral trade.
