The recent decision by President Donald Trump to cancel the licenses that allowed the export of Venezuelan oil to the United States, effective March 1, 2025, will have a significant impact on the Venezuelan economy.

Impact on the Venezuelan economy:

• Reduction of oil revenues: The export of oil to the United States, primarily facilitated through Chevron, represented a crucial source of foreign currency for Venezuela. The suspension of these licenses implies an immediate decrease in national income, affecting the government's ability to finance social programs and maintain economic stability.

• Decrease in oil production: Collaboration with companies like Chevron not only allowed for exports but also for the maintenance and development of Venezuelan oil infrastructure. Without the participation of these companies, production is likely to decline due to a lack of investment and technology.

• Shortage of foreign currency: Oil sales are the main source of foreign currency for Venezuela. With the reduction in exports, the country will face a limited availability of foreign currency, which may hinder the import of essential goods and exacerbate inflation.

Reactions and political context:

• Justification of the measure: President Trump argued that the cancellation is due to "irregularities in the past Venezuelan elections" and the "alleged slowness of Caracas to meet the agreed commitments" related to the repatriation of irregular migrants.

• Response from the Venezuelan government: Venezuela's Vice President, Delcy Rodríguez, described the decision as "inexplicable" and suggested that this action harms both Venezuela and the United States.

The annulment of the export licenses for oil to the United States represents a considerable challenge for the Venezuelan economy, affecting its revenues, production, and financial stability.