Trump Confirms Chevron License in Venezuela Will Be Revoked on May 27

Trump Cancels Chevron License

Chevron to Cease Operations in Venezuela

Economic Blow to Maduro

According to EFE, the administration of President Donald Trump has announced that it will revoke the license allowing Chevron to operate in Venezuela—a decision with significant geopolitical and economic consequences.

Secretary of State Marco Rubio confirmed the measure, which will take effect on Tuesday, May 27, the expiration date of a previously granted extension.

Rubio shared the news on his personal X (formerly Twitter) account, stating that the oil license, which he labeled “pro-Maduro,” granted during President Joe Biden’s administration, will not be renewed.

This marks a significant shift in U.S. energy policy toward Venezuela, particularly following Biden’s efforts to ease sanctions in exchange for democratic concessions.

Chevron Loses Key Authorization in Venezuela

Chevron License in Venezuela Will Be Revoked – PHOTO: ChatGPT

The license, issued in November 2022, allowed Chevron to operate jointly with state-owned PDVSA, under a framework intended to support political negotiations within Venezuela.

The goal was to foster renewed dialogue between Nicolás Maduro’s government and the opposition and to encourage the organization of internationally monitored presidential elections.

During this time, Chevron successfully reactivated portions of Venezuela’s oil production, generating revenue and economic activity in a country deeply affected by crisis.

With the license revoked, Chevron will now be required to shut down operations in Venezuela, a move that could impact both the local economy and global oil supply.

Economic and Diplomatic Fallout

Chevron License Revoked – PHOTO: SHUTTERSTOCK

Analysts warn the move could deter future foreign investment in Venezuela, especially amid ongoing political instability and international sanctions.

Venezuela, heavily dependent on oil exports, is losing one of the few remaining international partners operating under U.S. oversight.

The decision also reignites diplomatic tensions between Caracas and Washington, just as both governments were attempting to maintain limited dialogue.

The Trump administration has steadily escalated its rhetoric against Maduro, and this decision aligns with its “maximum pressure” strategy.

Venezuela and Global Ripple Effects

Chevron License Revoked – PHOTO: SHUTTERSTOCK

Since leaving office, Trump has criticized Biden’s Venezuela policies, calling them weak and ineffective.

In March, Trump initially announced the license would be revoked on April 3, but the move was postponed through a temporary extension, which now ends.

Meanwhile, Washington and Caracas had been holding sensitive talks on issues such as undocumented Venezuelan migrant repatriation and the release of detained U.S. citizens.

With the energy framework collapsing, those diplomatic efforts may now be at risk.

Fallout from Chevron’s Forced Withdrawal from Venezuela

In Venezuela, reactions have been mixed. The Maduro government denounced the move as imperialist aggression, while some opposition groups welcomed the renewed sanctions as a form of political pressure.

Energy and foreign policy experts note that this decision will have implications beyond Venezuela—impacting Chevron’s commercial interests and regional geopolitical dynamics.

Chevron had restarted production in key fields and was exporting crude to the U.S. while keeping vital infrastructure operational.

Now, the company must reassess its presence in an increasingly hostile environment for foreign investment.

Sanction on Chevron Echoes Globally

The revocation could also influence oil prices, as global markets remain volatile due to conflicts and tensions in other producing regions.

With an eye toward the 2024 presidential election, the Trump administration appears focused on reinforcing its tough-on-authoritarian-regimes stance, using energy policy as a tool of pressure.

While the immediate effects will be felt most acutely in Venezuela, the move sends a broader message to other governments across the region.