Washington:The United States has signalled that Venezuela should focus its oil trade on the American market and reduce its ties with China, Russia, Iran and Cuba, as Washington moves to reshape energy flows amid rising geopolitical tensions.
President Donald Trump said Venezuela has enough oil to meet US needs and argued that closer cooperation with Washington would bring economic stability to the South American nation. His remarks came as talks advanced on allowing large volumes of Venezuelan crude to enter the US market.
According to people familiar with the discussions, Venezuela is preparing to export between 30 and 50 million barrels of oil to the United States in the coming months. The deal could be worth up to three billion dollars and would mark a major shift after years of limited trade due to sanctions and political tensions.
US officials have indicated that continued access to the American market would depend on Caracas scaling back its oil and strategic partnerships with China, Russia, Iran and Cuba. These countries have been key buyers and allies of Venezuela during years of isolation from Western markets.
China has reacted strongly to the US position, accusing Washington of intimidation and interference. Analysts say Beijing and other traditional buyers may turn to alternative suppliers if Venezuelan crude is redirected to the United States.
Global oil markets have already responded to the developments, with prices easing on expectations of increased supply. Traders say additional Venezuelan exports could help stabilise prices at a time of uncertainty in several oil producing regions.
Inside Venezuela, the proposed shift has sparked debate. Supporters say renewed access to the US market could bring much needed revenue and help revive the struggling oil sector. Critics warn that cutting long standing partnerships could deepen political divisions and leave the country vulnerable to external pressure.
As negotiations continue, Venezuela finds itself balancing economic opportunity against complex diplomatic choices, with its oil once again at the centre of global power politics.