Trump has aggressively slapped tariffs on allies and foes since taking office in January.
Monday’s announcement by US President Donald Trump to put a 25% tariff on Venezuelan oil and gas imports could disrupt global trade and hurt key economies like China and India.
Trump has increased trade tariffs on allies and enemies since taking office in January to influence economic and diplomatic matters.
Latest Tariff Hits Oil Buyers
From 2 April, direct and indirect Venezuelan oil customers will pay the new fee. The US Secretary of State will decide its application with other government departments, per a Monday executive order.
Trump said the 25% charge will be added to existing tariffs. Trade specialists say Venezuela exports a lot of oil to China, India, the US, and Spain. The US imported 240,000 barrels from Venezuela in February, while China imported 500,000.
Trump declared 2 April “Liberation Day” for the US economy and threatened “reciprocal tariffs tailored to each trading partner” to address unfair trade practices.
He accused Venezuela of “purposefully and deceitfully” shipping criminals to the US in a Truth Social post, citing “numerous reasons” for a “secondary tariff”. Added, “Venezuela has been very adversarial to america and the Freedoms which we espouse.
According to Trump, the tariff will expire one year after a country buys Venezuelan oil, unless Washington lowers it sooner.
Immigration dispute fuels trade war
Washington and Caracas are increasingly at odds over immigration policy. The US canceled Venezuelan deportation planes last month, accusing Maduro of violating repatriation accords.
In retaliation, Venezuela rejected deported migrants. However, a Saturday deal deported roughly 200 Venezuelans via Honduras.
The Trump administration also granted Chevron a sanctions reprieve to operate in Venezuela until 27 May.
Other tariffs uncertain
While Trump has pledged broad sector-specific taxes on cars, medicines, and semiconductors, the White House believes they may be implemented selectively.
White House officials told AFP that “reciprocal tariffs will take place,” but sector-based levies “may or may not happen on 2 April.”
“I might give a lot of countries breaks,” Trump told reporters, but did not explain. His statement also said car tariffs would be issued “very shortly” and pharmaceutical charges thereafter.
On Tuesday, EU trade head Maros Sefcovic will discuss exemptions with US Commerce Secretary Howard Lutnick and trade envoy Jamieson Greer before the tariff deadline.
Due to their trade deficits with the US, Treasury Secretary Scott Bessent said taxes would target 15% of global trading partners, calling them the “dirty 15”.
