To this end, the United States Treasury has significantly escalated its campaign against Venezuela’s oil sector. As they announced this week, they have just sanctioned four companies and dozens of their tankers. These measures specifically aim at entities that the Treasury Department alleges have been involved in the transport of Venezuelan oil. This oil trade enables the Maduro regime to circumvent current U.S. sanctions, according to the U.S. government. The sanctions are the latest indication of a sustained campaign by U.S. officials. They want to end what they call Venezuela’s use of oil wealth to finance an “illegitimate narco-terrorist regime.”
U.S. President Donald Trump previously announced a “total and complete blockade” of Venezuela’s oil industry, further highlighting the administration’s aggressive stance. The U.S. has not only targeted companies but has conducted numerous bombing campaigns against vessels suspected of drug smuggling within international waters, particularly in the Caribbean Sea and eastern Pacific. Since September 2, these operations have killed more than 100 people. This astounding civilian toll must call into serious question the legal justifications for such military actions.
Escalating Military Action
The U.S. military has more than doubled its presence in the Caribbean along Venezuela’s northern coastline. They’ve deployed planes, ships, and other military assets to support their operations. Authorized by Congress, the third military tanker is currently being actively pursued by the military as documented in recent reports. This action illustrates their further intent to continue enforcing maritime actions against Venezuelan oil transportation.
On December 10th, the U.S. took a big step forward by successfully seizing its first tanker, the Skipper. Only ten days later did they land another debilitating seizure. These actions illustrate the administration’s determination to disrupt what it perceives as a network of vessels facilitating illicit activities linked to Venezuela’s oil exports.
“President Trump has been clear: We will not allow the illegitimate Maduro regime to profit from exporting oil while it floods the United States with deadly drugs.” – Treasury Secretary Scott Bessent
As these tensions are rising, officials in the United States have been warning for months of Venezuelan activity abroad. In her remarks at the announcement, Secretary Bessent stressed the significance of these sanctions. He highlighted how they go after the Maduro regime’s use of a “shadow fleet” to evade sanctions.
Claims of Theft and Corruption
Most recently, the U.S. Treasury has used sanctions against oil transporters in their cross hairs. They’ve cracked down on a Venezuelan company for assembling Iranian-designed drones. Government representatives say that these arrests are part of the larger story of corruption and thievery that has overtaken Venezuela’s oil industry.
Stephen Miller, a prominent figure in the Trump administration, emphasized the severity of Venezuela’s actions, asserting that they constitute “the largest recorded theft of American wealth and property.” This rhetoric underscores the administration’s delusion that Venezuela’s oil industry is a national security threat. It does a great job of explaining why this sad reality is a direct threat to American interests.
“Maduro’s regime increasingly depends on a shadow fleet of worldwide vessels to facilitate sanctionable activity, including sanctions evasion, and to generate revenue for its destabilizing operations.” – U.S. Treasury
The link between drug trafficking and oil revenue is at the very heart of U.S. policy towards Venezuela today. Officials argue that the Maduro regime uses profits from oil exports to support its operations while simultaneously contributing to the influx of illegal drugs into the United States.
Implications for U.S.-Venezuela Relations
The current sanctions and military maneuvers is the most recent and most serious step on this path, a new and dangerous escalation in U.S.-Venezuela relations. The hardline approach taken by the Trump administration specifically focused on crippling the Venezuelan economy and had the goal of targeting US concerns with drug trafficking. These moves may only deepen Venezuela’s global pariah status and worsen the humanitarian crises already causing pain inside Venezuela.
The U.S. should continue to maintain a high tempo of strategic operations within the region. Next, we have to see how Venezuela’s government will respond to these pressures. In this context of pressure from the outside and discord in the streets, a lot can change quickly in the months ahead.
