PDVSA Halts Chevron Oil Shipments Amid U.S. Tariffs

Venezuela's PDVSA has canceled Chevron's crude oil export authorizations due to U.S. tariffs imposed by President Trump. The cancellations impact Chevron's Venezuelan operations, forcing tanker rerouting and questioning future shipments as the Venezuelan government denounces U.S. actions as an economic war.

Venezuela's state-owned oil company, PDVSA, recently revoked several permits granted to the American oil producer, Chevron, for loading and exporting crude oil in April. This decision follows the imposition of tariffs by U.S. President Donald Trump on Venezuela's oil buyers, according to insiders.

The U.S. government has previously rescinded crucial licenses allowing PDVSA partners, like Chevron, to legally export Venezuelan oil despite existing sanctions, with a deadline set for May 27 to wind down operations. Chevron, exporting 250,000 barrels daily, was allowed to operate under these rare exemptions.

Venezuela's response has been to dismiss the U.S. actions as part of an 'economic war.' While Chevron's operations had been spared from tariffs, the new cancellations mean disruptions, especially affecting China's oil imports. The situation remains fluid as the involved parties have yet to resolve the cargoes' future.

(With inputs from agencies.)