US military targets alleged drug-smuggling boats, sparking controversy and debate on international law and human rights.
US President Donald Trump has ordered a total and complete blockade of all sanctioned oil tankers entering and leaving Venezuela, aiming to increase pressure on Nicolas Maduro’s government and target its main source of income. This move comes after the US seized a sanctioned oil tanker off Venezuela’s coast last week.
Rise In Oil Price
The blockade announcement led to a rise in oil prices, with Brent crude futures up 1.2% at $59.62 a barrel and US West Texas Intermediate crude up 1.3% to $56.00 a barrel. The US has moved thousands of troops and nearly a dozen warships, including an aircraft carrier, to the region.
Trump labeled Venezuela’s regime a “foreign terrorist organization,” citing terrorism, drug smuggling, and human trafficking. Venezuela’s government rejected Trump’s “grotesque threat,” stating the US aims to control Venezuela’s vast oil reserves.
The US Congressman Joaquin Castro called the blockade “unquestionably an act of war,” saying Congress never authorized it and the American people don’t want it. International law scholar Elena Chachko questioned the domestic and international law implications of Trump’s blockade.
Impact In Venezuela Economy
Venezuela’s crude exports have fallen sharply since the US seizure, worsened by a cyberattack on state-run PDVSA’s systems. China is the biggest buyer of Venezuelan crude, accounting for roughly 4% of its imports.
The oil market is well supplied, but if the embargo stays, the loss of nearly a million barrels a day of crude supply could push oil prices higher. Experts predict inflation could skyrocket, and massive migration from Venezuela to neighboring countries may occur.
Trump’s pressure campaign on Maduro includes a ramped-up military presence and over two dozen military strikes on vessels near Venezuela, killing at least 90 people. Maduro alleges the US aims to overthrow him and gain control of Venezuela’s oil resources.
The US has formally designated Venezuela’s Cartel de los Soles as a foreign terrorist organization, saying it includes Maduro and other high-ranking officials. Venezuela’s government vows to defend its homeland and maintain peace.
The blockade’s impact on oil prices could be $5-8 per barrel if Venezuela’s exports aren’t replaced by OPEC spare capacity. The US has imposed energy sanctions on Venezuela since 2019, leading to a “shadow fleet” of tankers disguising their location.
Venezuela’s economy relies heavily on oil revenue, with the country holding the world’s largest proven oil reserves. The US Navy has 11 ships in the region, including an aircraft carrier and amphibious assault ships.
White House Respond
Trump’s chief of staff, Susie Wiles, said Trump “wants to keep on blowing boats up until Maduro cries uncle.” The Pentagon and Coast Guard referred questions to the White House.
The international community is watching the situation, with Russia’s Foreign Ministry warning tensions around Venezuela could have unpredictable consequences. Venezuela has turned to the UN Security Council for help, denouncing the US seizure of the oil tanker and crew as “blatant theft” and international piracy.
The US has sanctioned over 30 ships in Venezuelan waters or approaching the country, with more expected. The situation remains fluid, with potential implications for global oil markets and regional stability.
Venezuela’s government has condemned the blockade as illegal and accused Washington of piracy and economic warfare. The country holds the world’s largest proven oil reserves, and any prolonged disruption could remove close to a million barrels a day from global supply.
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