Page 6 - NorthAmOil Week 10 2021

NorthAmOil COMMENTARY NorthAmOil

Venezuelan sanctions

to stay in place

A White House official has indicated that the

Biden administration will not make any major

changes on this front

US-VENEZUELA FORMER US President Donald Trump made a “No rush” to ditch sanctions
point of imposing increasingly strict sanctions Additionally, a White House official told Reuters
WHAT: on Venezuela and its oil industry. As a result, in late February that the president was in “no
Biden is in “no rush” to Trump’s failure to secure re-election in 2020 has rush” to eliminate sanctions on Venezuela. He
eliminate sanctions on given rise to speculation that his successor, Joe also indicated that no major changes were likely
Caracas, a White House Biden, might soften Washington’s stance towards in the short term, as existing policies left enough
official says. Caracas. room to enable the delivery of humanitarian aid.
Rumours to this effect gained some traction The official, who spoke on condition of ano-
WHY: partly because of the Biden administration’s nymity, said that Biden did not want to copy
Washington believes appointment of Juan Gonzalez as special Trump’s “maximum-pressure” approach, as
current policy leaves advisor to the president and senior director it involved too much in the way of unilateral
enough room for for the Western Hemisphere at the National action to put pressure on Venezuela. He also
humanitarian aid Security Council (NSC). Gonzalez had writ- stated that Washington would consider sof-
shipments. ten in mid-2020 that Biden did not want to tening restrictions on trade with Caracas and
rely too heavily on sanctions as an instrument investment in that country’s oil sector if Maduro
WHAT NEXT: of policy. In an article published by Americas took steps to demonstrate openness to negotia-
US authorities may have Quarterly, he called for “intelligent sanctions” tions with the political opposition.
to decide soon whether and said the US should make more multilat- “We’re in no rush to lift sanctions,” he told
to follow Trump’s lead in eral efforts to push for democratic change in Reuters. “If the regime undertakes confi-
going after a wider range Venezuela. dence-building measures that show that they’re
of companies involved in Since then, a number of persons affiliated ready and willing to engage in real conversations
trading Venezuelan oil. with the Biden campaign and the new admin- with the opposition ... if they’re ready to take
istration have indicated that the new president serious steps, then we will consider the allevi-
would not follow Trump’s lead, especially with ation of sanctions.”
respect to the delivery of humanitarian aid. The official did not say what steps Maduro The official did
Likewise, there have been rumours that Biden’s would have to take to gain the Biden adminis-
team might backtrack on the previous adminis- tration’s confidence. He stressed, though, that not say what
tration’s decision to clamp down on swap deals the president and his team would be looking steps Maduro
that allowed Venezuela to exchange crude oil for out for signs that the Venezuelan president was
supplies of fuel. engaged in “delaying tactics” – that is, using would have to
Recently, though, the Biden administra- bilateral talks as a way to divide opposition
tion has given some clear indications that its forces and consolidate his own power. take to gain
policy towards Venezuela will not be signif- Additionally, he indicated that US authorities
icantly different from that of its predecessor. did not have much confidence that Maduro was the Biden
It has, for example, stated that it will continue prepared to meet that Washington’s conditions. administration’s
Trump’s policy of treating opposition leader He told Reuters that the Venezuelan govern-
Juan Guaido as Venezuela’s legitimate head of ment had been “actively preventing the delivery confidence.
state. (Guaido was named interim president of humanitarian assistance.”
in early 2019, shortly after President Nicolas
Maduro was declared the winner of an election Broad continuity of policy
that has been widely described as fraudulent. The official’s statements seem to indicate that there
The European Union and other international will be broad continuity of policy with respect to
groups have now accepted Maduro’s conten- US sanctions on Venezuela, despite the election of
tion that Guaido lost all claim to control over a new president. It does remain to be seen, though,
Venezuela’s parliament in elections held last how Biden and his team will react to Maduro’s
December.) ongoing efforts to evade trade restrictions.

P6 www. NEWSBASE .com Week 10 12•March•2021