International
President Donald Trump announced on Monday that any country that purchases oil or gas from Venezuela will face a 25% tax on all their imported goods entering the United States starting from April 2nd.
Trump claimed that Venezuela is "very hostile" towards the United States.
Trump stated that without evidence, Venezuela has not only refused to cooperate but has also sent criminals, including violent individuals and members of notorious gangs like Tren de Aragua, to the United States.This announcement comes after reports emerged that Trump plans to postpone previously announced tariffs, including a 25% tax on imports of pharmaceuticals, vehicles, and wood. Those tariffs were set to take effect on April 2nd, the same day Trump said he would announce tariffs on other countries, which he referred to as "Liberation Day."
China Will Be Affected Again
This tariff could affect countries like China, which purchased 68% of Venezuela's oil exports in 2023. In the previous year, 351,000 barrels per day of Venezuelan oil were shipped to China, making it the top foreign destination for Venezuelan oil.
The United States follows China as the second-largest recipient of Venezuelan oil, receiving 228,000 barrels per day. Trump has already imposed a 20% tariff on all Chinese goods entering the United States and additional tariffs of 25% on imported steel and aluminum.
Given the additional threat of tariffs, if China continues to buy oil from Venezuela, a 25% tax would mean that Chinese goods imported into the U.S. would face a total tariff of 45%, while steel and aluminum would be subject to a 70% tariff.
Please note that this tariff will take effect from April 2nd.
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