Trump will impose heavy tariffs on countries buying from Venezuela?
US President donald trump announced on monday that he will impose heavy tariffs on countries buying gas and oil from Venezuela. While his move can affect india and china on one hand, on the other hand, there can be a lot of tension in global trade.
Writing on his Truth Social, donald trump said - venezuela has been hostile towards America and the freedoms they support. Therefore, any country that buys oil from venezuela will have to pay a tariff of 25 percent on trade with America. President trump accused venezuela of deliberately sending violent people to America.
Ever since trump returned to the white house in january, he has been continuously using tariffs as a weapon to increase economic and diplomatic pressure against his allies and opponents. The proposed 25 percent tariff on buyers directly or indirectly from venezuela may come into effect from april 2 after Trump's directive. Now the decision to implement it is up to the Foreign Minister, who will consult with other US agencies before implementing this tariff.
What will be the impact on India?
This tariff imposed by the US can affect both india and china, as both countries buy oil from venezuela apart from the US and Spain. Last year i.e. in 2024, india purchased 22 million barrels of oil from venezuela, which is about one and a half percent of India's total crude oil purchases. In december 2023, New delhi imported about 191,600 barrels of crude oil per day, which increased to more than 254,000 the very next month. In january 2024, india was importing nearly half of Venezuela's total oil exports (about 557,000 BPD for the month).
click and follow Indiaherald WhatsApp channel