The United States has stepped up pressure on Venezuela by sanctioning companies and oil tankers connected to the country’s oil exports. The move includes firms based in mainland China and Hong Kong, a rare step that signals Washington’s intent to block Venezuela’s main source of income. The sanctions are part of US President Donald Trump’s ongoing campaign to cut off funds to Venezuela’s government.
The action was announced by the US Treasury Department on December 31. Officials said the targeted companies and vessels helped Venezuela evade existing restrictions. Oil exports account for about 95 percent of Venezuela’s export revenue, making the sector crucial for the country’s economy.
Targeting Chinese-linked businesses is unusual. Experts say it sends a warning to Beijing to avoid involvement in the standoff between the US and Nicolás Maduro’s government. China is Venezuela’s largest oil customer, and its role is key in keeping Venezuelan crude flowing to international markets.
Sanctioned Companies and Vessels
The US Treasury Department’s Office of Foreign Assets Control added four companies to its Specially Designated Nationals and Blocked Persons list. These include Zhejiang-based Corniola and three Hong Kong-based firms: Aries Global Investment, Krape Myrtle Co, and Winky International. Sanctions block their assets under US control and prevent US individuals and companies from dealing with them.
US increases enforcement of Venezuelan oil restrictions through military support
Alongside the companies, four oil tankers were sanctioned: Della, Nord Star, Rosalind, and Valiant. According to US officials, these vessels were involved in transporting Venezuelan oil while avoiding sanctions. Some were described as part of a “shadow fleet”, ships that operate quietly to bypass restrictions by hiding ownership or turning off tracking systems.
Ship-tracking data showed that only one vessel, the Rosalind, had been near Venezuela recently. It mainly handles short coastal trips called cabotage. Officials noted that the other ships may have moved without sending transponder data, making their locations hard to confirm.
While the US already sanctions other companies and vessels tied to Venezuela, action against Chinese-linked firms is rare. Authorities said these sanctions target networks that provide financial resources to Venezuela’s government.
Rising Pressure, Military Actions, and China’s Response
The sanctions come as the US steps up both economic and military pressure on Venezuela. On December 30, the Treasury Department also imposed sanctions on ten individuals and firms in Iran and Venezuela for alleged involvement in weapons trading.
US forces have intercepted two carriers near Venezuela, while another vessel turned away and retreated into the Atlantic Ocean after being pursued. The US has also struck boats accused of drug trafficking off the Venezuelan coast. Southern Command reported sinking three vessels, killing three people. Others jumped into the sea before their boats were destroyed. The Coast Guard was notified to conduct search and rescue, following criticism of a similar September incident.
On the same day, two additional vessels were struck, with five reported killed. These operations accompany a blockade of sanctioned tankers, aimed at limiting Venezuela’s key oil exports.
China criticized the US blockade and ship seizures as unilateral and a violation of international law. Chinese refiners, known as “teapots”, have been reliable buyers of Venezuelan crude. China officially stopped imports in 2019 due to US sanctions but resumed in February 2024. Traders say Venezuelan oil continued to reach China through unofficial channels, often disguised as bitumen mix.
President Donald Trump also confirmed a strike on a Venezuelan facility used by boats linked to drug trafficking. A drone strike was carried out on a dock believed to be connected to the Tren de Aragua gang. No casualties were reported.
