US President Trump predicts increased oil imports from Venezuela over Iran

US President Donald Trump has announced that India will begin purchasing Venezuelan oil, following a shift away from Iranian crude due to US sanctions.

According to Trump, the agreement was made prior to his comments on Saturday. The US president stated that India will now be buying Venezuelan oil instead of Russian crude. This development comes as India had previously turned to Russia for supplies after Western penalties over the Ukraine war drove down the cost of crude.

The US imposed tariffs on Indian exports to the US in August, with a 50% increase aimed at discouraging New Delhi from purchasing Russian oil. However, these tariffs were later reduced by 25%, according to US Treasury Secretary Scott Bessent. Trump had also threatened to impose similar tariffs on India for buying Venezuelan oil.

In March, the US imposed a 25% tariff on countries purchasing Venezuelan oil, and last year warned of further action against India. The White House has since lifted some sanctions on Venezuela’s oil industry, allowing US companies to sell its crude oil more easily.

Trump also mentioned that China could potentially make a deal with the US to buy Venezuelan oil. This development reflects an improvement in US-India relations, which have been strained throughout the past year.

Source: Al Jazeera