Venezuela’s Oil Exports Hold Steady as China Steps In

Venezuela’s oil exports remained stable in May 2025, according to state oil company PDVSA and vessel-tracking data. Increased shipments to China offset a sharp drop in sales to the United States and Europe after Washington revoked export licenses for companies trading Venezuelan crude.

This shift marks a significant change in Venezuela’s oil trade, with China now serving as the main customer for the country’s most important export.

After the United States Treasury and State departments ended special export permissions in March, PDVSA’s traditional buyers in the U.S. and Europe sharply reduced their orders.

These companies had until May 27 to complete their final shipments. As a result, Venezuela’s oil exports to the U.S. and Europe fell, but intermediaries boosted the volume sent to China, keeping total export levels steady.

In May, PDVSA exported an average of 779,000 barrels of oil and refined products per day, nearly the same as April’s 783,000 barrels per day. China received about 584,000 barrels per day, up from 521,000 in April, making it Venezuela’s top oil buyer.

The U.S. imported around 140,000 barrels per day, a slight increase from the previous month. Meanwhile, PDVSA delivered no cargoes to Chevron or India’s Reliance Industries in May, but completed a major swap with Maurel & Prom and Vitol, marking the last U.S.-authorized deal before the deadline.

Venezuela’s Oil Pivot to Asia

PDVSA also began exporting Boscan heavy crude to Asia, a grade previously sent to the U.S. under a joint venture with Chevron. With the end of U.S. licenses, Chevron confirmed it would comply with all regulations and sanctions.

To support its oil production, Venezuela sharply increased fuel imports to 159,000 barrels per day in May from 94,000 in April. The country needs these imports, especially heavy naphtha, to dilute its extra-heavy crude and keep production running as U.S. sanctions tighten.

Venezuela’s oil sector now relies heavily on China. The country uses intermediaries and shadow shipping networks to move oil, often disguising its origin to avoid sanctions.

This new trade pattern allows Venezuela to maintain export volumes, but it also means the country has fewer buyers and less bargaining power.

Businesses and investors should note that Venezuela’s oil market now depends on a single major customer and faces ongoing risks from sanctions and shifting global demand.