Who will pay for 'Donroe Doctrine'?

President Donald Trump plans to import previously sanctioned Venezuelan oil into the US, tearing up the global energy playbook and underscoring the seriousness of the administration’s ambition to dominate the Western Hemisphere.

- Ron Bousso

A heavy-crude treatment plant operated by Venezuela's state oil company PDVSA, in the oil rich Orinoco belt, near Cabrutica at the state of Anzoategui.

(REUTERS)

China may be the ultimate target of this “Donroe Doctrine” — Mr Trump's rebranding of a 19th-century doctrine that asserted Washington’s zone of influence in the Americas.

But US oil companies could become the unintended casualties. Caracas has agreed to export up to US$2 billion (62.7 billion baht) worth of Venezuelan crude to the US, Mr Trump said on Tuesday. This was just days after the US ousted Venezuelan president Nicolas Maduro and began demanding that the Latin American country open up its energy industry to American oil companies — or risk further military intervention.

Venezuela will be “turning over” between 30 million and 50 million barrels of sanctioned oil to the US, Mr Trump said in a social media post. The deal’s time frame has not been disclosed, but the shipments will likely start soon.

Energy Secretary Chris Wright said the US needs to control Venezuela's oil sales and revenue indefinitely to drive the changes it wants to see in the country.