As much as Americans wish to be energy independent, we are not yet there. The Trump administration made great strides in establishing energy independence in his first term, but the data shows the United States is significantly dependent on foreign imported energy. In fact, America imports about half of the oil consumers use. Because of this reliance on imported oil, it is important American oil companies abroad deserve the support and protection of the U.S. government.
When you dig into the numbers, Americans use over 20 million barrels of petroleum every day. Even though we produce half of that amount, a large percentage is imported from Canada and other nations. Energy independence is an important goal, but there is a long way to go before domestic energy production meets demand. Our nation needs to make sure we maintain access to friendlier foreign sources of oil, or our nation is in danger of becoming dependent on some nations who are hostile to the United States. If the U.S. government abandons American owned businesses who export the oil to the United States from foreign nations, China and other hostiles will fill the void and exploit those resources for their own benefit and to the detriment of United States security and economic policy.
Currently, there is a controversy over an oil deal signed with Venezuelan strong man Nicolas Maduro. Back in February, Politico reported, “President Donald Trump said Wednesday the United States will end the Biden administration’s concessions aimed at promoting free elections in Venezuela, canceling a license that allowed U.S. oil company Chevron to produce and export oil in the country.” When the Venezuelan government agreed to accept deported Venezuelan nationals and released American prisoners held in Venezuela, the Trump administration allowed the licensing deal to be renewed.
The Trump administration has pushed a decision to late May to reconsider that pledge to terminate the agreement. Fox News reported on March 20, 2025, “President Donald Trump has signaled an openness to holding off on killing an oil deal” after meeting with “several Cabinet secretaries” for the purposes of seeing how to “best to deal with Maduro and also help grow U.S. energy dominance and strengthen U.S. oil firms.” The change in view occurred because terminating the deal would hurt American owned firms operating in Venezuela.
American companies conducting business in Venezuela, including Chevron, believe that continuing the license makes sense. Companies operating in Venezuela must comply with U.S. sanctions and that helps to show leaders in Central and South America our nation has ethical companies operating throughout the world. A deal also helps to block other nations from seizing the oil.
President Trump was right to extend licenses to Chevron earlier this year to continue to operate in Venezuela. The move preserves U.S. dominance and avoids the Chinese from swooping in and securing that oil. Bloomberg reported on May 1, 2025, that China has sent officials to Venezuela for the purposes of leveraging a deal for a Chinese owned company, China National Petroleum Corp. Now President Trump should extend a licensing deal beyond May 27, 2025, to stop China from interfering with American access in our hemisphere.
Continuing the license is a national security issue, because China, Russia, and Iran would like to have more economic influence, using oil as leverage. These hostile nations want Americans at their mercy by controlling the price and access to oil. Our national security is at risk when adversaries like Russia, China and Iran are allowed to use oil to weaken American resolve and hurt consumers.
There will be no way to compete in global energy markets if Venezuela is off limits for drilling for American companies. Not extending the license would do the opposite of pushing reforms on the Venezuelan government, because China would come right in and take Chevron’s oil facility. American companies will drill and recover less oil while Americans become more, not less, dependent on other foreign sources for energy consumption.
Congress needs to step up and support President Trump’s America First efforts to extend licenses. Furthermore, the business community needs to do more to support the idea that American companies abroad should be allowed to operate, even if the nation has a leader who is hostile to U.S. interests. Abandoning Venezuela will lead America’s chief rivals to take the oil currently controlled by an American company.
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