President Trump has issued a new executive order under the authority of the International Emergency Economic Powers Act, citing the ongoing national emergency concerning Venezuela.
Effective April 2, 2025, a 25% tariff may be imposed on goods from any country that imports Venezuelan oil, whether directly or indirectly. The Secretary of State, in consultation with relevant agencies, will determine which countries are subject to these tariffs, with enforcement led by the Departments of State, Commerce, Treasury, and Homeland Security.
Once imposed, the 25% tariffs will remain in effect for one year after the last date on which the country imported Venezuelan oil, unless lifted earlier at the discretion of the Secretary of Commerce. If the tariffs are applied to China, they will also extend to Hong Kong and Macau.
The Secretary of State and the Secretary of Commerce have been tasked with the submission of periodic reports to the President assessing the effectiveness of these measures. This order is set to take effect on April 2, 2025.
The 25% tariff will be in addition to any duties already imposed under the International Emergency Economic Powers Act, Section 232, and Section 301 tariffs.
While no concrete implementation instructions have been published yet, public data on purchasing trends reveal larger oil consumers who may be impacted include China, India, Spain, Cuba, Brazil, Turkey, while showing smaller, less consistent purchases from other countries such as Italy, Russia, Singapore and Vietnam.
The full text of the executive order can be accessed here: https://www.whitehouse.gov/presidential-actions/2025/03/imposing-tariffs-on-countries-importing-venezuelan-oil/
We will continue to monitor this closely and provide updates as they become available.