The development comes days after US President Donald Trump met senior executives of leading global oil companies, including Exxon Mobil, Chevron and ConocoPhillips, at the White House. The meeting focused on future investments in Venezuela’s oil sector and the framework under which US sanctions could be selectively eased.
According to officials, any approval for Indian imports would be conditional, with oversight mechanisms to ensure compliance with US regulations. While the exact terms remain unclear, the proposal could allow limited trade that was halted following the reimposition of strict sanctions on Venezuela in 2019.
India had earlier been one of Venezuela’s major crude buyers, importing nearly 6–7% of its total oil requirements from the country. Purchases stopped after the US introduced secondary sanctions, which threatened penalties on companies and nations trading with Venezuela. These restrictions made payment, shipping and insurance nearly impossible for Indian refiners.
A Reuters report said Reliance Industries, India’s largest private company, is actively seeking US approval to restart Venezuelan oil purchases. Sources indicated that Reliance officials are in talks with the US State and Treasury departments. Reliance operates the world’s largest refinery complex in Gujarat and had previously imported Venezuelan crude under a US licence, averaging about 63,000 barrels per day in early 2025.
The timing is significant as Western countries are urging India to reduce oil imports from Russia. Access to Venezuelan crude would provide Indian refiners with an alternative source, helping manage supply risks and costs amid rising domestic demand.
During the White House meeting, President Trump said the US would decide which companies could invest in Venezuela and under what terms. He also spoke of plans involving investments of nearly ₹9 lakh crore in the country’s oil sector, alongside a revenue-sharing model involving Venezuela, US interests and participating companies.
Venezuela holds the world’s largest proven oil reserves but currently accounts for only about 1% of global supply due to years of sanctions, underinvestment and production decline. India, the world’s third-largest oil consumer, depends on imports for nearly 89% of its oil needs, making supply diversification a strategic priority.
If the proposed relaxation moves forward, it could reshape energy trade dynamics, while signalling a cautious recalibration of US–Venezuela oil policy under strict political and economic controls.
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