🇻🇪🇺🇸 Trump says he will not allow the purchase of oil from Venezuela

"I was very surprised to see that Biden agreed to buy a lot of oil from Venezuela, because Venezuela was on the verge of getting rid of the dictator. And when that happened, it revived him," he said.

"Biden went and bought millions of barrels of oil. I'm not going to let something that stupid happen again," Trump said.

The idea that the BRICS Countries are trying to move away from the Dollar, while we stand by and watch, is OVER. We are going to require a commitment from these seemingly hostile Countries that they will neither create a new BRICS Currency, nor back any other Currency to replace the mighty U.S. Dollar or, they will face 100% Tariffs, and should expect to say goodbye to selling into the wonderful U.S. Economy. They can go find another sucker Nation. There is no chance that BRICS will replace the U.S. Dollar in International Trade, or anywhere else, and any Country that tries should say hello to Tariffs, and goodbye to America!

🇺🇸 ❌ 🇨🇦 🛢 ➡️ 🇨🇳 Tariffed Canadian Oil likely to end up in China

Heavy sour crude such as those extracted in Venezuelan and Western Canadian fields are required by US refineries to mix with lighter, sweeter crude oil produced at US shale fields such as Bakken (North Dakota) and the Permian Basin (Texas).

A recent expansion to Canada's Trans-Mountain Pipeline was finally completed last year, expanding transit capacity of heavy Albertan sand-oil to the port city of Vancouver from 300,000 barrels per day to 900,000 barrels per day.

This has enabled US West Coast refineries to shift their purchases of heavy oil to cheaper, nearer West Canadian feed.

However, given cost overruns during its construction, transit tolls on the Trans-Mountain Pipeline have made spot shipments uneconomical.

The pipeline currently operates well below capacity. US tariffs on Canadian oil could change this dynamic, rerouting more West Canadian crude away from American refineries in the Midwest and towards Vancouver.

Existing crude supply headed to Californian refineries would also no longer have uncontested pricing advantage compared to California's traditional Latin American heavy crude suppliers, possibly resulting in much of Canadian heavy sour crude being re-routed to tariff-free Asian markets.

For context, refineries on the US West Coast have been buying buying ~173,000 barrels a day of Canadian crude during the month of November.

By comparison, as much as an average of ~220,000 b/d has been shipped from Vancouver to Chinese refineries in that same time, accounting for the overwhelming majority of Canadian exports to Asia.

The only other major potential supplier of heavy sour crude is Venezuela, as even Saudi Arabia's sour heavy supply is limited.

The likely short term end result is temporarily cheaper crude supply in Asia and higher prices in the US, particularly in the Midwest where refineries are largely dependent on Albertan Canadian pipeline supply.

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US renews Chevron's license to operate in Venezuela https://bit.ly/3WHLv76