Updated June 1, 2020
Venezuela: Overview of U.S. Sanctions
For more than a decade, the United States has imposed
Kingpin Designation Act (P.L. 106-120, Title VIII; 21
sanctions in response to activities of the Venezuelan
U.S.C. 1901 et seq.). Designated individuals include current
government and Venezuelan individuals. In response to the
and former Venezuelan officials, such as then-Vice
authoritarian leadership of Nicolás Maduro, the Trump
President Tareck el Aissami (2017) and Pedro Luis Martin
Administration has significantly expanded sanctions. As of
(a former senior intelligence official) and two associates
June 1, 2020, the Treasury Department has imposed
(2018). Others include drug trafficker Walid Makled, three
sanctions on at least 144 Venezuelan or Venezuelan-
dual Lebanese-Venezuelan citizens allegedly involved in a
connected individuals, and the State Department has
drug money-laundering network, and several Colombian
revoked the visas of hundreds of individuals and their
drug traffickers with activity in Venezuela.
families. The Trump Administration also has imposed
sanctions on Venezuela’s state oil company (Petróleos de
Targeted Sanctions Related to Antidemocratic
Venezuela, S.A., or PdVSA), government, and central bank.
Actions, Human Rights Violations, and Corruption
In response to increasing repression in Venezuela, Congress
Sanctions have increased economic pressure on the Maduro
enacted the Venezuela Defense of Human Rights and Civil
government, accelerating a decline in oil production.
Society Act of 2014 (P.L. 113-278; 50 U.S.C. 1701 note) in
Nevertheless, Maduro remains in power a year and a half
2014. Among its provisions, the law requires the President
since the United States ceased to recognize his presidency.
to impose sanctions (asset blocking and visa restrictions)
The Trump Administration has promised continued support
against those whom the President identifies as responsible
to National Assembly President Juan Guaidó, whom the
for significant acts of violence or serious human rights
United States and 57 governments recognize as interim
abuses or anyone who has ordered the arrest or prosecution
president of Venezuela. In 2020, Treasury has sanctioned
of a person because of the person’s legitimate exercise of
Rosneft Trading S.A. and TNK Trading International S.A.,
freedom of expression or assembly. Congress extended this
subsidiaries of the Russian state-controlled Rosneft Oil
act through 2019 in P.L. 114-194. In December 2019,
Company, for facilitating Venezuelan oil exports.
Congress extended this act through 2023 in P.L. 116-94.
Terrorism-Related Sanctions
In March 2015, President Obama issued E.O. 13692 to
Since 2006, the Secretary of State has made an annual
implement P.L. 113-278, and Treasury issued regulations in
determination that Venezuela is not “cooperating fully with
July 2015 (31 C.F.R. Part 591). The E.O. targets (for asset
United States anti-terrorism efforts” pursuant to Section
blocking and visa restrictions) those involved in actions or
40A of the Arms Export Control Act (22 U.S.C. 2781). The
policies undermining democratic processes or institutions;
most recent such determination was made in May 2020. As
serious human rights abuses; prohibiting, limiting, or
a result, the United States has prohibited all U.S.
penalizing freedom of expression or peaceful assembly; and
commercial arms sales and retransfers to Venezuela since
public corruption. It includes any person who is a current or
2006.
former leader of any entity engaged in any of those
activities, as well as current or former government officials.
In 2008, Treasury imposed financial sanctions on two
individuals and two travel agencies in Venezuela for
As of June 1, 2020, Treasury has financial sanctions on 98
financially supporting the radical Lebanon-based Islamic
Venezuelans pursuant to E.O. 13692. Under the Obama
Shiite group Hezbollah. Pursuant to Executive Order (E.O.)
Administration, Treasury froze the assets of seven
13224, those sanctions related to terrorist funding.
Venezuelans—six members of Venezuela’s security forces
and a prosecutor who repressed protesters. Under the
Drug Trafficking-Related Sanctions
Trump Administration, Treasury currently has sanctions on
Since 2005, pursuant to procedures in the Foreign Relations
an additional 91 Venezuelan officials, including President
Authorization Act, FY2003 (P.L. 107-228, §706; 22 U.S.C.
Maduro; his wife, Cecilia Flores, and son, Nicolás Maduro
2291j), the President has made an annual determination that
Guerra; Executive Vice President Delcy Rodriguez;
Venezuela has failed demonstrably to adhere to its
Diosdado Cabello (Socialist party president); eight supreme
obligations under international narcotics agreements.
court judges; the leaders of Venezuela’s army, national
President Trump made the most recent determination for
guard, and national police; four state governors; the director
FY2020 in August 2019 but waived foreign aid restrictions
of the central bank; and the foreign minister. On May 7,
for programs that support the interim government.
2019, Treasury lifted sanctions against the former head of
Venezuela’s intelligence service, General Manuel
Treasury has imposed economic sanctions on at least 22
Cristopher Figuera, who broke ranks with Maduro.
individuals with connections to Venezuela and 27
companies by designating them as Specially Designated
Narcotics Traffickers pursuant to the Foreign Narcotics
https://crsreports.congress.gov

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Venezuela: Overview of U.S. Sanctions
Additional Financial Sanctions
subsidiaries that the Maduro government uses to move
President Trump has imposed financial sanctions on
money abroad. In April, Treasury sanctioned Venezuela’s
Venezuela through E.O.s because of the government’s
central bank; in July, it sanctioned Venezuela’s military
human rights abuses and antidemocratic actions. In August
counterintelligence agency.
2017, he issued E.O. 13808, which prohibits access to U.S.
financial markets by the Venezuelan government, including
In April and in September 2019, Treasury sanctioned
PdVSA, with certain exceptions to minimize the impact on
companies and vessels involved in transporting Venezuelan
the Venezuelan people and U.S. interests. In March 2018,
oil to Cuba. Companies that have stopped those shipments
President Trump issued E.O. 13827 to prohibit transactions
have been delisted. On July 3, Treasury designated Cuba’s
involving the Venezuelan government’s issuance of digital
state oil import and export company.
currency, coin, or token. In May 2018, President Trump
issued E.O. 13835, which prohibits transactions related to
Sanctions on the Maduro Government and
purchasing Venezuelan debt, including accounts receivable,
Transactions with That Government
and any debt owed to Venezuela pledged as collateral.
On August 5, 2019, President Trump issued E.O. 13884,
blocking (freezing) the property and interests of the Maduro
Broader Sectoral Sanctions
government in the United States and within the control of
On November 1, 2018, President Trump issued E.O. 13850.
U.S. persons. The order prohibits U.S. persons from
This E.O. set forth a framework to block the assets of, and
engaging in transactions with the Maduro government
prohibit certain transactions with, any person determined by
unless authorized by OFAC. E.O. 13884 also authorized
the Secretary of the Treasury to operate in sectors of the
financial sanctions and visa restrictions on non-U.S.
economy or to engage in corrupt transactions with the
persons that assist or support the Maduro government,
Maduro government. Some 19 individuals are sanctioned
which could lead to U.S. sanctions on foreign energy
pursuant to E.O. 13850. They include 5 people and 23
companies working with PdVSA. To allow humanitarian
entities for involvement in a $2.4 billion currency exchange
assistance to the Venezuelan people, OFAC issued licenses
corruption scheme; the president of the state gold mining
authorizing transactions involving the delivery of food,
company; and at least 13 individuals and 19 entities for
agricultural commodities, and medicine; remittances;
siphoning millions of dollars from Venezuela’s emergency
international organizations; and communications services.
food distribution system.
In April 2020, OFAC issued guidance encouraging
organizations delivering humanitarian aid to Venezuela to
On January 28, 2019, pursuant to E.O. 13850, Treasury
report any sanctions-related barriers they may face so that
designated PdVSA as operating in the oil sector of the
they can be resolved.
Venezuelan economy, and Secretary of the Treasury Steven
Mnuchin determined that the company was subject to U.S.
On February 18, 2020, Treasury imposed sanctions on
sanctions. As a result, all property and interests in property
Rosneft Trading S.A., a subsidiary of Russia’s Rosneft oil
of PdVSA subject to U.S. jurisdiction are blocked, and U.S.
company, and its owner for helping Maduro skirt U.S. oil
persons (companies or individuals) generally are prohibited
sanctions. On March 12, Treasury sanctioned TNK Trading
from engaging in transactions with the company.
International S.A., another Rosneft subsidiary. Following
the arrival of Iranian ships carrying gasoline to Venezuela,
At the same time, Treasury’s Office of Foreign Assets
U.S. officials have warned companies that they could face
Control (OFAC) issued general licenses to allow certain
sanctions for shipping Iranian oil products to Venezuela.
transactions and activities related to PdVSA and its
subsidiaries, some for specified wind-down periods. OFAC
Policy Considerations
first authorized transactions with U.S.-based PdVSA
There has been bipartisan support in Congress for targeted
subsidiaries, PDV Holding, Inc. (PDVH) and CITGO
sanctions against Maduro officials, but opinions on broader
Holding, Inc. through July 27, 2019. In March 2019, the
sanctions vary. Some support U.S. economic sanctions as a
general license for those entities was extended for 18
way to pressure the Maduro government. Others have been
months. OFAC authorized PDVH, CITGO, and other U.S.
concerned about the humanitarian effects of those sanctions
companies to import petroleum from PdVSA through April
and called for a suspension of sanctions during the
28, 2019, but payments had to be made to a blocked U.S.
Coronavirus (COVID-19) pandemic.
account. OFAC initially authorized several U.S. companies
with operations in Venezuela involving PdVSA (including
In December 2019, Congress enacted P.L. 116-94, an act
Chevron) to continue operating through July 27, 2019. An
that includes provisions from the VERDAD Act (S. 1025)
amended April 2020 license only allows transactions
that, among other measures, extend sanctions regarding
necessary for the maintenance of “essential operations” or
corruption and undemocratic actions in Venezuela enacted
the “wind down of operations” by December 1, 2020.
in P.L. 113-278 through 2023.
In March 2019, Treasury sanctioned the Moscow-based
See U.S. Department of the Treasury, “Venezuela-Related
Evrofinance Mosnarbank (owned by Russia and Venezuela)
Sanctions,” at https://www.treasury.gov/resource-center/
for helping PdVSA funnel revenue from oil sales. Treasury
sanctions/programs/pages/venezuela.aspx; and U.S.
then sanctioned Venezuela’s state-owned gold sector
Department of State, “Venezuela-Related Sanctions,” at
company, Minerven, for using illicit gold operations to
https://www.state.gov/venezuela-related-sanctions/. Also
support Maduro. It also sanctioned the state-affiliated
see CRS In Focus IF10230, Venezuela: Political Crisis and
Venezuelan Economic and Social Development Bank and
https://crsreports.congress.gov | IF10715 · VERSION 31 · UPDATED

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Venezuela: Overview of U.S. Sanctions
U.S. Policy; and CRS Report R44841, Venezuela:
Clare Ribando Seelke, Specialist in Latin American
Background and U.S. Relations.
Affairs
IF10715


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https://crsreports.congress.gov | IF10715 · VERSION 31 · UPDATED

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