[CHN] China’s intervention in Venezuela

China’s intervention in Venezuela.

China’s intervention in Venezuela, what does this mean for the future? China has begun to interfere in the South American continent.
On September 13, Venezuelan President Nicolas Maduro made a state visit to China.
He held a summit with Chinese President Xi Jinping. China announced that it was upgrading the bilateral relationship to an “all-weather strategic partnership.”

[Fig. 1] Venezuelan President Maduro made a state visit to China (source from CGTN)

This is the same level of diplomatic relations that China has granted to Pakistan.
Prior to the upgrade, China had “all-round strategic partnership” with Venezuela. (For reference, China’s relationship with North Korea is that of a traditional clan.)

China intervenes in Venezuela’s oil production.

Venezuela is a country that can produce oil. But there was a problem with the oil.
The oil that comes out of the wells is mostly Heavy Crude Oil. This oil is too sticky to be exported directly.

[Fig. 2] The Jack-pump to extract oil from a field

In other words, it’s hard to get it through pipelines and onto tankers.
Therefore, it has to be used as a “Diluent”. However, since Venezuela’s relationship with the US has deteriorated, the US has restricted the use of diluents.
Of course, Venezuela can only use enough diluent to produce enough crude for domestic use, and Iran has been supplying Venezuela with diluent.

This is where Xi Jinping challenged the United States head-on. China is supplying the diluent.
This could have a major impact on the global oil market.

China’s intervention in the Monroe Doctrine

On December 3, 1823, President James Monroe delivered his State of the Union address to Congress and outlined the course of American foreign policy, calling on foreign powers to “refrain from interfering in the Americas.”

Many people often perceive the Monroe Doctrine as dead. However, this is not the case. The United States still adheres to the Monroe Doctrine today. The U.S. still has a strong aversion to other countries entering the Latin American region.

In 2019, the US recognized “Guaido” as the head of Venezuela. At the time, U.S. National Security Advisor John Bolton demanded that China and Russia not interfere with Venezuelan President Maduro. Former U.S. Secretary of State Mike Pompeo also said in an interview that “military action is possible,” and that “if it’s necessary, the United States will do it.”

“Make Venezuela normalize oil production!”

Venezuela is a country subject to the Monroe Doctrine, and it is geographically very important, as it lies just below Miami in the United States.

China has now blatantly stated that it will “Make Venezuela normalize oil production!”
We can expect to see Chinese capital coming into Venezuela soon.
China is neutralizing US sanctions against Venezuela. China and Venezuela are now geographically, economically, and militarily challenging the United States.

The meeting between Xi and Maduro is similar to the meeting between Kim Jong-un and Putin.
This means undermining US hegemony.

In other words,
Russia and China are simultaneously neutralizing the U.S. economic sanctions network.