U.S. Department of Energy Directly Controls Venezuela's Oil Sales: The Financial Power Dynamics Behind It

According to the latest news, the U.S. Department of Energy has partnered with leading global commodity traders and major banks to directly participate in the sales of Venezuelan crude oil and petroleum products. More notably, all sales proceeds will first be settled into a global bank account controlled by the United States. The underlying financial power dynamics behind this move warrant in-depth observation.

The Three Layers of the Policy Framework

Execution Layer: Multi-Party Cooperation System

The U.S. Department of Energy is adopting a “multi-party cooperation” model rather than unilateral sanctions. Specifically:

• Leading global commodity traders handle transaction execution
• Major banks provide funding support and settlement services
• The U.S. Department of Energy acts as policy coordinator and regulator

This structure indicates that the U.S. is not directly banning Venezuelan crude oil transactions but is exerting control by managing key nodes in the transaction chain.

Settlement Layer: The Substance of the U.S. Dollar System

The most critical detail is that “sales proceeds are first settled into accounts controlled by the U.S.” This means:

• All revenue from Venezuelan crude oil must pass through the U.S. financial system
• The U.S. can monitor fund flows and usage in real-time
• The U.S. effectively holds a “freeze right” over Venezuela’s oil revenues

This is not traditional trade sanctions but rather complete control over fund flows through financial settlement rights.

Power Layer: Reflection of the U.S. Dollar Financial Order

This move fundamentally reflects the U.S.'s central position in the global financial system. The ability of the Department of Energy to directly participate in third-country commodity transactions and settle through its controlled bank accounts is an extremely rare display of power in international relations.

Multiple Dimensions of Market Impact

The adjustment in Venezuela’s oil sales model could lead to impacts in several directions:

Energy Supply Side: Although Venezuela’s production has declined, it remains a significant global supplier. Standardizing the sales model may improve supply stability.

Pricing Mechanism: Selling through formal channels could alter the formation mechanism of crude oil prices, reducing previous “gray market” premiums.

Geopolitics: This move strengthens U.S. economic control over Latin America and sends signals to other countries.

Deep Reflection: Boundaries of Financial Power

This case highlights that the U.S. is evolving from traditional “prohibition of transactions” to a “control of transactions” model. Compared to simple sanctions, this approach:

• Is more covert, allowing transactions on the surface but maintaining full control behind the scenes
• Is more sustainable, unlikely to provoke strong international backlash
• Is more flexible, enabling precise control through account freezes, fund disbursements, and other means

It reflects the deep power the U.S. wields within the global financial system—not by forbidding actions but by controlling settlement channels to determine what others can do.

Summary

The cooperation between the U.S. Department of Energy, commodity traders, and major banks appears to be a routine energy trade arrangement but, in reality, is a direct manifestation of U.S. financial power in international commodity transactions. By controlling sales channels and settlement accounts, the U.S. has achieved full oversight of Venezuela’s oil revenues. This evolution from “prohibition” to “control” of power warrants attention, as observers should consider how the U.S. maintains its international influence through the financial system. Future focus should be on how other countries respond to this model and whether it accelerates the search for alternative settlement channels.