FILE PHOTO: Venezuelan President Nicolas Maduro holds a meeting by video with Russian President Vladimir Putin (not pictured) in Caracas, Venezuela March 14, 2025. Miraflores Palace/Handout via REUTERS/File Photo
(Reuters) -Venezuela's national assembly on Thursday passed a decree proposed by President Nicolas Maduro's government declaring a state of economic emergency in response to U.S. sanctions and tariffs.
In March, the administration of U.S. President Donald Trump began suspending authorizations for oil companies operating with Venezuela's state-owned PDVSA and imposed secondary tariffs on crude oil and gas exports.
Maduro signed the decree on Tuesday, citing constitutional powers to declare states of emergency.
The new regulation allows Maduro to implement measures to boost economic growth, curb inflation, offer special treatment to investors, suspend taxes or exemptions and establish import-substitution mechanisms, among other actions.
The emergency decree aims to aid national production, Vice President and Oil Minister Delcy Rodriguez said during the presentation of the document to lawmakers.
The economy is being affected by the U.S. measures, she said, but oil and gas production is continuing despite a 30% fall in price.
International producers are welcome in Venezuela, she said, so long as they comply with Venezuelan laws.
The United States has set a deadline of May 27 for oil companies operating in Venezuela, including U.S.-based Chevron, Italy's Eni, and Spain's Repsol, to wind down their operations and exports.
Analysts have pointed out that Washington's measures will affect the flow of oil revenues, affecting Venezuela's exchange marketandprices.
Maduro and his government have always rejected sanctions by the United States and others, saying they are illegitimate measures that amount to an "economic war" designed to cripple Venezuela.
Maduro and his allies have cheered what they say is the country's resilience despite the measures, though they have historically blamed some economic hardships and shortagesonsanctions.
Maduro signed a similar decree in 2016, extending it through 2021, citing the impact of U.S. sanctions on Venezuela.
The decree will now go to a chamber of the nation's supreme court for consideration.
(Reporting by Reuters; Editing by Richard Chang)
