Venezuelan Oil Voyage: China-bound Supertankers Make U-Turn Amid U.S. Embargo

Two China-bound supertankers have reversed course amid the U.S. oil embargo on Venezuela. Despite a recent U.S. deal to export Venezuelan oil, no shipments have reached China lately. The ships are part of a fleet transporting crude to repay Venezuela's debt to China, affected by ongoing geopolitical tensions.

Two China-flagged supertankers en route to Venezuela to collect crude shipments have abruptly reversed course and are now heading back to Asia, according to LSEG shipping data revealed on Monday.

This turnaround comes shortly after the U.S. announced a $2 billion deal to export up to 50 million barrels of Venezuelan oil, previously stored due to an ongoing embargo. Despite U.S. assurances that China would not be deprived of Venezuela's crude, no shipments have reached the Asian market since last month.

The supertankers Xingye and Thousand Sunny had been anchored in the Atlantic Ocean, awaiting further instructions as Venezuela grapples with political turmoil and U.S. sanctions on President Nicolas Maduro. These vessels are part of a fleet dedicated to transporting crude for debt repayment to China, reflecting the diplomatic intricacies surrounding Venezuela's financial obligations to its long-time lender.

(With inputs from agencies.)