Freedom Line Blog

Less than twenty years ago, Venezuela was Latin America’s wealthiest nation.  In the terrifyingly brief time since then, however, the rogue socialist regimes of Hugo Chavez and now his successor Nicolas Maduro have reduced it to a dystopian rubble more akin to starving Cuba.  For that, the United States justifiably isolates and targets the Maduro regime for its ongoing corruption, theft and human rights abuses.

Amid that effort, however, we must also protect vulnerable American companies that have conducted business in Venezuela since long before the Chavez and Maduro regimes.  By granting those American businesses specific waivers to continue operations, we protect them from suffering asset seizure at the hands of Maduro and his cronies.  The alternative of denying that latitude would suddenly force U.S. enterprises to surrender their assets, thereby strengthening the Maduro regime by allowing it  to commandeer those valuable assets for the benefit of Venezuelan state-owned enterprises or even handing them over to Chinese or Russian competitors.

In a new letter to the Trump Administration, we at CFIF highlight these realities and urge it to continue renewing U.S. business licenses to operate in order to protect their assets against Maduro expropriation:

American companies actually serve a positive capacity when allowed to continue operations in Venezuela.  Numerous U.S. enterprises have operated in Venezuela for decades, preceding both the Maduro and Hugo Chavez regimes that have wreaked such havoc that once made Venezuela Latin America’s wealthiest nation.  Not only do they visibly represent American values and the possibility of prosperity for the people of Venezuela, but they also provide well-paying jobs and labor protections that would evaporate if state-owned enterprises took over operations.  Those American companies also support communities where the Maduro regime has failed to act, by providing healthcare and nutrition for needy Venezuelans, who continue to rely upon foreign support for humanitarian needs due to Maduro government failures.

It’s therefore critical that your administration send a clear signal to the Maduro regime that it cannot confiscate U.S. business assets, and that we will not allow it to enrich itself via American enterprises.  The way to send that signal, and to protect U.S. businesses, is to grant those enterprises licenses to continue operations and protect their assets.”

The Trump Administration has shown leadership throughout its tenure in isolating the Maduro regime, and our letter urges it to protect American interests by renewing licenses for U.S companies to continue operations in Venezuela.  That will allow those companies to protect their invaluable assets and investments, while signaling that the United States remains committed to the democratic and free market values that we represent.