US targets China’s telecoms grip in Venezuela with new sanctions carve-out

AdvertisementChina-Latin America relationsChinaDiplomacyUS targets China’s telecoms grip in Venezuela with new sanctions carve-outMove could test Huawei and ZTE’s long-standing foothold as Washington extends its China reach from oil to another strategic sector 4-MIN READ4-MIN ListenTeresa Elena Frontadoin WashingtonPublished: 4:23am, 25 Aug 2026The United States is opening Venezuela’s telecommunications sector to new investment and technology while explicitly excluding Chinese companies, a move that could reshape a market where Huawei and ZTE have become deeply embedded and give Western suppliers an opening as the country expands its 5G networks.The US Treasury Department’s Office of Foreign Assets Control (OFAC) on Friday issued two general licences easing some sanctions restrictions on Venezuela’s telecommunications sector, including transactions involving state-owned provider CANTV and mobile operator Movilnet. But both licences specifically exclude transactions involving people or companies in China, Russia, Iran, North Korea and Cuba, as well as entities owned or controlled by, or in joint ventures with, them.The move extends to telecommunications a restriction Washington has already applied as it selectively eases sanctions on Venezuela. Earlier authorisations covering the country’s oil sector similarly opened the door to certain transactions while excluding China-linked entities, allowing the Trump administration to loosen economic restrictions on Caracas without extending the benefits to one of its principal geopolitical rivals. 3:04What does Maduro’s removal mean for Chinese investments in Venezuela?The US Treasury Department did not immediately respond to questions about the rationale for excluding Chinese companies or whether the measure was intended to reduce China’s role in Venezuela’s telecommunications infrastructure. The Chinese embassy in Washington also did not immediately respond to a request for comment.AdvertisementSelect VoiceSelect Speed0.8x0.9x1.0x1.1x1.2x1.5x1.75x00:0000:001.00x