Since sanctions were imposed on Venezuela, the amount of crude oil imported by US refineries from Canada, Mexico, Colombia, Brazil, and the Middle East has increased. Increased US imports from Venezuela will replace these crude oil supplies, the most important of which is crude oil from Canada. In 2025, Canada raised oil production to record levels and exported about 90% of its crude oil to the US. Refining industry sources said, “At a time when Venezuela is in trouble, heavy Canadian crude oil has filled the gap in the market. Now different grades of crude oil will compete, which is beneficial to the US refining industry, but not good for Canada.” Randy Orenberg, managing director of Bamar Capital Markets, said that the long-term increase in Venezuelan oil production will put pressure on Canadian oil prices and further highlight the need to build a new Canadian export pipeline to the Pacific coast.

Since sanctions were imposed on Venezuela, the amount of crude oil imported by US refineries from Canada, Mexico, Colombia, Brazil, and the Middle East has increased. Increased US imports from Venezuela will replace these crude oil supplies, the most important of which is crude oil from Canada. In 2025, Canada raised oil production to record levels and exported about 90% of its crude oil to the US. Refining industry sources said, “At a time when Venezuela is in trouble, heavy Canadian crude oil has filled the gap in the market. Now different grades of crude oil will compete, which is beneficial to the US refining industry, but not good for Canada.” Randy Orenberg, managing director of Bamar Capital Markets, said that the long-term increase in Venezuelan oil production will put pressure on Canadian oil prices and further highlight the need to build a new Canadian export pipeline to the Pacific coast.