US Imposes Venezuela-Related Sanctions Targeting Chinese Firm

US Imposes Venezuela-Related Sanctions Targeting Chinese Firm

USReuters Nov 30, 2020

Steven T. Mnuchin, Secretary, Department of the Treasury during the Senate's Committee on Banking, Housing, and Urban Affairs hearing examining the quarterly CARES Act report to Congress on September 24, 2020 in Washington, DC. (Toni L. Sandys-Pool/Getty Images)

WASHINGTON—The United States on Monday imposed sanctions on Chinese firm China National Electronics Import & Export Corporation (CEIEC), accusing it of supporting Venezuelan President Nicolas Maduro’s efforts to undermine democracy.

The U.S. Treasury Department in a statement said the Chinese company supported the leftist government of Maduro in its “efforts to restrict internet service and conduct digital surveillance and cyber operations against political opponents.”

“The illegitimate Maduro regime’s reliance on entities like CEIEC to advance its authoritarian agenda further illustrates the regime’s prioritization of power over democratic values and processes,” Treasury Secretary Steven Mnuchin said in the statement.

“The United States will not hesitate to target anyone helping to suppress the democratic will of the Venezuelan people and others around the world,” he added.

Venezuela’s information ministry did not immediately respond to an email seeking comment about the Treasury’s announcement. Comment by CEIEC was being sought.

Washington in January 2019 recognized Venezuelan politician Juan Guaido as the OPEC nation’s rightful leader and has ratcheted up sanctions and diplomatic pressure in the aftermath of Maduro’s 2018 reelection, widely described as fraudulent.

Maduro remains in power, backed by Venezuela’s military as well as Russia, China, and Cuba.

Monday’s action freezes any U.S. assets of the Chinese firm and generally bars Americans from dealing with it.

The Treasury said CEIEC since 2017 has been supporting the Maduro government and has provided software, training, and technical expertise to entities of Venezuela’s government, including state-run telecommunications provider Venezuelan National Telephone Company.