Hugo Chavez and Maduro and Jinping.

China and Venezuela The partnership is such that both the countries call it all-weather strategic partnership. This relationship is 50 years old, but its real foundation was laid 25 years ago. Diplomatic relations between the two countries were established in August 1944 and the People’s Republic of China was recognized in 1974. On June 28, 2024, both countries celebrated the 50th anniversary of their diplomatic relations. Although The real friendship started in 1999, when Hugo Chavez became the President of Venezuela.

Hugo Chavez: the real father of friendship

Venezuelan President Hugo Chavez welcomed by the then Vice President of China Xi Jinping. The picture is of the meeting held in Beijing on 9 April 2008. Minoru-Pool/Getty Images

Before 1999, only one Venezuelan President, Luis Herrera Campins, had visited China. But after Chavez became President, cooperation started increasing significantly. Chavez visited China more times than any other Latin American leader during his tenure (1999 to 2012). Chavez wanted to distance himself from America. He was looking for a partner who could provide him alternative sources of trade, diplomatic and military relations. China was the best option for them.

Loan against oil: the foundation of friendship

Venezuela has the world’s largest oil reserves. China wanted oil and Venezuela wanted money. From 2003 to 2012, China-Venezuela economic relations strengthened rapidly. Bilateral trade increased from $742 million in 2003 to $20 billion in 2012.

China has given a loan of about 60 billion dollars to Venezuela. This is the largest loan given by China to any country. This loan is based on the Oil for Loan (loan against oil) model. That means Venezuela pays with oil instead of money.

Establishment of joint fund

The China-Venezuela Joint Fund was established in 2007. The China Development Bank provided $4 billion to the fund and the Venezuelan Economic and Social Development Bank (BANDES) provided $2 billion. The goal of this fund was to provide capital for development projects in Venezuela. However, Chinese companies work on these projects.

In 2010, China agreed to give a loan of 20 billion dollars to Venezuela. In 2009, Venezuela signed a $16 billion deal with China to drill for oil in a joint venture with Venezuelan state-owned PDVSA.

strategic partnership

• 2001: Established strategic partnership for common development. Venezuela was the first Hispanic country to sign a Strategic Development Partnership with China.
• 2014: The old agreement was upgraded to a comprehensive strategic partnership.
• 2023: In September 2023, President Nicolas Maduro and President Xi Jinping upgraded bilateral relations to an All-Weather Strategic Partnership and signed 31 agreements.

Till 2023, 790 cooperation agreements have been signed between the two countries. This figure shows how deep the friendship is.

Defense and military cooperation

Venezuela has purchased most of its military equipment from China and Russia. Military relations between the two countries increased during Chavez’s tenure. According to a 2019 report, China has sold arms worth $615 million to Venezuela in the last ten years. Future Venezuelan astronauts are also being trained in China.

together even in difficult times

China-Venezuela relations faced difficulties following the death of Chávez in 2013 and the collapse of oil prices in 2014. Venezuela’s economy started collapsing and the country got caught in an economic crisis. Venezuelan oil production fell by more than 50% from 2006 levels. In 2016, China stopped giving new loans to Venezuela.

But despite these difficulties, China did not abandon Venezuela. In 2016, China signed an agreement with Venezuela. Under this, he was given time to repay the principal amount without interest. According to an estimate, about $20 billion of the $60 billion loan given by China to Venezuela is still outstanding.

Help in COVID-19 pandemic

China sent medical supplies to Venezuela during the COVID-19 pandemic. China’s hospital ship Silk Road Arc is deployed in the Caribbean region under the Harmony 2025 mission, which provides medical help to many countries including Venezuela.

support in the united nations

China has consistently supported Venezuela in the United Nations. In 2019, China helped Venezuela win a seat on the UN Human Rights Council. Venezuela supported China’s Belt and Road Initiative.

oil trading situation

China will buy 613,000 barrels of crude oil per day from Venezuela in November 2025. This figure is 76-80% of Venezuela’s oil exports. Despite US sanctions, Chinese companies are buying oil from Venezuela and keeping its economy alive. China supported Venezuela even after the US attack on January 3, 2026, calling it armed aggression. This friendship is no longer just a matter between two countries. This continues to be a battle for influence and resources between the two superpowers (America and China).