US strikes on Venezuela unlikely to impact oil market: Ex Chief Economic Adviser Arvind Subramanian

Chennai (Tamil Nadu) [India], January 6 (ANI): There will not be much of an impact on the global oil market due to the recent US strikes on Venezuela, stated former Chief Economic Adviser Arvind Subramanian in a conversation with ANI.
Reacting to the developments, Subramanian said that he was not aware of the specific details of the US action. However, he added that prevailing market opinion suggests limited consequences for oil prices.
"I know nothing about it, but the only thing I can say is that people say there won't be much of an impact on the oil market," he said, indicating that the situation is unlikely to disrupt oil supply or pricing in a significant way.
In a major military operation over the weekend of January 3-4, 2026, the United States captured Venezuelan President Nicolas Maduro and his wife, Cilia Flores, after a large-scale strike in Caracas. This action followed months of escalating tension between the US and Venezuela.
President Donald Trump said on Saturday that no nation in the world could achieve what America has achieved.
Trump, who addressed a press conference from Palm Beach, Florida, said the United States will run the country "until such time as we can do a safe, proper, and judicious transition".
Earlier in a conversation with ANI Energy policy expert Narendra Taneja also said that Venezuela is not likely to cause any immediate disruption to global oil prices.
He noted that most refineries around the world are not designed to process Venezuelan crude, which is heavy oil.
He said, "I don't really see any immediate impact on the price of oil. Because Venezuela may have the largest reserves of oil, but they are a very small player in terms of supplying oil to the global system. They produce hardly 9 lakh barrels of oil per day. Bulk of that is exported and goes to China. America is now moving in, American companies are moving in. Chances are that probably Venezuela will start producing 3 million barrels of oil every day within next one year, which means that oil will start flowing into the global supply system, which is not bad news." (ANI)