But where did all this rigmarole originate from? Historically, relations between the US and Venezuela have been good, but since Hugo Chávez was elected President of Venezuela in 1998, relations went south. Chavez immediately began leading his country on a far left leaning and anti-North American path that remains to this day, and unfortunately, the long-standing close diplomatic relationship between Venezuela and the United States continues to progressively worsen.

Examples include Chávez's public friendship and significant trade relationship with Cuba and Fidel Castro, undermining the U.S. policy of isolating Cuba. Additionally, long-running ties between the U.S. and Venezuelan militaries were severed on Chávez's initiative. In 2000, Chavez became the first foreign head of state to visit Iraq since the 1991 Gulf war, in spite of strong opposition from the US and others. His reckless course did not come without a price though. In 2002 their national currency (the Bolivar) tanked 25% against the US dollar following their denial of exchange rate controls. His parade marches on and on. If it displeases the United States, Hugo Chavez is all for it.

Being the only South American country belonging to OPEC, Chavez is suspected of conspiring to keep oil prices peaking for his own obvious political and economical gain. Chaves is quoted as saying, "The barrel could reach $200 from one day to the other ... the US government can forget about the 1.5 million barrels of oil that we send every day and which contributes enough to its development." Although throughout the 1990's (especially preceding the Chavez era) the barrel cost of oil was hovered in the $20 range, Chavez has a LOT of crude control and he knows it. According to US sources, Venezuela holds 90% of the world's extra heavy crude oil.