The administration of President Donald Trump is reportedly considering a strategic shift in its approach toward Cuba, aiming to distinguish between the ruling elite and the general populace. According to a Bloomberg report, the U.S. is contemplating allowing both American and foreign energy companies to sell oil and fuel directly to private businesses in Cuba, while maintaining overall pressure on the Cuban government.
Washington's objective, as noted by the financial news agency, isn't solely to economically squeeze the communist regime in Cuba—evidenced by the impact of Nicolás Maduro's capture and detention in Venezuela, which cut off the island's main oil supply. Instead, the U.S. seeks to pave a path for engagement that bypasses the government and directly involves the Cuban people and independent entrepreneurs.
A U.S. government source conveyed to Bloomberg that the White House intends to clarify to oil companies that the ban on fuel sales applies exclusively to the Cuban state, not to private entities. Under new guidelines being developed by the Department of Commerce and the Treasury, selling fuel to Cuban companies or individuals would not require a specific license and would be permissible under current law.
This policy shift comes amidst a critical period for the Cuban economy, which is grappling with a severe fuel shortage caused by the cessation of Venezuelan supplies. U.S. pressure had even prompted Mexico's state-owned company Pemex to halt planned crude shipments to the island due to tensions and threats of reprisals from Washington.
In the backdrop of these developments, Secretary of State Marco Rubio told Bloomberg News that the United States anticipates the communist regime will have to grant greater economic and political freedoms before any easing of pressure occurs.
The strategy aims to enable figures within Cuba, including private entrepreneurs and social groups, to establish direct connections with the U.S. market and civil society, thereby distancing themselves from the governmental hierarchy.
This announcement is part of a recent adjustment in U.S. energy policy toward Cuba. On February 20, Trump signed an executive order eliminating the mechanism that allowed for additional tariffs on countries selling oil to the island under the International Emergency Economic Powers Act (IEEPA). This decision was compelled by a Supreme Court ruling that restricted the use of that law for imposing tariffs.
While this specific tariff tool is no longer in play, the national emergency declared on January 29 remains active, as do other pressure mechanisms, including the authority to regulate and inspect vessels bound for Cuba.
In practical terms, this reduces the risk for third-party countries or companies trading energy with the island, but there is no lifting of sanctions or a fundamental change in Washington's policy toward the Cuban regime.
Understanding the U.S. Policy Shift on Fuel Sales to Cuba
Why is the U.S. considering allowing fuel sales to private entities in Cuba?
The U.S. aims to differentiate between the Cuban government and its citizens by allowing direct engagement with private businesses, thereby bypassing the ruling elite and strengthening the independent sector within Cuba.
What are the implications of this policy change for Cuba?
This policy shift could alleviate some of Cuba's fuel shortages by providing private businesses access to international fuel markets, while still maintaining pressure on the Cuban government.
Will this change affect U.S. sanctions on Cuba?
The change does not lift sanctions or alter the overall U.S. policy towards the Cuban government; it merely provides a pathway for private Cuban entities to engage in fuel trade without requiring special licenses.