On Monday, the U.S. Ambassador to Panama, Kevin Marino Cabrera, held a meeting with Samuel Parker, the Deputy Assistant Secretary for Threat Financing and Sanctions at the State Department. The purpose of this meeting was to strengthen collaboration with Panamanian authorities and highlight the dangers of facilitating financial operations linked to the Cuban regime.
Following the discussion, Cabrera issued a cautionary message to the region's banks and businesses.
Cabrera emphasized that under the leadership of President Donald Trump, "economic security is national security." He further clarified that the new sanctions aim to "cut off illicit money flows that support the regime's repression."
Strategic Pressure Builds Against Cuba in 2026
Parker's visit is part of a broader Washington strategy that has increased pressure on the Cuban government throughout 2026. This strategy combines new economic sanctions with diplomatic efforts targeting countries that are strategically important to the regional financial system.
Panama's Strategic Position in Washington's Plan
The meeting is particularly significant because Panama has historically been a jurisdiction used by companies connected to Cuba's economic and military apparatus for conducting international operations.
Notable cases include FINCIMEX (Financiera Cimex S.A.), operating in Panama since 1984, and Kave Coffee S.A., which operates the Cubita brand. Both were added to the Office of Foreign Assets Control (OFAC) sanctions list in November 2020.
The Trump administration views preventing the use of third countries to circumvent sanctions as a crucial element of its policy toward Cuba.
Global Reach of U.S. Sanctions
The key tool in this strategy is Executive Order 14404, signed by Trump on May 1, 2026. This order expanded restrictions against entities controlled by the military conglomerate GAESA and introduced the possibility of applying secondary sanctions.
Under this framework, foreign banks, companies, or individuals engaging in specific transactions with blocked entities could face restrictions from the United States, including access to the American financial system.
Washington set a deadline of June 5 for foreign companies to cease operations with GAESA. Since then, the U.S. administration has intensified its outreach to governments and international partners, warning of the consequences of maintaining commercial relations with sanctioned entities.
On June 23, Secretary of State Marco Rubio reiterated, "Anyone providing services to these sanctioned actors risks being sanctioned themselves," following the announcement of new measures against the Banco Financiero Internacional (BFI) and RAFIN S.A.
In recent months, several foreign companies have announced changes to their operations related to Cuba, while others are reviewing their commercial ties with entities on the U.S. sanctions list.
The meeting held this Monday in Panama City represents another step in Washington's diplomatic strategy to enforce these measures from one of Latin America's principal financial and logistical centers.
Understanding U.S. Sanctions on Cuba
What is Executive Order 14404?
Executive Order 14404, signed by President Trump in 2026, expanded sanctions against entities controlled by the Cuban military conglomerate GAESA and introduced secondary sanctions.
How does Panama fit into the U.S. strategy against Cuba?
Panama has historically been used as a base for companies connected to Cuba's economic and military operations, making it a strategic focus for U.S. efforts to enforce sanctions and cut off illicit financial flows.
What could happen to foreign companies that continue doing business with sanctioned Cuban entities?
Foreign companies that engage in transactions with sanctioned entities may be subject to U.S. restrictions, potentially losing access to the U.S. financial system.