New Sanctions, a Deepening Crisis, and the Shrinking Path Forward

Sep 4

Written By CEDA The Center for Engagement and Advocacy in the Americas

#DoItTrumpDoIt. That’s the name of the rally being organized by a Cuban influencer who hopes to urge the administration to take action in Cuba. While the US may be working behind the scenes to identify someone within Cuba who can help facilitate “regime alteration,” so far Washington has opted to slowly ramp up sanctions, designating entities and individuals on an almost monthly basis. These measures are contributing to shortages of fuel, food, medicine, and electricity and making daily life increasingly difficult for ordinary Cubans.

That pressure compounded on September 3, when the Trump administration announced another round of sanctions targeting Cuban entities and an individual. On the same day, the Office of Foreign Asset Control (OFAC) authorized certain transactions for third-country diplomatic and consular missions in Cuba, offering a small measure of relief. It is still unclear how these measures will be applied in practice.

These small glimmers of relief are also visible in the form of $96 million in fuel sent to the island’s private sector from the US during the first half of this year. Humanitarian donations from charities, churches, non-governmental groups and others amounted to another $118.5 million during the same period. While these efforts can provide limited relief for some, they cannot address the scale of the crisis or restore electricity to Cuba’s power grid.

The consequences are being felt across nearly every aspect of daily life. Schools reopened this week for an estimated 1.4 million children as teacher coverage has dropped below 73 percent, while ongoing blackouts make transportation to school, let alone providing an education, a far-from-easy task. As the UN recently stated, without quick action, Cuba risks becoming a “Silent Gaza.”

Washington continues to demand political and economic changes that Cuba’s hardline government has been unwilling to make, despite the dire conditions on the ground. President Miguel Díaz-Canel continues to insist that reforms take place on Cuba’s own terms and rejects any association with capitalism.

One change the US has been pressing for is greater openness to foreign investment, something Cuba says it is already pursuing through the extensive reform package announced in June that it says will become law before the end of the year. But many of those reforms remain unimplemented, and opening further to foreign investment is particularly difficult under the extensive U.S. sanctions regime.

The result is a growing contradiction: Washington demands changes from Havana while maintaining policies that make economic recovery harder. Cuba, meanwhile, is pursuing reforms slowly and on its own terms, even as conditions on the island continue to deteriorate.

The Cuba Study Group recently released a statement calling for a stronger humanitarian response to Cuba’s ongoing crisis. It recommends that the US establish a humanitarian exemption for fuel donated by the international community, expand medical assistance, and publicly support Cuba’s independent private sector. The group also called on Cuba’s government to expand the direct importation and distribution of humanitarian assistance and incentivize greater private-sector participation in humanitarian relief.

U.S.-CUBA NEWS

U.S. Announces Two Rounds of Sanctions Designations

On August 20, the U.S. Office of Foreign Assets Control (OFAC) announced a sixth round of sanctions designations targeting nine entities and three individuals, including the Cuban Institute of Friendship with the Peoples (ICAP), entities working in Cuba’s metals and mining sector, and entities alleged to be “Cuban Regime-Controlled.” These designations were made pursuant to President Donald Trump’s May 1 executive order and build upon the State Department’s July 20 report, which alleges Cuban collusion with leftist groups in the US.

Three members of ICAP’s current and previous leadership were designated: Fernando Gonzalez Llort, Noemi Ramona Rabaza Fernandez, and Leima Martinez Freire. Llort is a former Cuban intelligence officer who was arrested in 1998 and was returned to Cuba after serving his sentence. The Trump administration has alleged that ICAP is responsible for a “decades-long campaign of subversive anti-American activities.” ICAP was previously designated in June.

Four entities linked to Cuba’s mining sector were designated: Empresa de Níquel Comandante Ernesto Che Guevara, Empresa Importadora Exportadora y Comercializadora de Metales (Metalcuba), Grupo Empresarial Geominero Salinero (Geominsal), and Acinox Comercial.

The Che Guevara enterprise is particularly notable because, if U.S. sanctions leave it unable to operate or export independently, they could inadvertently strengthen Canadian company Sherritt International’s position in Cuba’s nickel market. A battle for control of the venture is now underway between two American investors, at least one of which is linked to President Trump.

Cuba’s government entities designated were the Ministry of Construction of Cuba and Agencia de Contratación a Representaciones Comerciales S.A. (ACOREC S.A.). These entities facilitate construction policy and supply Cuban labor to foreign entities operating in Cuba. Three additional entities were designated for their alleged ties to Grupo Empresarial del Comercio Exterior (GECOMEX): Coratur S.A., Empresa Central de Abastecimiento y Ventas de Equipos de Transporte Pesado y sus Piezas (Transimport), and Empresa Comercializadora de Artículos en General (Consumimport), which import various materials.

These sanctions reportedly follow an operation at the Miami International Airport in which several U.S. citizens were briefly detained upon their return from Cuba. Officials claimed they were returning from participation in events celebrating Fidel Castro’s 100th birthday.

Cuba’s Minister of Foreign Affairs Bruno Rodríguez Parrilla condemned the designations, stating that the measures are “part of the collective punishment that the U.S. government is applying against the Cuban people” and alleging that they “hinder the work of international agencies and organizations.”

On September 3, the Office of Foreign Assets Control (OFAC) announced a seventh round of sanctions. The designations target five entities and one individual, including Fidel Ernesto Castro Calis, a grandson of former President Raúl Castro, and Banco Exterior de Cuba, a Cuban state-owned bank. The remaining four entities operate in the mining and energy sectors: Empresa de Servicios Comandante Rene Ramos Latour (Nicarotec), Empresa Importadora y Abastecedora del Níquel (Cexni), Empresa Importadora de Abastecimiento para el Petróleo (Abapet), and Comercial Cupet S.A.

Four Cubans Deported to the Central African Republic

At least four Cubans have been deported to the Central African Republic, a country on the State Department’s “Do not travel” list due to the risk of unrest, crime, kidnapping, landmines, and terrorism. Those identified as part of the group deported on July 30 are Omar Rodríguez, Arístides Fernández, Yasmany Moreno, and Daniel Lázaro Fuente. A total of 36 men were reportedly deported to the country, including one Honduran and one Ecuadorian.

Deportees were told they would be in a hotel for 90 days, after which they could renew their stay for another 90 days. Some reported being told they would be granted a visa to remain in the country. One of the Cubans, Yasmany Moreno, explained to CBS’s Camilo Montoya-Galvez that they are not allowed to leave the building, have no documentation, and have found the country to be violent. He also said he had never received notice that he was being deported to Africa.

The wife of one of the deportees, Honduran Brayan Sánchez, reportedly delivered a letter to Representative María Elvira Salazar (FL-27) asking her to advocate for him and the others deported with him. She is also working to meet with other Florida legislators, Representative Mario Díaz-Balart (FL-26), and Senator Rick Scott (FL). At least one of the Cubans, Arístides Fernández, had a pending habeas corpus case challenging his detention.

The Central African Republic signed a deal with the US in April 2026 to accept third-country nationals in exchange for approval of $85 million in U.S. government funding for the International Organization for Migration’s operations.

Cubans Deported to Equatorial Guinea After Refusing to Disembark in Liberia

On August 20, a group of 20 people was deported from the US to Liberia under a new agreement allowing up to 1,200 third-country nationals from the US to be deported there over one year. At least five of the 20 refused to leave the aircraft and were instead removed to Equatorial Guinea. Four of those deportees were Cuban men, three of whom identified themselves as Carlos Rodriguez Lopez, Darwin Hernandez, and Emilio Destrade Correoso.

The men told The New York Times that when they refused to get off the plane in Liberia, “officers placed knees on their necks” after which they were placed back on the plane and told they were being taken back to the US but instead were taken to Equatorial Guinea. Once they deplaned there, they said they were met by dozens of masked officers carrying semiautomatic guns. Previous groups of deportees have been informed that asylum was not available. Equatorial Guinea has been accepting deportees under an agreement with the US since November 2025 and has so far received 53 individuals of various nationalities.

Judge Strikes Down Trump Administration’s Visa Ban Affecting Cubans

On August 21, a federal judge struck down the Trump administration’s suspension of immigrant visas for nationals of 75 countries, including Cuba, calling the policy “patently unlawful.” The suspension was issued in January, and the State Department said it would remain in place while the administration reassessed immigration procedures to prevent the entry of foreign nationals who “would take welfare and public benefits.” The policy applied only to immigrant visas, not temporary nonimmigrant visas such as tourist and student visas. The ruling does not lift the separate travel restrictions imposed on Cubans in June 2025 which affects some visas.

The judge noted that the administration had denied visas even to applicants who were able to demonstrate that they were unlikely to become dependent on government benefits. The court vacated the policy and set aside visa refusals based solely on the suspension, meaning affected applicants may have their cases reconsidered under the normal immigration rules.

Implementation of the ruling has been contentious. On August 26, the groups that challenged the policy filed an emergency motion alleging that the State Department was continuing to deny or cancel visa interviews despite the court’s decision. The State Department then announced that they were complying with the August 21 ruling and the 75-country immigrant visa pause was no longer in effect.

Questions remain about how the ruling will be implemented and whether the administration will appeal it. The ruling represents a significant development for Cubans and other nationals affected by the suspension, restoring the possibility of individualized consideration for immigrant visa applicants. However, the decision does not remove all of the barriers Cubans face in obtaining U.S. visas.

Lawmakers Investigate Union’s Alleged Ties to Cuba’s Government

On August 13, Senator Bill Cassidy (LA), Chairman of the U.S. Senate Health, Education, Labor, and Pensions (HELP) Committee, sent a letter to the International Association of Machinists (IAM) alleging that the union has colluded with the Cuban government and requesting information about its interactions with Cuban state officials. The investigation follows allegations in the State Department’s July 20 report, which claimed that the IAM used workers’ dues to promote Cuban propaganda and detailed various interactions between the union and Cuban officials. Sen. Cassidy said, “These examples raise serious concerns that IAM Union officials have used their positions within the union to advocate for policy objectives promoted by the Cuban regime as part of a foreign influence scheme.” The IAM has not publicly responded to the allegations.

Democratic Candidate in Florida Supports Military Action in Cuba

Phil Ehr, a retired Navy Commander and Democrat challenging Representative Carlos Giménez (FL-28), has called for “the removal of Cuba’s illegitimate communist regime” and said he would support “decisive, lawfully authorized military action” against Cuba’s government. Ehr previously ran for Florida’s 28th Congressional District in 2024, receiving 35 percent of the vote compared with Rep. Giménez’s 64 percent.

Ehr’s support for military action is an unconventional position for a Democrat and is likely an attempt to appeal to Cuban American voters in the heavily Hispanic South Florida district. Roughly 75 percent of the district’s population identifies as Hispanic, and some Cuban Americans in the area have expressed support for U.S. action against Cuba’s government. A University of Miami poll of 800 Cubans and Cuban Americans living in South Florida earlier this year found that 79 percent supported some form of U.S. military intervention in Cuba. By comparison, just 17 percent of Americans surveyed in a recent Economist/YouGov poll said they favored using military force to take control of Cuba.

Expedia Wins Second Case Brought by Cuban Americans

Travel company Expedia won a second case brought by Cuban Americans who alleged that the company profited from hotels operating on property in Cuba that had been confiscated by Cuba’s government. Expedia initially lost a landmark case in April 2025, but that verdict was overturned the following September. That case is now under appeal. Expedia also prevailed in a separate 2025 case seeking more than $1.7 billion in damages over hotel bookings on land previously owned by the Sánchez Hill family.

In the latest case, the plaintiffs argued that Expedia had engaged in unlawful trafficking by facilitating bookings at five hotels built on land seized by Cuba’s government following the 1959 revolution. A Miami jury ultimately ruled in Expedia’s favor, finding that the plaintiffs had not provided sufficient evidence establishing ownership of the properties or official records documenting their confiscation. Expedia maintained that it operated in Cuba under travel licenses authorized during the second Obama administration. One of the plaintiffs in the case was also awarded $30 million in the earlier landmark case.

Cases like these are made possible by Title III of the Helms-Burton Act, which allows U.S. nationals to sue foreign companies that “traffic” in property confiscated by Cuba’s government after the 1959 revolution. Previous administrations largely suspended the provision, but the Trump administration fully activated it in 2019, opening the door to lawsuits against foreign companies doing business in Cuba.

Expedia ended all bookings in Cuba in April 2025. Dozens of additional Helms-Burton claims are already underway, including two cases that are headed to the Supreme Court, according to The New York Times.

IN CUBA

Cuba Opens Private Business Ownership to Cubans Abroad

On September 2, Cuba published Decree-Law 133/2026, allowing Cubans residing abroad to become partners in private businesses in Cuba. The measure, which takes effect September 9, is part of the 176 reforms announced by the government in June and represents a significant expansion of the private sector. Under the new rules, private businesses can also grow beyond the previous 100-worker limit, establish operations in other provinces, and import and export directly with authorization from the Ministry of Foreign Trade and Investment. The decree also allows an individual to hold stakes in more than one private business. Cuba first authorized MSMEs in 2021, and the sector underwent its previous major regulatory changes in August 2024.

The changes build on reforms adopted in July that moved Cuba away from a system in which private businesses could only engage in activities not explicitly prohibited. The new framework instead categorizes activities according to whether they are prohibited for non-state entities, reserved for the state, restricted to certain types of private businesses, or subject to additional government approvals. The July reforms also removed restrictions on 46 activities and modified the rules governing another 35. elTOQUE has a tracker for the implementation of the 176 reforms, documenting the regulations associated with each measure and whether action has been taken.

The impact of the changes remains uncertain. While the reforms could create new opportunities for Cubans abroad to invest in the island, skepticism remains over how much autonomy private businesses will have under continued state oversight. The U.S. sanctions regime also creates additional legal and financial risks for businesses that interact with sanctioned Cuban entities.

Two U.S.-Linked Proposals Compete for Control of Sherritt

Two competing U.S.-linked proposals are now seeking control of Sherritt International, the Canadian company behind the Moa nickel and cobalt joint venture in Cuba. The first proposal came from Gillon Capital, which reached a non-binding agreement with Sherritt in May that would give Gillon a warrant to acquire enough shares to reach a 55 percent stake. The proposal followed Sherritt’s May 7 decision to suspend its participation after the U.S. government sanctioned Moa Nickel S.A., its Cuban joint-venture partner. Sherritt later reversed plans and on May 20, announced the agreement with Gillon. Gillon is affiliated with Ray Washburne, a former Trump administration official who appears to be helping organize the Republican Party’s upcoming midterm convention in Dallas.

Gillon’s proposal now faces a competing bid from a consortium consisting of Glencore, London-based Kyma Capital, investor Trifon Natsis, and an unnamed U.S. investor, which Bloomberg has reported to be Albert Huddleston, a Dallas-based Texas oil and gas investor. The consortium submitted its non-binding proposal to Sherritt’s board on June 26, but the bid was not publicly disclosed until August 10. The proposal would recapitalize Sherritt through new equity priced at C$0.12 per share and give the consortium at least 55 percent control of the company. Unlike Gillon’s warrant-based proposal, the consortium says its offer is fully funded and would allow eligible existing shareholders to participate on the same terms.

Both potential deals face significant regulatory and legal hurdles. The U.S. Departments of State and Treasury reportedly confirmed that they did not object to Gillon’s negotiations with Sherritt, but that any completed transaction would require their approval. In addition, potential buyers could face claims related to property confiscated by Cuba’s government after the 1959 revolution under Title III of the Helms-Burton Act, including claims involving the land on which the Moa mining operation is located.

Iberia Extends Cuba Flight Suspension as Turkish Airlines Cancels Planned Resumption

In April, Iberia announced that it would suspend its direct flights between Madrid and Havana beginning in June, initially planning to resume service in November. On August 18, the airline extended the suspension through June 30, 2027, citing the ongoing situation in Cuba, including fuel shortages. Iberia has extended its flexibility options for passengers with tickets during the affected period, including refunds and rebooking options. During the suspension, the airline is offering passengers the option of traveling to Panama and continuing to Havana on Copa Airlines.

Turkish Airlines also suspended its direct flights to Havana earlier this year due to fuel shortages and declining demand. On August 19, the airline announced plans to resume Istanbul–Havana service on October 25. However, just days later, Turkish Airlines canceled the planned flights, with a spokesperson confirming to Diario de Cuba that the October 25 service would not operate. The airline continues to offer itineraries between Havana and Istanbul with a stop in Panama, where passengers transfer to Copa Airlines. These suspension extensions come amid a declining tourism industry which was once a lifeline for the island. Official figures show that tourism to Cuba is down 62 percent from January to July of this year compared to the same period in 2025.

CUBA'S FOREIGN RELATIONS

Dominican Republic Expels Cuban Officials

The Dominican Republic expelled nine Cuban officials and their families on August 13, totaling 21 people, and gave them seven days to leave the country. Cuba’s Ministry of Foreign Affairs (MINREX), however, said that 10 Cuban officials were expelled. The Dominican government did not provide a specific reason for the decision, saying only in a statement, “The measure falls within the powers that international law recognizes for the receiving State and within the relevant provisions of the Vienna Convention on Diplomatic Relations.”

MINREX condemned the expulsions, stating that “there is no justification whatsoever for this decision by the Dominican authorities” and that Cuban diplomats had always acted in accordance with the Vienna Convention on Diplomatic Relations. The ministry also alleged that the expulsions were the result of U.S. pressure on the Dominican government and characterized the decision as an act of “subordination” to Washington’s aggressive policy toward Cuba. The move comes amid broader efforts by the Trump administration to pressure countries across the region to distance themselves from Havana, including Ecuador, which expelled Cuba’s ambassador in March.

The expulsions are the latest sign of deteriorating relations between the Dominican Republic and Cuba, which have gradually cooled since the start of the second Trump administration. In September 2025, the Dominican government announced that Cuba would not be invited to the X Summit of the Americas, which was held in Santo Domingo.

Cuban Migrants Attempt Journeys by Sea to Mexico and Jamaica

A fishing crew rescued 16 Cuban migrants who had been drifting in a small boat roughly 10 nautical miles off Chicxulub Puerto, Yucatán, Mexico, on August 20. The group had reportedly been out of contact since August 11, prompting concern among relatives in Cuba and Mexico. The migrants were transferred to Mexican authorities and received medical attention after spending more than a week at sea. A similar incident occurred on June 25 when the U.S. Coast Guard intercepted a makeshift vessel carrying 27 people in the Yucatán Channel between Cuba and Mexico.

Days later, six Cuban nationals traveled by boat to St. James, Jamaica, on August 24. After locals spotted the boat, authorities quickly arrived at the scene and arrested the migrants. The Cubans were subsequently formally charged with illegal entry into the country and are expected to appear in court. Cubans attempting to reach Jamaica by boat are not a new phenomenon. In June 2025, six Cuban migrants were detained after arriving on a raft at the same beach.

These incidents are part of a broader pattern of Cubans undertaking increasingly precarious journeys by sea as economic and humanitarian conditions on the island deteriorate. With legal pathways to the US increasingly restricted, more Cubans may turn to irregular and precarious routes in search of safety and opportunity.

Recent International Aid Deliveries to Cuba

China delivered a third shipment of 15,000 tons of rice to Cuba in August, part of a 60,000-ton donation announced earlier this year. China also donated 5,000 photovoltaic systems to provide electricity to isolated rural homes and support essential services, including health centers and childcare facilities. In recent years, China has also built at least 34 solar parks in Cuba, representing a total investment of approximately $117 million.

Vietnam donated approximately $3.8 million in humanitarian assistance to Cuba through the Vietnam Red Cross Society on August 11, following a previous delivery on June 16. The latest donation was presented as a gesture of solidarity ahead of the celebration of Fidel Castro’s 100th birthday.

Russia delivered humanitarian supplies to Cuba on August 17, including food, sweets, portable flashlights, USB drives, and first-aid kits. The aid was delivered by a delegation from Russia’s Civic Chamber during a visit to Havana. Russia’s last aid delivery to Cuba was sent in the form of an oil tanker that arrived on March 31 carrying at least 700,000 barrels of crude. This shipment helped sustain the island for several weeks, but no oil shipments have arrived since.

Kenya Closes Embassy in Havana

Kenya has closed its embassy in Havana and moved its Caribbean diplomatic presence to Kingston, Jamaica, where Nairobi opened a resident High Commission in July. The Havana embassy opened in 2016 and was Kenya’s first diplomatic mission in the Caribbean.

The move does not appear to signal a break in diplomatic relations with Cuba or a decision to cut ties with Havana under pressure from Washington, as other countries have done in recent months, including Costa Rica. Kenya will retain diplomatic relations with Cuba through a non-resident ambassador based in Kingston, while Havana will continue to maintain its embassy in Nairobi.

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