US to Tariff Nations Supplying Oil to Cuba

The Trump administration has authorized tariffs on goods from any country that provides oil to Cuba, escalating economic pressure on the island nation's government.

President Donald Trump signed an executive order that directs officials to first identify which countries are supplying Cuba with oil and then determine appropriate export duties to impose on them.

In the order, Trump stated that "The Government of Cuba has taken extraordinary actions that harm and threaten the United States." The document accuses the Cuban government of aligning with and supporting "numerous hostile countries, transnational terrorist groups, and malign actors adverse to the United States."

Mexico Faces Intensifying US Pressure

This new policy places Mexico, the top trading partner of the US, directly in the spotlight. As Venezuela’s own economic crisis has caused its oil shipments to plummet, Mexico has become the primary foreign oil supplier to Cuba.

The pressure already appears to be having an effect. Earlier this month, Mexico canceled a planned crude shipment to the island, according to documents reviewed by Bloomberg News.

The timing of the announcement is notable, coming just hours after Mexican President Claudia Sheinbaum described a "cordial" trade-focused conversation with Trump that she said did not include any discussion of Cuba. Her office declined to comment on the new tariff order but indicated she would address it at a press conference on Friday morning. The Mexican foreign and economy ministries also did not provide immediate comments.

"This is mostly to deter Mexico from selling oil to Cuba," said Francisco Monaldi, an energy expert at Rice University. "This is a massive blow to Cuba that will push that island very quickly into a very dire situation."

Trade Leverage and Geopolitical Stakes

The tariff threat adds another layer of complexity to the US-Mexico relationship. The two countries, along with Canada, are scheduled to review the USMCA regional trade agreement later this year—a pact with major consequences for Mexico's export-driven economy.

European diplomats have voiced concerns that continued fuel deprivation could trigger a humanitarian crisis in Cuba. The island's oil supplies have been significantly reduced since operations targeting Venezuela’s Nicolas Maduro began, with the Trump administration demanding that the interim government in Venezuela stop sending energy to Havana.

Trump amplified this stance in a recent social media post, declaring, "THERE WILL BE NO MORE OIL OR MONEY GOING TO CUBA - ZERO!" He urged the island's leaders to "make a deal, BEFORE IT IS TOO LATE."

Last year, data compiled by Bloomberg shows that Mexico's state-owned oil company, Pemex, sent an average of one tanker per month to Cuba, equating to roughly 20,000 barrels of crude oil per day.

US Cites Security and Regime Change Goals

The executive order justifies the action by framing the Cuban government as a supporter of terrorism and a source of regional instability that endangers American security. For years, US officials have also been concerned about China establishing an intelligence-gathering presence in Cuba, mirroring the role the Soviet Union played during the Cold War.

Secretary of State Marco Rubio, whose parents immigrated to the US from Cuba, was direct about the administration's goals at a hearing on Wednesday.

"It would be of great benefit to the United States if Cuba was no longer governed by an autocratic regime," Rubio said, adding that the US would "love to see" a change in the Cuban government.