After months of a crippling oil blockade on Cuba imposed by the United States, the fuel-starved country may see some relief as the US government said it would begin authorizing companies to resell Venezuelan oil.
On Wednesday, the US Department of the Treasury announced it would allow the resale of Venezuelan oil for "commercial and humanitarian use" in Cuba as the island nation faces one of its worst fuel crises in decades.
Venezuela is Cuba's largest oil provider. However, since US forces abducted Venezuelan President Nicolas Maduro in January and imprisoned him to face charges, the Trump administration has taken control of Caracas's oil and halted exports to Havana.
The US policy shift this week came after Caribbean leaders sounded the alarm about the dire situation in Cuba. At a regional meeting of Caribbean Community (CARICOM) countries, Jamaica's Prime Minister Andrew Holness called on Washington to ease the pressure.
Cuba's state-dominated economy has been struggling under a US embargo in place since 1962. The long-running sanctions have severely weakened Cuba, making it highly dependent on imports, with high inflation routinely causing food and energy shortages.
With Trump's latest oil embargo, the US has added a severe energy crisis. Widespread power blackouts of up to 20 hours are being reported across Cuba, impacting hospitals, businesses, and households.
Venezuela was providing up to 50% of Cuba's oil before the blockade, about 35,000 barrels per day. Under a special barter agreement in place since 2000, Cuba provides support for education, healthcare, and security services in return for discounted fuel.
In January, Trump warned Havana to "make a deal before it is too late" and imposed new trade tariffs on any countries selling oil to Cuba. He also claimed, without evidence, that Havana funds "terrorism".
The US has also reportedly seized fuel tankers in open waters transferring oil to Cuba.
Source: www.aljazeera.com