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1 1 (January 25, 2021)

handle is hein.crs/govebvq0001 and id is 1 raw text is: Updated January 25, 2021 Cuba: U.S. Policy Overview Since the early 1960s, when the United States imposed a trade embargo on Cuba, the centerpiece of U.S. policy toward Cuba has consisted of economic sanctions aimed at isolating the Cuban government. In 2014, the Obama Administrationinitiated apolicy shift away from sanctions and toward engagement andthe normalization ofrelations. Changes included the rescission of Cuba's designation as a state sponsor of international terrorism(May 2015); the restoration of diplomatic relations (July 2015); and an easing of restrictions on travel, remittances, trade, telecommunications, and banking and financial services (2015 and 2016), accomplished through amendments to the Cuban Assets Control Regulations, administered by the Treasury Department, and the Export Administration Regulations, administered by the Commeice Department. The restoration ofrelations led to increased government-to-government engagement, with over 20 bilateral agreements and numerous dialogues. President Trump unveiled his Administration's Cuba policy in 2017, introducing new sanctions and rolling back efforts to normalize relations. By 2019, the Administration had largely abandoned engagement and, from2019 to January 2021, significantly increased s anctions (see discussion below)-especially on travel and remittances-to pressure the Cuban government on human rights and for its support of the Venezuelan government of Nicolas Maduro. Most observers expect the Biden Administration to shift U.S. policy toward Cuba backto focusing on engagement and away fromthe numerous sanctions imposed in recent years. During the U.S. election campaign, President Biden said he would reverse Trump Administration policies, maintaining they harmed the Cuban people without advancing democracy and human rights. Cuban Political and Economic Developments. In April 2018, Vice President Miguel Diaz-Canel succeeded Radl Castro as president, although Castro continues to head the Cuban Communist Party (PCC) until at least April 2021. The selection of Dfaz-Canel, now 60 years old, reflected the generational changein Cuban leadership thatbegan several years ago and marks the first time since the 1959 Cuban revolution that a Castro is notin charge of the government. While in power from2006 to 2018, Radl Castro began to implement s ignificanteconomic policy changes, moving toward a more mixed economy with a strongerprivate sector; his government's slow, gradualist approach did not produce major economic improvements. In 2019, Cuba adopted a new constitution that introduced some political and market-oriented economic reforms but continued the state's dominance over the economy and the Communist Party's predominant politicalrole. The Cuban economy is being hard-hit by Venezuela's economic cris is, which has reduced Venezuela's support for Cuba; increased U.S. economic sanctions, which have hurt Cuba's nascentprivate sector; and the economic decline associated with the Coronavirus Disease 2019(COVID-19) pandemic. The Cubangovernment reports theeconomy contracted 11% in 2020. On January 1, 2021, Cuba eliminated its dual currency system, a major reform that was long debated. Economists maintain the currency reform will have high costs initially but should boost productivity and development over the longer term. Cuba's public health responseto the pandemic appears to have beeneffective, although the number of cases and deaths began to increase in late 2020. As of January 23, 2021, the country reported 194 deaths and over 21,000 cases. Cuba has provided international assistance for pandemic response by sending over 3,700 medical professionals to almost 40 countries. Cuba has a poor record on human rights, with the government sharply restricting freedoms of expression and other basic rights. As of January 4, 2021, the human rights group Cub an Prisoners Defenders listed 138 political prisoners, with 74 imprisoned forreasons of conscience. A November 2020 government crackdown on the San Isidro Movement, a civil society group opposed to the government's restrictions on artistic expres sion, spurred a protestby severalhundred Cubans, many young artists, and galvanized international attention on human rights in Cuba. Trump Administration Sanctions. President Trump issued a national security presidential memorandum in June 2017 that introduced new sanctions, including restrictions on transactions with companies controlled by the Cuban military. The State Department is sued a list ofrestricted entities in 2017, which was updated severaltimes, most recently January 8,2021. The Cuba restricted list includes 231 entities and subentities (ministries, holding companies, hotels, stores, and a wide variety of companies). The Administrationimposed a series ofsanctions andother actions, discussed below, and initiated a campaign highlighting allegations of coercive laborpractices in Cuba's foreign medical mis sions. Fiforts to Stop Venezuelan Oil Exports to Cuba. Since April2019, the Treasury Department has imposed sanctions on several shipping companies and vessels that transported Venezuelan oil to Cuba. In July 2019, it sanctioned Cuba's state-runoilimport/export company. Lawsuits Related to ConfiscatedProperty. Effective May 2, 2019, the Administration allowed the right to file lawsuits against those trafficking in confiscatedproperty in Cub a purs uant to Title III of the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996 (P.L. ttps://crsr ports~corgress.

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