Bills
| 3.23.22

Should There Be Trade Between the U.S. and Cuba? (S. 491)

Do you support or oppose this bill?

What is S. 491?

(Updated March 15, 2018)

This bill would repeal or amend current laws that restrict trade with Cuba. Specifically, it would eliminate the ban on assistance to Cuba, and the President’s authority for the embargo on Cuba under the Foreign Assistance Act of 1961.

The President’s authority to continue direct restrictions on trade with Cuba under the Trading with the Enemy Act would be eliminated, and all associated regulations are eliminated.

The Cuban Democracy Act of 1992 would be amended to eliminate:

  • Presidential authority to impose sanctions against Cuban trading partners;

  • Restrictions on transactions between U.S.-owned or controlled firms and Cuba;

  • Limitations on direct shipping between Cuban and U.S. ports;

  • Restrictions on remittances (i.e. sending money from the U.S. to Cuba).

The Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996 would be amended to eliminate:

  • The enforcement of an economic embargo of Cuban provisions;

  • The Prohibition on indirect financing of Cuba.

The Trade Sanctions Reform and Export Enhancement Act of 2000 would be amended to:

  • Remove Cuba from the list of state sponsors of terrorism subject to agricultural and medical export restrictions.

  • Repeal the prohibition on Cuban-made goods entering the U.S., goods made in part in Cuba, and goods that were transported through Cuba.

Argument in favor

The trade embargo against Cuba hasn’t been effective at forcing the communist country to change its regime and embrace democracy. Opening up trade between the U.S. and Cuba would help them recognize their need to reform.

Argument opposed

Cuba is still one of the most repressive countries on the planet, and while opening up trade ties between the U.S. and Cuba might benefit the Cuban people in the short-term — it could allow the Castro regime to retain power.

Impact

Americans and Cubans, businesses that would trade between the two countries, Congress, the President.

Cost of S. 491

A CBO cost estimate is unavailable.

Additional Info

In-Depth: As a cosponsor of this legislation, Sen. Rand Paul (R-KY) wants to “unleash a trade tsunami that washes the Castros once and for all into the sea,” and he believes that:

“The 50-year embargo just hasn’t worked. If the goal is regime change, it sure doesn’t seem to be working, and probably, it punishes the people more than the regime because the regime can blame the embargo for the hardship.”

This comment inspired a dismissive comment from fellow Senator Marco Rubio (R-FL), who said that after the U.S. normalized relations with Cuba: “All that’s going to change here is that there’s going to be more money going into Cuba… and what that means is they’re now going to be able to solidify themselves in power.”

Freedom House’s 2015 ‘Freedom in the World’ report gave Cuba the lowest possible rating for political rights, a half a notch above the bottom for overall freedom, and one notch above the lowest possible rating for civil liberties.


Of Note: Following the Cuban Revolution that saw Fidel Castro establish a communist regime in Cuba, relations deteriorated between the U.S. and Cuba. In 1960, two years after Castro’s revolution succeeded, the U.S. banned all exports into Cuba aside from food and medicine. The failed Bay of Pigs operation and the Cuban Missile Crisis over the next two years exacerbated the tensions, which led to the enactment of a ban on all imports from Cuba.

In December 2014, the U.S. and Cuba formally restored full diplomatic relations -- though it has not yet led to the re-opening of embassies in each country.


Media:

Summary by Eric Revell
(Photo Credit: Flickr user dayblakelydonaldson)

  • 67
    Matthew
    Voted Yea
    09/01/2022

    We must lift the Cuban embargo. Cuba does not pose a threat to American interests, and the embargo only harms citizens of Cuba. This evil policy must be lifted immediately to ease the suffering sanctions have placed on Cubans for the past 60 years. Let Cuba trade with and be open to the world, the restrictions are ridiculous and harmful. End the Cuban embargo!