SECRET US-CUBA ENERGY DEAL COLLAPSED OVER POLITICAL DEMANDS – WHAT WENT WRONG?

News Desk World

Fri 11 September 2026:

Proposed agreement would have tied US energy support to major economic and political reforms in Havana

The Trump administration secretly considered an energy agreement with Cuba earlier this year that would have brought US oil and investment to the island in exchange for sweeping economic and political changes, according to media reports published Thursday.

The proposed deal ultimately failed to materialize after resistance from the Cuban government and political opposition in Miami, the reports said.

Under the proposal, Cuba would have received US oil if Havana agreed to privatize its state-owned energy company, CUPET. Washington also sought to give US investors control over the company, which oversees refineries, storage facilities and fuel distribution through CIMEX, a unit of the military-linked GAESA conglomerate.

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Energy Crisis Opens Door to Talks

The proposal emerged after Venezuela’s Nicolas Maduro was captured by US forces on Jan. 3, cutting off the oil supplies Caracas had been providing to Havana.

Cuba produces only around 40% of the oil it needs, while its aging electricity grid and Soviet-era power plants have experienced repeated failures.

The Trump administration subsequently declared a national emergency concerning Cuba and threatened tariffs against countries continuing to supply the island with oil.

In February, Washington approved the sale of US oil to private Cuban entities, signaling a possible opening for greater US involvement in Cuba’s energy sector.

“The Cuban people deserve freedom, not another deal to keep the same regime in power,” US Republican Rep. Maria Elvira Salazar said during a congressional hearing in April.

Talks With Castro Relative Reported

US officials reportedly met Raul Guillermo Rodriguez Castro, grandson of former Cuban leader Raul Castro, in Saint Kitts and Nevis in February, according to the Miami Herald.

Rodriguez Castro reportedly indicated that Havana could accept economic reforms but maintained that Washington could not determine how Cuba should be governed.

US lawmakers Carlos Gimenez and Mario Diaz-Balart questioned reports that negotiations were taking place with the Castro family. Salazar, meanwhile, rejected any agreement that could help maintain the existing Cuban government.

The administration later moved away from the proposed arrangement and intensified sanctions, targeting GAESA in May and CUPET in June.

Cuba’s foreign minister said Monday that communication channels with Washington remained open, but there had been “no progress” and no negotiations were currently underway.

SOURCE: INDEPENDENT PRESS AND NEWS AGENCIES

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