The White House Confirms Food/Ag Exports To Cuba Benefits Economy With Jobs/Business Activity

Since December 2001, the Republic of Cuba has puchased on a cash-in-advance basis in excess of US$5.57 billion in agricltural commodities and food products from the United States under provisions of the Trade Sanctions Reform and Export Enhancement Act (TSREEA) of 2000.

Since December 2001, the Republic of Cuba has ranked from 29th to 55th among the 229 agricultural commodity and food product country export markets.

In 2017, the Republic of Cuba purchased US$260,667,075.00 in agricultural commodity and food products from the United States; the Republic of Cuba ranked 55th of 229 country export markets.

According to The White House, the 2017 export value for the Republic of Cuba supported approximately 2,000 United States jobs.

According to The White House, the 2017 export value for the Republic of Cuba created approximately US$331,047,185.25 in "business activity."

THE WHITE HOUSE
Office of the Press Secretary

FOR IMMEDIATE RELEASE

March 19, 2018

NATIONAL AGRICULTURE DAY, 2018

BY THE PRESIDENT OF THE UNITED STATES OF AMERICA
A PROCLAMATION

On National Agriculture Day, we acknowledge the tremendous work ethic, ingenuity, determination, and perseverance that define generations of American farmers.  Because of their efforts, the United States produces an abundant supply of food, feed, and fuel for a growing global population.  Our rich and abundant soil provides for more than just sustenance -- it provides a beautiful and bountiful way of life for millions of Americans. 

America's strong agricultural sector is a key component of our Nation's robust economy and trade.  Every $1 of United States agricultural and food exports creates another $1.27 in business activity.  Our country's agriculture exports are valued at more than $100 billion, and every $1 billion in exports supports approximately 8,000 American jobs.  Moreover, agriculture contributes to at least 8.6 percent of our gross domestic product.  The economic boost from our agriculture reaches beyond the fields our farmers tend, with unrivaled skill and diligence, to communities all across America.    

America's farmers, growers, ranchers, foresters, and agricultural scientists and engineers are world-leading innovators, exploring new research and technologies like advancements in biotechnology and the use of automated vehicles that enable precision agriculture to maximize yields and minimize environmental impacts.  My Administration proudly supports them in their pioneering endeavors.  In this new era of American agriculture, the U.S. Department of Agriculture is investing in rural broadband access, roads, and bridges, and is supplying affordable, reliable power to those living on the outskirts of larger cities and towns.  These investments in American infrastructure will improve the quality of life in rural America for years to come.

To help the American agricultural economy succeed in an increasingly competitive global market, I signed the Tax Cuts and Jobs Act, the largest tax cut and reform legislation in American history.  This legislation is providing much needed relief to America's farmers, who can now expense 100 percent of their capital investments, including expenditures for farm equipment, over the next 4 years.  Additionally, under this new legislation, the vast majority of family farms will now be exempt from the death tax. 

American agriculture is an integral part of our success as a Nation, uniquely tied to both our country's culture and economy.  Today, and every day, we cherish our Nation's rich agricultural history and celebrate the greatness of the American farmer. 

NOW, THEREFORE, I, DONALD J. TRUMP, President of the United States of America, by virtue of the authority vested in me by the Constitution and the laws of the United States, do hereby proclaim March 20, 2018, as National Agriculture Day.  I encourage all Americans to observe this day by recognizing the preeminent role that agriculture plays in our daily lives, acknowledging agriculture's continuing importance to rural America and our country's economy, and expressing our deep appreciation of farmers, growers, ranchers, producers, national forest system stewards, private agricultural stewards, and those who work in the agriculture sector across the Nation. 

IN WITNESS WHEREOF, I have hereunto set my hand this nineteenth day of March, in the year of our Lord two thousand eighteen, and of the Independence of the United States of America the two hundred and forty-second.
 
DONALD J. TRUMP

U.S. Food/Ag Exports To Cuba Increased 32% In January 2018

ECONOMIC EYE ON CUBA©
March 2018

January 2018 Food/Ag Exports To Cuba Increased 32%- 1
January 2018 Healthcare Product Exports US$1,206,160.00- 2
January 2018 Humanitarian Donations US$371,533.00- 3
Obama Administration Initiatives Exports Continue To Increase- 3
U.S. Port Export Data- 15
Speaking Schedule- 16

JANUARY 2018 FOOD/AG EXPORTS TO CUBA INCREASED 32%- Exports of food products & agricultural commodities from the United States to the Republic of Cuba in January 2018 were US$18,680,345.00 compared to US$14,149,848.00 in January 2017 and US$22,819,258.00 in January 2016.

COMPLETE REPORT IN PDF FORMAT

Four Points Sheraton Havana Retains Most Restrictive Reservation Policy Without Needing To Do So

After twenty-one months of operation, Four Points Sheraton Havana continues to have perhaps the most restrictive reservation policy of any property located in the Republic of Cuba.  The company has not commented as to the reason(s) for the reservation policy.
 
Neither the Office of Foreign Assets Control (OFAC) of the United States Department of the Treasury nor the Ministry of Tourism (MINTUR) of the Republic of Cuba require the restrictions.

http://www.cubatrade.org/blog/2017/4/28/why-does-sheraton-continue-to-have-the-most-restrictive-reservation-policy-of-any-hotel-in-cuba?rq=four%20points%20sheraton%20havana

On 27 June 2016, Stamford, Connecticut-based Starwood Hotels & Resorts Worldwide (a subsidiary of Bethesda, Maryland-based Marriott International) commenced management of the Hotel Quinta Avenida Habana, which was re-branded as Four Points Sheraton Havana.

Four Points by Sheraton Havana (SPG Category 6)
Avenida 5ta A 76 - 80,
Miramar District
Havana, Cuba

"Payment and Cancellations

Reservations for this hotel are prepaid and there are NO REFUNDS for changes or cancellation for any guests, including SPG members. Additional charges at the Hotel must be paid in CASH or credit cards authorized for usage in Cuba (Please note-most US Based Credit Cards are NOT accepted in Cuba—check with your individual financial institution)"

http://www.starwoodhotels.com/fourpoints/property/overview/index.html?propertyID=4531&language=en_US

OFAC Liability Evasion or Government-Approved Avoidance For Cuba Travel?

Rolling A Bowling Ball Through A Waterford Crystal Store

Direct Payment Versus Indirect Payment

OFAC Reportedly Confirms Verbally, Not In Writing

Deposits Are Fungible; Using Fungible Money

“Shaken, Not Stirred”

Watergate’s “Follow The Money”

Travelers May Stay At Kempinski Hotel In Havana?  Maybe Yes

Members Of Congress None Too Amused; Are Departments Going Rogue?

Pulling The Pin Of A Grenade

The Trump Administration has tempered and, in some instances, extinguished interest by United States companies and interest by United States travelers from engagement with the Republic of Cuba; and the government of the Republic of Cuba shouldn’t be excused from enabling complicity by action and inaction.

However, the Miami, Florida-based publication Cuba Standard reported (see article) a New York, New York-based attorney received verbal confirmation from a representative of the Office of Foreign Assets Control (OFAC) of the United States Department of the Treasury in Washington DC that at least one Trump Administration travel-related narrative believed true by many is not accurate. 

The OFAC did not issue the confirmation to the attorney in writing to preserve deniability and/or flexibility (there might have been “miscommunication”).  This is not unusual for the OFAC.

The landlord of the Gran Hotel Manzana Kempinski La Habana is ultimately Grupo de Administracion Empresariel S.A. (GAESA) which is controlled by the Revolutionary Armed Forces (FAR) of the Republic of Cuba.  The property opened in 2017 and is managed by Geneva, Switzerland-based Kempinski Hotels S.A.  The hotel, which has the highest standards of service and the highest per room prices in the Republic of Cuba, may not be prohibited to individuals subject to United States jurisdiction.

In November 2017, the United States Department of State in Washington DC published a list (https://www.state.gov/e/eb/tfs/spi/cuba/cubarestrictedlist/275331.htm) of Republic of Cuba government-operated entities that were to be restricted from engagement by travelers (and United States companies) subject to United States jurisdiction. 

The list identifies entities affiliated with and/or controlled by GAESA and FAR.  The wording with respect to compliance is “Direct financial transactions with certain entities and subentities under the control of, or acting for or on behalf of, the Cuban military, intelligence, or security services are also generally prohibited.” 

Significant the document also contains “*** Entities or subentities owned or controlled by another entity or subentity on this list are not treated as restricted unless also specified by name on the list. ***.” 

Republic of Cuba government-operated Havanatur (controlled by GAESA and thus FAR) is not on the list.  The majority of travelers subject to United States jurisdiction use the services of Havanatur. 

The Ministry of Tourism (MINTUR) of the Republic of Cuba reported 1,173,428 individuals subject to United States jurisdiction visited the Republic of Cuba in 2017: 453,905 individuals of Cuban descent, an increase of 137.8% compared to 2016 and 619,523 individuals not of Cuban descent, an increase of 217.4% compared to 2016.  Some individuals visited on more than one occasion and may have been counted more than once.

Follow The Money

The Watergate-era “follow the money” phrase has relevance as the OFAC determines what transactions are permitted and what transactions are prohibited.     

It is the process of engagement that defines the impact upon travelers.  The meaning of “direct” and “indirect” are relevant.  Members of Congress who are seeking clarification from the OFAC and from the United States Department of State want regulations interpreted constrictively rather than expansively.  Uncertain as to the outcome of that effort.

When an individual, travel agent or tour operator contacts (generally by email) Havanatur requesting a reservation at a hotel in the Republic of Cuba, Havanatur contacts the hotel seeking confirmation of availability or deducts the room night(s) from existing room blocks controlled by Havanatur.  NOTE: Individuals subject to United States jurisdiction are authorized by the OFAC to confirm reservations directly with hotels in the Republic of Cuba and make payment at check-in or at check-out. 

Upon receipt of confirmation from Havanatur, payment is transferred from the individual, travel agent, tour operator, organization or company in the United States to a financial institution at which Havanatur has an account whether in a third country or in the Republic of Cuba.  The OFAC authorizes individuals and entities subject to United States jurisdiction to have accounts at Republic of Cuba government-operated financial institutions. 

The payment process may be by currency (through courier using regularly-scheduled commercial flights), but the prevalent means is by wire transfer from a financial institution in the United States to a financial institution in a third country where Havanatur has an account or through that third country to a Republic of Cuba government-operated financial institution in the Republic of Cuba where Havanatur has an account. 

NOTE: The continuation of the inefficient and costly triangular payment requirement is a legacy-building courtesy of the Obama Administration, which could have re-authorized the two-way payment process, but chose not to for undisclosed reasons.  Another materially impactful commercial regulatory lapse by the Obama Administration left to the Trump Administration to correct toward obtaining secure, efficient, cost-effective and transparent transactional integrity.  The Obama Administration believed that United States agricultural, food product, healthcare product and equipment exporters should pay a fee to third-country financial institutions for every transaction with the Republic of Cuba; commerce-appreciating officials within the Trump Administration and Members of Congress believe otherwise.

If Havanatur has one account at a Republic of Cuba government-operated financial institution and all funds received (directly or indirectly) from United States-based entities (individuals and companies and organizations) are directed to this account, then the resulting deposits are co-mingled- a deposit from A cannot be distinguished from a deposit by B or a deposit by C once all are in this account. 

For example, if an individual or company goes to a financial institution with two (2) US$10.00 bills and deposits them together or separately into one account, there will be no means to know which US$10.00 bill is being used the following day to make payment for an invoice to a third-party.  

For this reason, according to the New York City-based attorney who discussed the transaction process with a representative of the OFAC, there would seem to be limited impediments to travelers subject to United States jurisdiction visiting the Republic of Cuba selecting the hotel of their choice, including the Gran Hotel Manzana Kempinski La Habana and under construction GAESA-owned Sofitel So La Habana, under the ultra-luxury Legend category, to be managed by Paris, France-based Accor S.A..

Fungible Funds

What might travelers subject to United States jurisdiction convey to Havanatur?  When Havanatur receives funds for a reservation (which might now include a “fungible money” daily per diem of perhaps US$200.00 or more to spend at the hotel on meals, min-bar, laundry, spa services, etc. with unspent “fungible money” returned to the guest upon check-out) at a restricted property, don’t forward those funds directly to the restricted property.  Place the funds in a Havanatur general account, shake (rather than stir), wait a minute or two, then send the required funds value to the restricted property.  If using a courier with currency, verify the serial numbers on the currency to make certain that the serial numbers on the currency that arrived (directly or indirectly) from the United States are not the same as those delivered to the restricted property.  Is this OFAC-sanctioned money laundering?

The distinction as to use of direct and indirect funds is analogous to the 1990’s when visits to the Republic of Cuba by individuals (other than those of Cuban descent) subject to United States law (before the OFAC began using “jurisdiction” which was more expansive) were far more problematic, there was focus upon “fully hosted travel” which was defined as all payments on behalf of the traveler relating to the visit to the Republic of Cuba were to be paid by an individual and/or entity not subject to United States law (jurisdiction); and there would be no reimbursement, directly or indirectly, to the individual and/or entity making the payments.

The Takeaway

For United States companies and for travelers subject to United States jurisdiction there remains distance between Trump Administration rhetoric about policies, statutes and regulations and how the Trump Administration implements and interprets policies, statutes and regulations.  

Enforcement is a grenade and thus far OFAC, BIS, CPB and the United States Department of State have neither pulled the pin nor thrown the device.  Some would argue that the grenade remains hidden from view... or can’t be found.

Complete Analysis In PDF Format

 Cuba Standard

Miami, Florida

Stricter U.S. travel regulations: More hole than cheese

“The main challenge the travel industry is facing in light of the recent dramatic drop in Cuba business seems to be the U.S. public’s fears and perceptions, rather than the Trump administration’s actual restrictions.

Leaving the impression that Washington’s new regulations for Cuba travel are more hole than Swiss cheese, a U.S. lawyer told a crowd of U.S. travel executives during Cuba Media Day Jan. 29 at the Meliá Cohiba in Havana that there are simple ways for tour operators to legally put up their clients in any of the 83 Cuban hotels the Trump administration included recently placed on a “Cuba Restricted List” of properties controlled by Cuba’s armed forces.

Since the activity incriminated by U.S. enforcers is payment — rather than the actual use of the blacklisted hotels — Cuba could simply switch booking and payment for the hotel to an entity that is not included.

“U.S. travelers can stay even at hotels on the list,” said Lindsey Frank, a principal with New York law firm Rabinowitz, Boudin, Standard, Krinsky & Lieberman, P.C., about new restrictions published by the Office of Foreign Assets Control in November. 

“OFAC confirmed to us recently that, even though direct payment to restricted entities is prohibited, they can still stay in hotels that are on the Restricted List — as long as they make their arrangements and payment through an unrestricted agency that is not subject to U.S. jurisdiction, such as Havanatur. This is a real opening for staying at any hotel here.”

The lawyer told Cuba Standard he received this guidance verbally from an OFAC official, in response to a written inquiry.

Asked how close Cuba is to offering alternative travel arrangement and payment mechanisms, the chief executive of the state holding that combines all major inbound tour operators — including Havanatur — held up his hand, forming a tight “V” with his thumb and index.  “This close,” said José Manuel Bisbé York, president of Grupo Empresarial Viajes Cuba.

The State Department’s “Cuba Restricted List”, published in November with the aim of blocking transactions with all armed forces-controlled businesses, includes practically all hotels in Old Havana, the single most popular tourism destination in the island. All boutique hotels there are operated by state company Habagüanex, which was recently taken over by GAESA, the armed forces-controlled holding. 

Individual travel

Meanwhile, experts at the event also made clear that — despite the Trump administration’s stated intent of blocking it — individual travel is still possible, either under the auspices of an organization, or under “Support for the Cuban People”, one of 12 travel categories permitted by U.S. sanctions. If they decide to use that category, solo travelers have to stay at privately owned accommodations, pursue a full-time schedule of activities, and keep track of what they are doing, in case U.S. officials ask for evidence.

Travel executives at the event said that follow-up by U.S. sanctions enforcers after travel is very rare. With the exception of a musical group from California that was questioned by OFAC officials last year after their Cuba trip, none of the companies that together handle tens of thousands of travelers said they had heard of any OFAC investigations.

“We are not aware of any stepped-up enforcement,” said Tom Popper, organizer of the Cuba Media Day event and owner of Insight Cuba, one of the larger U.S. tour operator.”

JICA Opens Office; Japan Continues Focus Upon Cuba

https://www.jica.go.jp/cuba/english/index.html

"JICA opened its 99th overseas office in Cuba this January and you are now visiting the website of this very office, JICA Cuba. Thank you for visiting us.

Located just 150 km off the south of the Florida Peninsula, floating in the emerald-green waters of the Caribbean Sea, Cuba is a nation that became famous across the world for the "Cuban Revolution" which saw the victory of the Revolutionary Army led by Fidel Castro and Che Guevara 59 years ago. Since then, Cuba has remained resolutely committed to maintaining a socialism regime, never buckling under the pressure of US economic sanctions, and wielding a strong influence over the third world and non-aligned countries in Asia and Africa as the leader of autonomy and independence – this is Cuba. Japanese people will probably associate Cuba with baseball players, cigars, salsa, and 1950s´ classic cars.

That being said, I suspect that few people who realize that Cuba has a history of exchanges with Japan that spans over 400 years, and this year sees the 120th anniversary of the arrival of the first Japanese immigrants in Cuba, that Japan was Cuba's largest trade partner in the West (outside the communist bloc) in the 1970s, and that Cuba has already hit quite a few of the UN Sustainable Development Goals (SDGs), which even developed countries are still some way off achieving. Cuba is also known as the only county in the world that has embodied ideas of equality within the socialism principles as seen in its systems of unconditional free education and healthcare, food rationing, and an egalitarian pay.

Over 58 years from its reception of the first participants in training courses in 1960 - the year following the "Cuban Revolution" – to the on-going technical cooperation projects and grant aid initiatives, JICA has been dedicated to cooperating with and contributing to improving lives in Cuba while respecting Cuba's unique planned economy and relentlessly maintaining its partnership with Cuba.

Since the 2000s, JICA has particularly focused its cooperative efforts on the agricultural sector to contribute to Cuba´s national policies, such as increasing food production and food self-sufficiency (specifically regarding rice). JICA also extended its technical cooperation to the environmental sector, as seen in purification of Havana Bay water and initiatives relating to waste treatment in the Municipality of Havana.

The Cuba-Japan summit meeting, which saw Japanese Prime Minister Abe become the first-ever Japanese Prime Minister to visit to Cuba, was held in 2016 to affirm that bilateral relations are to be further strengthened. As part of its efforts to greatly expand economic cooperation and serve development needs in a public-private partnership, JICA has begun cooperation with the health sector on a larger scale to improve diagnostic techniques with high-level medical devices and to reinforce the capacity for the maintenance and management of medical equipment.

In addition, JICA is planning to extend its cooperation and roll out several projects to the energy sector to serve the promotion of renewable energy use and the stable and efficient electricity supply. It is also seeking to assist the transportation sector in the development of important infrastructure, such as roads, ports and harbors, airports, and urban transport.

The launch of the new JICA office in Cuba (structural reinforcement) is a statement of JICA's commitment to implementing effective, efficient, detailed and dynamic projects and cooperation initiatives to make substantial contributions to social and economic development, a goal that this country has always aspired to achieve in its own way. Building on the foundations laid so far, we are ready to take a step forward into the next stage, working hard alongside the people of Cuba.

"Hasta la Victoria siempre!" (Quoted from Che Guevara)"

New Cuba Sailings Continue To Move Cuba Above US$2 Billion In Marketplace Value To U.S. Companies

Cuba A US$2+ Billion Travel Marketplace

 Deliver 624,000+ Cruise Passengers To Cuba

375+ Sailings To Cuba

US$834+ Million In Gross Revenues To The Cruise Lines

US$89+ Million Spent In Cuba By Cruise Passengers

US$23+ Million In Port Fees To Cuba

 US$250+ Million To U.S. Airlines Relating To Cruises

US$116+ Million Hotels/Restaurants/Ground Transportation In Florida Relating To Cruises

NOTE: This data is for cumulative announced sailings for the period 2017 through 2020 as reported by the cruise lines.  

Transporting, housing, and feeding these 624,000+ travelers could result in an additional US$250+ Million to United States airlines transporting passengers to South Florida port gateways and US$116+ million to hotels, restaurants and ground transportation services located in South Florida. 

NOTE: Total United States airline revenues in 2017 from transporting passengers from the United States to the Republic of Cuba and return was approximately US$400 million.  In 2017, individuals subject to United States jurisdiction spent approximately US$650 million while visiting the Republic of Cuba. 

The three (3) largest cruise lines (through their multiple brands Oceana Cruises, Azamara Club Cruises, Regent Seven Seas Cruises, and Holland America Line among others) and smaller cruise lines (through their multiple brands) have approximately 375+ itineraries which include the Republic of Cuba for the cumulative 2017, 2018, 2019 and 2020 sailing seasons.  Additional itineraries continued to be announced. The largest three:  

Miami, Florida-based Norwegian Cruise Line Holdings Ltd

Miami, Florida-based Carnival Corporation & plc

Miami, Florida-based Royal Caribbean Cruises Ltd

NOTE: In 2017, the three-largest cruise lines combined operated a fleet of approximately 146 vessels, managed approximately 14 brands, earned approximately US$29 billion in gross revenues, and employed approximately 218,000 men and women.

If each vessel sails to the Republic of Cuba at capacity, more than 624,000 passengers would visit the Republic of Cuba from 2017 through 2020.

The gross revenues to the cruise lines from the approximately 375+ sailings that include the Republic of Cuba could cumulatively exceed US$834+ million for the period 2017 through 2020.

The 624,000+ passengers would be projected to spend approximately US$89+ million while in the Republic of Cuba [averaging approximately US$140.00 per person in expenditures and organized/non-organized excursions including cost(s) for tour(s), meals (government-operated and privately-operated), ground transportation (privately-operated classic car tours), sundries and souvenirs (including spirits, coffee, tobacco, artwork and crafts)].  Some passengers could spend considerably more (alcohol, cigars and coffee for example) given the United States duty-free personal exemption of US$800 per person.  

Vessel port charges in the Republic of Cuba may exceed US$23+ million, ranging up to approximately US$79,000.00 for the largest vessels (684-passenger to 2,744-passenger).

PDF Format

Crowley Transports US$2.9 Million In Steam Turbine Parts To Cuba For GE Contract

In December 2017, Boston, Massachusetts-based General Electric (GE; 2017 revenues exceeded US$122 billion) delivered from the United States to the Republic of Cuba "parts for steam turbines" valued at US$2,935,515.00 with a weight of approximately 11 metric tons.

The parts traveled from Atlanta, Georgia, to Port Everglades, Florida, then to Port Mariel in the Republic of Cuba.  Jacksonville, Florida-based Crowley Liner Services provided the transportation from the United States to the Republic of Cuba.

A data-input error in the report issued by Newark, New Jersey-based PIERS identified the December 2017 shipment as "INST ETC FOR PHYSICAL ETC ANAL ETC; MICROTOME; PTS" with a weight of eleven (11) metric tons.

The United States Bureau of the Census, within the United States Department of Commerce, identified the December 2017 shipment as "From Miami District to the Republic of Cuba; Parts For Steam Turbines; US$2,935,515.00."

GE is the largest (by revenue) United States-based company to have engaged with the Republic of Cuba. 

Although GE has not issued a media release relating to the project in the Republic of Cuba, in 2017 the government of the Republic of Cuba confirmed in a PowerPoint presentation used by the Embassy of the Republic of Cuba in Washington DC that the company was providing parts and equipment for a power plant.  The total value of the project has not been reported. 

The steam turbine parts are for use at the Republic of Cuba government-operated 330mw Antonio Guiteras power plant located in Matanzas Province under a contract between GE and Republic of Cuba government-operated Union Electrica (UNE).

The Obama Administration authorized the transactions by GE as primarily advancing benefit to the citizens of the Republic of Cuba rather than to the government of the Republic of Cuba.  This type of transaction was and remains authorized by license (general or specific) through the Office of Foreign Assets Control (OFAC) of the United States Department of the Treasury and Bureau of Industry and Security (BIS) of the United States Department of Commerce.

In November 2015, GE purchased for approximately US$10.6 billion the power and grid division of Paris, France-based Alstom (2017 revenues approximately US$8 billion).

In 2016, GE commenced a power generation project in the Republic of Cuba resulting, in part, from a relationship between Alstom and the Republic of Cuba prior to the 2015 acquisition by GE of the power and grid division of Alstom, which had exported products to the Republic of Cuba:

http://www.alstom.com/press-centre/2013/8/alstom-signed-contracts-in-russia-and-ukraine-for-air-preheaters/

http://www.alstom.com/press-centre/2008/4/Eco-100-Alstoms-most-powerful-wind-turbine-20080407/

On 31 March 1971, GE certified a claim against the Republic of Cuba in the amount of US$5,870,436.86 through the United States Foreign Claims Settlement Commission (USFCSC) within the United States Department of Justice.  Interest accrued at 6% per annum from the respective date(s) of loss to the date of settlement. 

U.S. Department Of State Permanently Reduces Staffing At U.S. Embassy In Havana

Office of the Spokesperson
Washington, DC
March 2, 2018

The U.S. Embassy in Havana has operated under ordered departure status since September 29, 2017, due to health attacks affecting U.S. Embassy Havana employees. It will reach the maximum allowable days in departure status on March 4.

On Monday, March 5, a new permanent staffing plan will take effect. The embassy will continue to operate with the minimum personnel necessary to perform core diplomatic and consular functions, similar to the level of emergency staffing maintained during ordered departure. The embassy will operate as an unaccompanied post, defined as a post at which no family members are permitted to reside.

We still do not have definitive answers on the source or cause of the attacks, and an investigation into the attacks is ongoing. The health, safety, and well-being of U.S. government personnel and family members are of the greatest concern for Secretary Tillerson and were a key factor in the decision to reduce the number of personnel assigned to Havana.

ABC Charters Becomes 8th U.S. Company To Establish Sales Office In Cuba

A second United States-based travel service provider has reported receiving authorization from the government of the Republic of Cuba to establish a sales office in the city of Havana, Republic of Cuba.  There are now eight (8) United States-based companies with offices in the Republic of Cuba,  

Six of the eight sales offices are designed to deliver revenues to the Republic of Cuba rather than be opportunities for the Repuiblic of Cuba to import products and/or services from the United States. 

Airlines (ticket offices)

Atlanta, Georgia-based Delta Air Lines (2017 revenues approximately US$41 billion)
Fort Worth, Texas-based American Airlines (2017 revenues approximately US$42 billion)
Chicago, Illinois-based United Airlines (2017 revenues approximately US$38 billion)
Long Island City, New York-based JetBlue Airways (2017 revenues approximately US$7 billion); the company has two ticket offices in the city of Havana.

Agricultural Equipment (distribution centers)

Peoria, Illinois-based Caterpillar Inc. (2017 revenues approximately US$38 billion)
Moline, Illinois-based Deere & Company (2017 revenues approximately US$27 billion)

Travel Agency (sales office)

Cypress, California-based Cuba Travel Services (2017 revenues DND)
Miami, Florida-based ABC Charters, Inc. (2017 revenues DND)

"Historical Authorization for US Travel Company to Open Office in Cuba

MIAMI, March 1, 2018 /PRNewswire/ -- ABC Charters, Inc, one of the oldest travel operators to Cuba in the U.S. was given authorization to open their offices in Cuba on Feb. 27, 2018.

ABC has close to 40 years experience in Travel to Cuba, including Charter Service and Ground Services in Cuba. The company is in the process of picking a location that meets its customer's needs in Havana, so it can have its ground personnel available to assist if any problems occur or if additional services are needed while on the ground in Cuba. 

Tessie Aral, the President of ABC is excited to continue growing the business her mother established in order to build ties with their family and the community in Cuba. "We are very proud to continue building bridges with Cuba and our Cuban counterparts to show everyone what a unique and wonderful Island Cuba really is," says Aral.

About ABC Charters:

The company's founder was involved in the first community flight from the U.S. to Cuba in 1979. In 2000, she decided to broaden the business and created ABC Charters, Inc. which has been recognized for its excellence in service and professionalism in their staff. ABC Offers flight reservations, accommodations and ground transportation and our experts will help you with your full-time OFAC compliant trips to Cuba. ABC also specializes in assisting passengers obtaining their appropriate documents to travel to and from Cuba. ABC - A BETTER CHOICE for Travel to Cuba"

UPDATE: U.S. Companies With A Presence In Cuba

U.S. Companies With A Presence In Cuba Since 17 December 2014

Eight Sales Offices

No Manufacturing/Assembly Operations

Licenses Issued By OFAC/BIS Not Yet Disclosed & Implemented

CLICK HERE FOR UPDATED LIST

CTS Becomes 7th U.S. Company To Establish A Sales Office In Cuba

Airlines (ticket offices)

Atlanta, Georgia-based Delta Air Lines (2017 revenues approximately US$41 billion)
Fort Worth, Texas-based American Airlines (2017 revenues approximately US$42 billion)
Chicago, Illinois-based United Airlines (2017 revenues approximately US$38 billion)
Long Island City, New York-based JetBlue Airways (2017 revenues approximately US$7 billion); the company has two ticket offices in the city of Havana.

Agricultural Equipment (distribution centers)

Peoria, Illinois-based Caterpillar Inc. (2017 revenues approximately US$38 billion)
Moline, Illinois-based Deere & Company (2017 revenues approximately US$27 billion)

Travel Agency (sales office)

Cypress, California-based Cuba Travel Services (2017 revenues DND)

CYPRESS, Calif., Feb. 27, 2018 /PRNewswire/ -- Cuba Travel Services, the leading charter and tour operator serving the destination with offices in California, Florida, New Jersey, and Texas, announced today the upcoming opening of their Havana location on March 31st.

It is considered a significant event as this is the first time a U.S. based travel company is awarded permission to operate in Cuba in over 60 years. Services provided by the California based company in Havana will include: Flight ticket sales, Customer support, Hotel reservations, Tour operation support, Car rentals, Excursions, Transfers, Programmed packages, Cruise Support Services, Advisory Services.

Opening a new office in Havana will allow Cuba Travel Services to monitor its operations more closely and better assist their clients while in the country.  Additionally, CTS will be better positioned to ensure their cruise and tour operator clients continue to offer OFAC compliant programs.

Cuba Travel Services will open its first office in the historic Lonja Del Comercio building located in Plaza de San Francisco just across from the Sierra Maestra cruise terminal and has plans to open additional locations in Havana, Camaguey, Cienfuegos, Varadero and Santiago de Cuba.

"Having the Ministry of Tourism grant this request to have a location in Cuba has been a big win for our organization. Our physical presence means our licensed clients will get faster service and more personalized attention directly from our staff," said Michael Zuccato, General Manager at Cuba Travel Services. "This is a very exciting time for us, to be the first U.S. based Travel Company to open its doors in Havana. We are confident our existing market expertise and knowledge combined with local representation, will result in an improved customer experience."   

About Cuba Travel Services

With nearly 20 years of experience providing services to authorized companies, groups and individuals, Cuba Travel Services is the leading travel company serving the destination from the United States. They offer real-time hotel, flight and excursion bookings, transportation, OFAC compliant tour programming and a variety of other turnkey travel solutions. They also serve as key advisors to airlines, cruise companies, tour operators and other businesses entering the Cuba market.

Headquartered in California, Cuba Travel Services currently maintains offices in Texas, New Jersey, North Carolina and Florida. The company provides specialty travel services including charter flights, private aviation services, visa processing, OFAC call center support services, cruise and yachting programs, shipments of authorized cargo and other logistical and travel support services.

Competition From Donations And Long Term Government Financing Are Hurdles To John Deere And Caterpillar

In November 2017, Moline, Illinois-based John Deere (2017 revenues approximately US$27 billion) delivered US$755,823.00 in agricultural equipment to the Republic of Cuba for use at its distribution center.  

Peoria, Illinois-based Caterpillar Inc. (2017 revenues approximately US$38 billion) also has a distribution center in the Republic of Cuba.  John Deere reported that the company would provide financing for equipment purchases by authorized Republic of Cuba entities.

From Ganma (2/27/18): Punjab, India-based Sonalika Group (2017 revenues approximately US$682 million) has donated sixty (60) small and medium-sized tractors (assembled in the Republic of Cuba) and farming equipment (including rotary and grass cutters, cultivators, trailers and replacement parts) valued at a combined US$5 million, to Republic of Cuba government-operated Gelma's Agricultural and Livestock Basic Enterprise Unit under the auspice of the Ministry of Agriculture of the Republic of Cuba.

According the the Ministry of Agriculture of the Republic of Cuba, the tractors will be used with protected and semi-protected crops, specifically within in green houses and covered growing spaces.

MINSK, 27 February (BelTA)- MTZ is mulling over the delivery of over 940 tractors to Cuba, Dmitry Schastny, the deputy marketing director of Minsk Tractor Works (MTZ trademark), head of the department for sales in non-CIS countries, said at an international conference of MTZ distribution network entities, BelTA has learned.

In 2017, Minsk Tractor Works delivered 150 tractors to Cuba. The loan to purchase the tractors was allocated by the Development Bank of Belarus in accordance with Decree No.523 to promote the export of goods (works, services). The decree helps MTZ as an exporter to supply equipment to the consumers and get payments. “As regards this transaction the MTZ received the payment instantaneously after the shipment of tractors,” Dmitry Schastny said. MTZ opened a representative office in Cuba and intends to continue to supply large quantities of equipment. Now, together with the Development Bank and Cuban counterparts the company is working on the possibility to supply 943 tractors.

Cuba's Ambassador to Washington Is A Hostage- If He Departs, He Won't Be Replaced.

Members of the Congress are quietly and virtually holding hostage H.E. Jose Cabanas, Ambassador of the Republic of Cuba to the United States.  

If the government of the Republic of Cuba seeks to replace Ambassador Cabanas, there will be an effort to persuade the Trump Administration to deny any request from the government of the Republic of Cuba for a replacement to present credentials to the United States Government.  The Trump Administration is likely to concur with any request from Members of Congress.

As a result, the level of representation at the Embassy of the United States in Havana, Republic of Cuba, would be the same as the level of representation at the Embassy of the Republic of Cuba in Washington DC.  No Ambassador.

In 2016, there was expectation that the government of the Republic of Cuba was considering Mrs. Josefina Vidal, then Director General of the United States Department at the Ministry of Foreign Affairs of the Republic of Cuba, to replace Ambassador Cabanas if the November 2016 presidential election had a different outcome; the value of having a woman as ambassador to the United States when a woman is president of the United States.  Mrs. Vidal is now Ambassador of the Republic of Cuba to Canada.

http://www.cubatrade.org/blog/2016/8/3/if-hillary-clinton-wins-in-november-who-might-cuba-appoint-as-its-ambassador-to-washington?rq=josefina%20vidal

From www.allgov.com:

"José Cabañas, a long-time member of Cuba’s Foreign Service, assumed a new position in Washington without having to move his office.

Cabañas, who had been the chief of the Cuban Interests Section in Washington since 2012, presented his credentials as Cuba’s first ambassador to the United States in more than 50 years to President Barack Obama on Sept. 17, 2015.

His appointment to the post came two months after a restoration of diplomatic relations between the two countries, which had ended during Cold War hostilities in 1961.

Cabañas is from Matanzas, a city on Cuba’s north coast. He earned a bachelor’s degree in international political science in 1983 from the Raúl Roa García Higher Institute of International Relations in Havana. He would return there years later to serve as a senior professor.

Cabañas joined Cuba’s Foreign Ministry in 1984, when he wrote “Radio Martí: A New Aggression,” a study at how the United States used the media against the Cuban government. He began focusing primarily on North America in 1986 and in 1990 was assigned to the Cuban Embassy in Canada. Between 1990 and 1993, he served first as third secretary, then as second secretary at the mission in Ottawa.

Cabañas returned to Havana in 1993 as deputy director of the ministry’s North American Affairs Division. The following year he moved to the Cuban Residents Abroad Division, where he worked—along with a three-year stint in Consular Affairs—until 2001.

That year he stepped away from North America to become ambassador to Austria. Starting in 2005, he stepped down from that post but remained in Vienna as Cuba’s ambassador to the many international organizations based there.

In 2005, Cabañas was brought back to Havana to serve as director of the Division for Document Management in the Ministry of Foreign Affairs. In 2009 he was named Vice Minister of Foreign Relations, a post he held until taking over Cuba’s Washington mission. During the year that he won his ministerial appointment, he earned a Ph.D. in political science from the University of Havana.

Cabañas maintained a somewhat higher profile than his predecessors, traveling around the United States speaking to various organizations. He was the first head of Cuba’s Interests Section to allow himself to be filmed at such events.

Cabañas and his wife, Edilia González, have two children."  

White House Modifies And Continues National Emergency With Cuba- Vessels

THE WHITE HOUSE

Office of the Press Secretary
FOR IMMEDIATE RELEASE
February 22, 2018

MODIFYING AND CONTINUING THE NATIONAL EMERGENCY WITH RESPECT TO CUBA AND CONTINUING TO AUTHORIZE THE REGULATION OF THE ANCHORAGE AND MOVEMENT OF VESSELS BY THE PRESIDENT OF THE UNITED STATES OF AMERICA

A PROCLAMATION

In order to modify and continue the ongoing national emergency declared in Proclamation 6867 of March 1, 1996, expanded by Proclamation 7757 of February 26, 2004, and modified by Proclamation 9398 of February 24, 2016, in light of the need to continue the national emergency based on a disturbance or threatened disturbance of the international relations of the United States related to Cuba, and,

WHEREAS it is the policy of the United States that a mass migration from Cuba would endanger our security by posing a disturbance or threatened disturbance of the international relations of the United States;

WHEREAS the Cuban economy is in a relatively weak state, contributing to an outflow of its nationals toward the United States and neighboring countries;

WHEREAS the overarching objective of our policy is stability with our immediate neighboring countries and an outflow of Cuban nationals may have a destabilizing effect on the United States and its neighboring countries;

WHEREAS it is the policy of the United States to ensure that engagement between the United States and Cuba advances the interests of the United States and of the Cuban people as described in National Security Presidential Memorandum-5 of June 16, 2017 (Strengthening the Policy of the United States Toward Cuba);

WHEREAS the United States continues to maintain an embargo with respect to Cuba;

WHEREAS the unauthorized entry of vessels subject to the jurisdiction of the United States into Cuban territorial waters is in violation of the law of the United States and contrary to the policy of the United States;

WHEREAS the unauthorized entry of United States-registered vessels into Cuban territorial waters is detrimental to the foreign policy of the United States and counter to the purpose of Executive Order 12807 of May 24, 1992, which is to ensure, among other things, safe, orderly, and legal migration;

WHEREAS the possibility of large-scale unauthorized entries of United States-registered vessels into Cuban territorial waters would disturb the international relations of the United States by facilitating a possible mass migration of Cuban nationals;

NOW, THEREFORE, I, DONALD J. TRUMP, President of the United States of America, by the authority vested in me by the Constitution and the laws of the United States of America, including section 1 of title II of Public Law 65-24, ch. 30, June 15, 1917, as amended (50 U.S.C. 191), sections 201, 202, and 301 of the National Emergencies Act (50 U.S.C. 1601 et seq.), and section 301 of title 3, United States Code, in order to modify the scope of the national emergency declared in Proclamations 6867, 7757, and 9398, and to secure the observance of the rights and obligations of the United States, hereby continue the national emergency declared in Proclamations 6867, 7757, and 9398, and authorize and direct the Secretary of Homeland Security (the "Secretary") to make and issue such rules and regulations as the Secretary may find appropriate to regulate the anchorage and movement of vessels, and delegate to the Secretary my authority to approve such rules and regulations, as authorized by the Act of June 15, 1917.  Accordingly, I hereby direct as follows:

Section 1.  The Secretary may make rules and regulations governing the anchorage and movement of any vessel, foreign or domestic, in the territorial waters of the United States, that may be used, or is susceptible of being used, for voyage into Cuban territorial waters and that may create unsafe conditions, or result in unauthorized transactions, thereby threatening a disturbance of international relations.  A rule or regulation issued pursuant to this proclamation may be effective immediately upon issuance if it involves a foreign affairs function of the United States.

Sec. 2.  The Secretary is authorized, to the extent consistent with international law, to inspect any vessel, foreign or domestic, in the territorial waters of the United States, at any time; to place guards on any such vessel; and, with my consent expressly hereby granted, take full possession and control of any such vessel and remove the officers and crew and all other persons not specifically authorized by the Secretary to go or remain on board the vessel, when necessary to secure the rights and obligations of the United States.

Sec. 3.  The Secretary may request assistance from such departments, agencies, officers, or instrumentalities of the United States as necessary to carry out the purposes of this proclamation.  Such departments, agencies, officers, or instrumentalities shall, consistent with other provisions of law and to the extent practicable, provide the assistance requested.

Sec. 4.  The Secretary may seek assistance from State and local authorities in carrying out the purposes of this proclamation.  Because State and local assistance may be essential for an effective response to this emergency, I urge all State and local officials to cooperate with Federal authorities and to take all actions within their lawful authority necessary to prevent the unauthorized departure of vessels intending to enter Cuban territorial waters.

Sec. 5.  All powers and authorities delegated by this proclamation to the Secretary may be delegated by the Secretary to other officers and agents of the United States Government consistent with applicable law.

Sec. 6.  Any provisions of Proclamations 6867, 7757, or 9398 that are inconsistent with the provisions of this proclamation are superseded to the extent of such inconsistency.

Sec. 7.  This proclamation shall be immediately transmitted to the Congress and published in the Federal Register.

IN WITNESS WHEREOF, I have hereunto set my hand this twenty-second day of February, in the year of our Lord two thousand eighteen, and of the Independence of the United States of America the two hundred and forty-second.

DONALD J. TRUMP

THE WHITE HOUSE

Office of the Press Secretary
FOR IMMEDIATE RELEASE
February 22, 2018

TEXT OF A LETTER FROM THE PRESIDENT TO THE SPEAKER OF THE HOUSE OF REPRESENTATIVES AND THE PRESIDENT OF THE SENATE

February 22, 2018

Dear Mr. Speaker:     (Dear Mr. President:)

Section 202(d) of the National Emergencies Act (50 U.S.C. 1622(d)) provides for the automatic termination of a national emergency unless, within 90 days before the anniversary date of its declaration, the President publishes in the Federal Register and transmits to the Congress a notice stating that the emergency is to continue in effect beyond the anniversary date.  In accordance with this provision, I have sent to the Federal Register for publication the enclosed Proclamation stating that the national emergency with respect to Cuba that was declared on March 1, 1996, in Proclamation 6867, as amended by Proclamation 7757 on February 26, 2004, and Proclamation 9398 on February 24, 2016, is to continue in effect beyond February 25, 2018, as modified by the enclosed Proclamation.

It continues to be the policy of the United States that a mass migration from Cuba would endanger the security of the United States by posing a disturbance or threatened disturbance to our international relations.  The unauthorized entry of vessels subject to the jurisdiction of the United States into Cuban territorial waters is in violation of the law of the United States and is contrary to the policy of the United States.  Further, the unauthorized entry of United States-registered vessels into Cuban territorial waters continues to be detrimental to our foreign policy and counter to the purpose of Executive Order 12807 of May 24, 1992, which is to ensure, among other things, safe, orderly, and legal migration.  The possibility of large-scale unauthorized entries of United States-registered vessels would disturb the international relations of the United States by facilitating a possible mass migration of Cuban nationals.  For these reasons, I have determined that it is necessary to continue the national emergency declared with respect to Cuba and the emergency authority relating to the regulation of the anchorage and movement of vessels set out in Proclamation 6867 as amended by Proclamations 7757 and 9398, and as further modified by the enclosed Proclamation.

Sincerely,

DONALD J. TRUMP

Why Won't Cuba & Members Of Congress Understand: It's The Regulations, Stupid.

Why does the government of the Republic of Cuba, through its Embassy in Washington DC and Ministry of Foreign Affairs (MINREX) in Havana, continue to focus upon seeking changes to laws rather than changes to regulations?

Who benefits from advocacy towards a goal that was last achieved more than 6,300 days ago- eighteen (18) years?

It’s The Regulations, Stupid.

Being Practical Versus Being Aspirational.

Perhaps, It’s The Free Visits To Cuba?

The last regulatory changes were issued in 2017, having followed multiple changes in 2015, 2016 and January 2017; and changes since 1994. 

Some of the regulatory changes have been beneficial to the United States business community and some of the regulatory changes have been detrimental to the United States business community.  But, changes there have been. 

In 2017, the defensive advocacy (lobbying) efforts by United States airlines, cruise lines, hotel management companies, and travel service providers among others to Members of Congress and to representatives within the Trump Administration were not focused upon legislation, the efforts were focused upon regulations.  Those advocacy (lobbying) efforts were successful because they were targeted and reasonable.

After failing for eighteen (18) years, wouldn’t a shift in focus be rational?  Perhaps, the survival of individuals, and relationships, and opportunities for Potemkin-like self-congratulation, are the primary fuel for a jalopy of an advocacy strategy.

That the government of the Republic of Cuba continues to be duped by self-serving interests of Members of Congress, advocates, consultants and lobbyists whose efforts have resulted in far more maintenance of the status-quo than creating not only an increased quantity of commercial opportunities for United States companies, but an increase in the depth of commercial opportunities- moving past optics to full-throttled and not transitory engagement.

Since 2014, these individuals have sought to pivot from embracing multi-year (remember “under the radar”) fierce legislative strategy failures to promote that through their efforts in 2017 regulatory changes deemed detrimental to the interests of the United States business community were made less so.  Seeking to profit from what their self-promoted prominence was built upon- having the Obama Administration engage with the Republic of Cuba.  The Obama Administration did not do all that it could have done; and these individuals who claimed to have the inside track to the decision-making process are demonstrably responsible for the result.  It’s appalling.  

Why focus upon “moving the ball” when the focus can be upon celebrating in the end zone?  How many yards have been gained in eighteen years?  Regulatory touchdowns were first scored in 1994 and have continued sometimes more-than-annually for the last twenty-five (25) years…. Regardless of which political party occupied The White House.  A lopsided score thus far by any reasonable, sane, measure.

If a strategy has not been successful for eighteen (18) years, why continue to pursue it when there are alternatives?  Oh, but each year is promoted as “the” year of legislative change; there is “momentum.”

If the Republic of Cuba has importance to Members of Congress and, thus to their respective state/district constituencies, why not direct funds from their official accounts and/or committee and/or sub-committee accounts to make payments for expenses relating to visiting the Republic of Cuba?  If not, what is the message?  That the Republic of Cuba is of importance provided someone else is willing to pay for the journey.  Even the fully-disclosed use of campaign funds would be an improvement.

For many years, most Members of Congress who visit the Republic of Cuba have relied on non-for-profit organizations to make payments on their behalf; and often the sources of these payments are not disclosed.  Not helpful.

Focusing upon the authorization of the 50% of Direct Correspondent Banking (DCB) that the Obama Administration failed to authorize would be practical rather than aspirational; and have a far more likely opportunity for implementation.  It’s an easy fix, benefits United States exporters, increases financial transaction transparency, and ends banks in third countries earning fees from the efforts of United States farmers.  Four check-offs for the Trump Administration.  And that’s just one regulation.

The government of the Republic of Cuba continues to convey to Members of Congress that there will be no “normalization” of the bilateral commercial, economic and political relationship until there are changes to United States statutes (Cuban Democracy Act of 1992, Libertad Act of 1996, Trade Sanctions Reform and Export Enhancement Act of 2000) and numerous regulations.  That’s not an illogical position to hold.

In the mid 2000’s, the government of the Republic of Cuba began to seek “Advocacy Agreements” from visiting Members of Congress and, specifically, from Governors, and from representatives of United States companies: If the visitor would sign an agreement, and make it public, that they would advocate for changes to United States laws and regulations, the government to of the Republic of Cuba would agree to make a purchase of food products and/or agricultural commodities from the respective state- and announce it during the visit or soon after completion of the visit. 

This misguided strategy was short-lived as the government of the Republic of Cuba was simultaneously advocating for a removal of politics from the commercial process.  Rather quickly, there was resentment by Members of Congress, Governors, and representatives of the United States business community.

The government of the Republic of Cuba continues to pressure representatives of United States companies to pressure Members of Congress to support changes to statutes and in an inconsistent and terribly limited fashion, to a far lesser extent, regulations.  The pressure point focus should be reversed.

There is one inescapable conclusion: The goal of the government of the Republic of Cuba is to advocate for activity rather than advocate for results.

What makes sense?  Directing resources towards a legislative process where the last success was eighteen (18) years ago or direct resources towards a regulatory process that has, and can, provided results within months?

If the decision is to focus upon what has not worked, what is a conclusion?  That the goal is not about change.

LINK TO PDF FORMAT

Cuba Has Become A US$2.2 Billion Travel Marketplace

Cuba Has Become A US$2.2 Billion Travel Marketplace

As of 12 February 2018, with an additional 15,488 potential passengers from nine (9) new itineraries that include the Republic of Cuba by Miami, Florida-based Norwegian Cruise Line Holdings Ltd., cruise lines operating from the United States could for the cumulative period 2017/2018/2019:

Deliver 586,000+ Passengers To Cuba

344+ Sailings To Cuba

US$781+ Million In Gross Revenues To The Companies

US$83+ Million Spent In Cuba By Passengers

US$22+ Million In Port Fees To Cuba

&

US$235+ Million To U.S. Airlines

US$109+ Million Hotels/Restaurants/Ground Transportation In Florida

Transporting, housing, and feeding these 586,000+ travelers could result in an additional US$235+ Million to United States airlines transporting passengers to South Florida port gateways and US$109+ million to hotels, restaurants and ground transportation services located in South Florida.  

NOTE: Total United States airline revenues in 2017 from transporting passengers from the United States to the Republic of Cuba and return was approximately US$400 million.  In 2017, individuals subject to United States jurisdiction spent approximately US$650 million while visiting the Republic of Cuba.

The three (3) largest cruise lines (through their multiple brands Oceana Cruises, Azamara Club Cruises, Regent Seven Seas Cruises, and Holland America Line among others) and smaller cruise lines (through their multiple brands) have approximately 344 itineraries which include the Republic of Cuba for the cumulative 2017, 2018 and 2019 sailing seasons.  Additional itineraries are expected.  The largest three:   

Miami, Florida-based Norwegian Cruise Line Holdings Ltd

Miami, Florida-based Carnival Corporation & plc

Miami, Florida-based Royal Caribbean Cruises Ltd

NOTE: In 2017, the three-largest cruise lines combined operated a fleet of approximately 146 vessels, managed approximately 14 brands, earned approximately US$29 billion in gross revenues, and employed approximately 218,000 men and women.

If each vessel sails to the Republic of Cuba at capacity, more than 586,000 passengers would visit the Republic of Cuba from 2017 through 2019.

The gross revenues to the cruise lines from the approximately 344+ sailings that include the Republic of Cuba could cumulatively exceed US$781+ million for the period 2017 through 2019.

The 586,000+ passengers would be projected to spend approximately US$83+ million while in the Republic of Cuba [averaging approximately US$140.00 per person in expenditures and organized/non-organized excursions including cost(s) for tour(s), meals (government-operated and privately-operated), ground transportation (privately-operated classic car tours), sundries and souvenirs (including spirits, coffee, tobacco, artwork and crafts)].  Some passengers could spend considerably more (alcohol, cigars and coffee for example) given the United States duty-free personal exemption of US$800 per person.  

Vessel port charges in the Republic of Cuba may exceed US$22+ million, ranging up to approximately US$79,000.00 for the largest vessels (684-passenger to 2,744-passenger).

LINK TO ANALYSIS IN PDF FORMAT

Members Of Congress Continue To Visit Cuba, But Most Don't Want To Publicize It

83.3% Of Current Delegation Do Not Provide Information About Visit On Their Official Internet Sites

There Were To Be Five, But There Are Now Six In The Delegation

Who Pays For Visits By Members Of Congress To Cuba?

Members of the United States Congress have increasingly provided no information in advance of a visit to the Republic of Cuba, often placing no information prior to, during, or after their visit on the official Internet sites or on social media platforms

Five Members of the United States Congress are scheduled to visit the Republic of Cuba fro 17 February 2018 to 21 February 2018.  Two (2) members of the United States Senate and three (3) members of the United States House of Representatives.

Two members of the delegation are known: The Honorable Patrick Leahy (D- Vermont), a member of the United States Senate, placed notification on his official Internet site.  The Honorable Kathy Castor (D- Florida), a member of the United States House of Representatives, issued a release to a journalist, but there is no information on her official Internet site.

The three other members of the delegation have not been identified.  NOTE: On 19 February 2018, the Ministry of Foreign Affairs of the Republic of Cuba (MINREX) posted to its Twitter account an image of the delegation and their respective identities.

The four (4) Members of Congress who were not previously identified include The Honorable Ron Wyden (D- Oregon) and The Honorable Gary Peters (D- Michigan), members of the United States Senate; and The Honorable Jim McGovern (D-Massachusetts) and The Honorable Susan Davis (D- California), members of the United States House of Representatives.

Only one (1) member of the delegation has included any mention of the visit on their official Internet sites... Senator Leahy. 

If the Republic of Cuba has importance to Members of Congress and, thus to their respective state/district constituencies, why not direct funds from their official accounts and/or committee and/or sub-committee accounts to make payments for expenses relating to visiting the Republic of Cuba?  If not, what is the message?  That the Republic of Cuba is of importance as long as someone else is willing to pay for the journey.  Even the fully-disclosed use of campaign funds would be an improvement.

For many years, most Members of Congress who visit the Republic of Cuba have relied on non-for-profit organizations to make payments on their behalf; and often the sources of these payments are not disclosed.  Not helpful.

The notification by Senator Leahy did not include the names of other members of the delegation:

"02.16.18
Leahy To Lead Congressional Delegation To Cuba

U.S. Senator Patrick Leahy (D-Vt.) will head a bicameral congressional delegation that will visit Cuba next week, during the congressional recess. 

Leahy for two decades has been centrally involved in efforts to replace the failed 50-year-old U.S. Cuba policy of isolation with a new path toward normalization.  Leahy is the Vice Chairman of the Senate Appropriations Committee and also serves as the Ranking Member of the Appropriations Subcommittee on the State Department and Foreign Operations, which oversees the State Department’s budget.  Other congressional leaders who will accompany Leahy are two other senators and three members of the House of Representatives. 

The purpose of the visit is to meet with U.S. and Cuban officials, officials of other governments, and Cubans in the emerging private sector to discuss: the presidential transition in Cuba; U.S. and Cuban investigations of health incidents involving U.S. government personnel in Cuba; cooperation on maritime security, search-and-rescue, narcotics and human trafficking, and migration issues; the impact of the withdrawal of U.S. Embassy and Cuban Embassy personnel and of revised Treasury Department regulations on U.S.-Cuban relations; and opportunities for public health, law enforcement, scientific, environmental, commercial, educational, cultural, and other engagement with Cubans.

The delegation will depart the United States on Saturday, Feb. 17, and return on Wednesday, Feb. 21."

LINK: List of Members of Congress Visiting The Republic of Cuba

U.S. Department Of State Discusses Results Of JAMA Report On Cuba Diplomatic Personnel Health Issues

Heather Nauert
Spokesperson
Department Press Briefing

Washington, DC
February 15, 2018

QUESTION: A question on Cuba. The Journal of the American Medical Association released this report yesterday detailing the symptoms and experiences of 21 of the American personnel who have been affected by these health attacks, as you guys call them. Does the State Department support the release of this report? And do you find it consistent with your own internal investigations?

MS NAUERT: Yeah. So let me start out by saying safety and security of Americans is always our top issue. That includes our own colleagues. We have seen the Journal of American Medical Association report that was put out just yesterday, JAMA as many people refer to it. Our embassy – and I want to make sure folks are aware of this – released a health alert. It is posted. I believe it’s on our U.S. embassy in Havana’s website. That basically alerts people to the fact that this JAMA report exists, this JAMA report exists, so that we could provide information not only to our personnel, but so that information can be provided to the general public who may still be choosing to travel to Cuba.

So that’s the purpose of that. It was written by independent medical personnel who took part in evaluating and treating some of the injuries of our people. I won’t detail what came out in the report. You can take a look at it ourselves. But we’ve shared the link to the article in order to inform U.S. citizens about what the doctors believe may be some of the symptoms and medical reactions of some of those people who were affected.

QUESTION: In the report it says that the doctors signed nondisclosure agreements in order to be able to obtain some of the information about these individuals. It also says, though, that the other doctors who evaluated as part of the peer evaluation before publication were unable to access some of that information. Is there --

MS NAUERT: Let me answer your first question first. So you’re saying the doctors signed nondisclosure agreements?

QUESTION: Right.

MS NAUERT: Okay. If that is the case – and I don’t know that that is the case – let me remind you that there’s an investigation still ongoing. So if they were asked by the U.S. Government to sign that, I would think that would be a pretty good indication that we don’t want people talking about (a) the medical symptoms of individuals, (b) the names of individuals, because that is – that is their own information and they’re our employees. But in addition, this investigation is still ongoing, so it’s extremely important for us to not disrupt that investigation so we could figure out who’s responsible for this and what’s responsible for it.

QUESTION: I think I know the answer to this question, then. But is there – are there things that you guys have determined in the investigation that were not allowed to be released in the report?

MS NAUERT: I don’t have any information on that. I mean, that’s like so far in the weeds with our experts talking to the medical professionals in Pennsylvania. I just don’t have that level of detail.

QUESTION: Sure. And one last question on this. At the time of the evaluations of the – of these personnel, 14 of them had still not been able to return to work because their symptoms were so severe. Can you give any information, any update on that, and whether or not they have?

MS NAUERT: Yeah. I don’t have any – an update for you on that. I’ll see what I can get for you if that is, in fact, even releasable information. Okay?

QUESTION: Okay.

U.S. Department Of State Reports On Meeting With Cuba To Discuss Trafficking In Persons

Western Hemisphere: United States and Cuba Meet to Combat Trafficking in Persons

Media Note
Office of the Spokesperson
Washington, DC
February 14, 2018

The United States and Cuba held a series of meetings this week in Washington, D.C. to coordinate their efforts to combat trafficking in persons.

On February 13, the Department of State hosted a bilateral meeting on efforts to prosecute traffickers, protect victims, and prevent trafficking. The U.S. delegation was led by Joel Maybury, Acting Principal Deputy Director of the Office to Monitor and Combat Trafficking in Persons. Representatives from the Departments of Justice, Labor, Homeland Security, and Health and Human Services also participated. The Cuban delegation was led by Deputy Director General Johana Tablada de la Torre of the Ministry of Foreign Affairs’ Directorate General for the United States and included officials from various Cuban agencies.

On February 14, the Department of Homeland Security hosted a technical exchange on trafficking in persons, one of the eight working-level exchanges under the U.S.-Cuba Law Enforcement Dialogue. Participants discussed best practices on investigations and prosecutions, human trafficking trends in the region, and potential areas of coordination to fight the scourge of trafficking, which threatens national security and public health and safety in both countries.

The United States and Cuba last met to discuss trafficking in persons in January 2017.