AGP Executive Report

Oil and Gas: Cuba has replaced oil laws dating to 1938 and 1959 to attract investment in exploration and production. New contracts can run up to 40 years, but the state retains ownership of reserves and control over permits and domestic supply. Renewable Energy: As fuel imports remain constrained, the government says 144 solar farms with about 1,418 megawatts of capacity are installed, while it seeks to expand solar, wind and other domestic energy sources. Trade and Agriculture: Sancti Spíritus has opened Cuba’s first wholesale supply market, selling goods including rice, diapers and whiskey with a minimum purchase of $200 or 24,000 pesos. The state-run tourism supplier behind it says the market aims to improve access to supplies. Cuba also begins a difficult tobacco campaign, targeting 20,000 hectares. Industrial Safety: A fire at an isotank facility in Manzanillo left five people injured, one critically; the cause remains under investigation.

Energy Transition: Cuba is accelerating renewable power as fuel restrictions squeeze state-run industries. Energy Minister Vicente de la O Levy said 144 solar farms now provide about 1,418 megawatts; he also denied any Cuban contract tied to 90 biodiesel shipments seized by U.S. authorities, which Washington says were bound for state fuel company ENETEC. Food and Agriculture: At the FAO’s World Food Forum, President Miguel Díaz-Canel outlined plans to boost local food production and nutrition, including investment in rural economies and stronger coffee and honey production. Cuba has also launched a difficult tobacco campaign, targeting 20,000 hectares. Power and Telecoms: Recent grid failures in eastern Cuba and service outages that left more than 100 radio bases down in Camagüey highlight the strain on essential infrastructure. ETECSA has completed work to change its energy mix in Antilla. Consumer Services: As medicine shortages deepen, community pharmacies and donation networks are filling gaps while Cuba prepares to allow private pharmacies.

Industrial Safety: A fuel-tank fire at Azutecnia’s sugar-sector workshop in Manzanillo injured five people; one remains in critical condition. Telecommunications: ETECSA says the power deficit can leave more than 100 of Camagüey’s 179 mobile radio bases offline. Solar installations are helping keep some sites running, but much of the fixed network is decades old. Agriculture: Cuba has begun its 2026–27 tobacco campaign with a target of 20,000 hectares, including 12,000 in Pinar del Río, amid difficult growing conditions. Mining and Health: Illegal gold extraction in Las Tunas is exposing workers and communities to mercury, with doctors warning of neurological and other serious illnesses. Energy and Construction: Eastern grid failures and fuel supply pressures continue to disrupt services, while San Luis is building 18 homes using containers and lightweight materials.

Medicine Supply: As state pharmacies run short, free community distributions and informal sellers are filling gaps for Cubans seeking essential drugs. Power and Renewables: Power returned to eastern Cuba after a grid-line failure, but outages remain severe. Solar is helping households and businesses cope: U.S. shipments reached $6.3 million in the first seven months of 2026, up sharply from 2025, while China remains the main supplier. Fuel and Industry: A bakery in Artemisa has replaced diesel with marabou wood to keep its ovens running, a stopgap that underscores the fuel crisis. U.S. seizures of fuel shipments bound for a Cuban state-linked entity add uncertainty, while experts estimate Cuba’s oil debt to Venezuela at least $20 billion. Tourism: Spanish media warn visitor numbers have fallen 64%, raising fresh concerns for the island’s tourism economy.

Energy: Power returned to eastern Cuba after a failure on the Nuevitas–Las Tunas line, but the fragile grid remains short of generation capacity. Solar is helping fill gaps: U.S. shipments of solar cells and modules reached $6.3 million in the first seven months of 2026, while Etecsa installed 32 panels in Antilla to keep telecom sites running for about nine hours. Business Adaptation: A bakery in Artemisa has replaced diesel with marabou wood to keep its ovens operating, a makeshift response to fuel shortages. Trade: Venezuelan oil experts estimate Cuba’s debt to Caracas at more than $20 billion, linked to decades of oil-for-services cooperation. Tourism: Cuba received 64.4% fewer international visitors in January–August than a year earlier; a Spanish economic outlet also cited a forecast of a 10.3% GDP contraction this year.

Power Grid: A failure on the 220-kilovolt Nuevitas–Las Tunas line disconnected parts of eastern Cuba, as the system faced a projected peak deficit of 1,680 megawatts. Workarounds: An Artemisa bakery is burning marabou wood to keep its ovens running without diesel. Etecsa installed 32 solar panels in Antilla to power telecom sites for about nine hours, while Santa Clara’s baseball stadium is adding solar panels. Fuel Supply: U.S. authorities seized 90 biodiesel shipments valued at $2.8 million and reportedly bound for a sanctioned Cuban state company. At the same time, U.S. petroleum-product exports to Cuba reached a record $74.8 million in August, led by diesel and gasoline. Tourism: Cuba received 450,353 international visitors in the first eight months of 2026, down 64.4% year over year; a Spanish economic forecast projects GDP could contract 10.3% this year.

Fuel Trade: U.S. petroleum exports to Cuba reached a record $74.8 million in August, up 22.4% from July, led by diesel and gasoline. At the same time, U.S. authorities seized 2.2 million liters of biodiesel they say was bound for state importer ENETEC; Havana denounced the action as illegal. Energy: The fuel crunch is driving investment in solar power: Chinese-backed installations reportedly lifted renewables’ share of Cuba’s electricity from about 3% to 21% in a year. In Havana, construction is also underway on new fuel tanks as the city’s infrastructure deteriorates. Agriculture: Cuba and Italy are advancing sustainable pineapple and avocado production, while women farmers in Holguín discussed sector challenges. A WFP-backed project there is also supporting local development. Food Markets: Cárdenas residents criticized a new state-run market after finding prices comparable to, or higher than, those at private businesses.

Agriculture: A World Food Programme project in Holguín is training producers and supporting local cooperatives to build a more resilient food supply. Energy: Cuba’s fuel crisis is sharpening the push toward solar, while U.S. authorities say they seized 90 biodiesel shipments worth $2.8 million that were bound for a Cuban state-linked company. Trade and Distribution: New rules allowing individuals to import goods for commercial purposes, alongside expanding neighborhood markets, are reshaping supply channels as state bodegas lose ground. Workforce: One in four Cuban workers has an informal job, underscoring the scale of employment outside the formal economy.

Fuel and Trade: U.S. agencies say they seized 90 diesel shipments worth $2.8 million allegedly bound for Cuban energy company ENETEC. Foreign Minister Bruno Rodríguez condemned the action and rejected Washington’s authority to restrict trade or inspect vessels. Power Sector: Díaz-Canel touted more than 1,000 MW of solar capacity added in 2025, but recurring grid collapses and prolonged blackouts show the challenge of turning new capacity into reliable supply. Private Commerce: Cuba has authorized individuals to import commercial goods through non-commercial channels, while new neighborhood markets in Granma draw criticism over prices many workers cannot afford. Industry and Agriculture: Guantánamo plans a science and technology park, Baracoa’s coconut-oil plant has joined BioCubaCafé, and Cuba has begun its 2026–27 tobacco campaign.

Fuel and Energy: U.S. authorities seized or detained 90 biodiesel shipments—about 615,000 gallons valued at $2.8 million—over alleged illegal exports to Cuba’s sanctioned ENETEC. A report says the transaction had U.S. Treasury approval and the fuel may have been headed to a private Cuban buyer; the investigation continues. Private-Sector Opening: Industriales became the first Cuban baseball team to wear a private sponsor’s logo, from fuel distributor A Granel, under new sports rules. Agriculture: Women in Holguín’s farming sector met to discuss barriers to participation and changes proposed under the new land law. Retail Restructuring: Only 1,913 of Cuba’s more than 12,000 ration shops are slated to remain, serving vulnerable residents; neighborhood markets can be managed by state firms, small businesses, cooperatives or self-employed workers. Jobs: One in four Cuban workers has an informal job, as people seek income beyond inadequate wages and pensions. Imports: New rules allow individuals to import goods for commercial purposes through non-commercial channels, with tariffs charged in dollars.

Fuel Supply: U.S. authorities seized about 620,000 gallons of biodiesel worth $2.8 million in Florida and Texas, saying the shipments were bound for Cuban state fuel wholesaler ENETEC. The interception adds pressure to an island already grappling with severe energy shortages. Solar Power: U.S. exports of solar panels and cells to Cuba reached $6.3 million so far this year, up from $500,000 in 2025, as households and businesses seek alternatives to unreliable grid power. Retail and Trade: Only 1,913 of Cuba’s more than 12,000 ration stores are set to remain bodegas; some others are becoming neighborhood markets run by state firms, small businesses, cooperatives or self-employed workers. New rules also allow individuals to import goods for commercial use, while foreign companies gain wider access to wholesale trade. Jobs: One in four Cuban workers now has an informal job, reflecting the squeeze on formal employment and incomes.

Fuel and Energy: U.S. authorities seized 90 biodiesel shipments worth about $2.8 million and bound for Cuban state fuel company ENETEC. The investigation is ongoing, as fuel shortages continue to strain the island. Solar Power: U.S. solar equipment exports to Cuba reached $6.3 million in the first seven months of 2026, up sharply from 2025, helping some homes and businesses cope with blackouts. Trade and Imports: Cuba has authorized individuals to import goods through non-commercial channels, with tariffs charged in dollars, and expanded foreign companies’ access to wholesale markets. Agriculture: The 2026–27 tobacco campaign has begun, while Cuba is also offering land to Indian firms for food production. Public Services: Health officials warned that food left unrefrigerated can become unsafe, underscoring how unreliable electricity threatens food storage.

Cuba Customs Overhaul: Cuba’s Official Gazette published new rules letting individuals clear commercial goods through non-commercial channels by paying customs duties and service fees in USD, with progressive tariffs (15% up to $2,000; up to 30% above $6,000) and a 30% flat rate for shipment-based imports. Energy Pressure: Cuba continues to face severe power constraints tied to U.S. fuel interdictions and “energy starvation” claims, as the blockade debate intensifies and Havana pushes back on new restrictions affecting private firms. Economic Transformation Push: Díaz-Canel and Prime Minister Manuel Marrero Cruz discussed the 176 Economic and Social Transformations, framing urgency as Cuba confronts economic and ideological “war” conditions while trying to unlock production and social protections. Agriculture & Exports: Cuba kicked off the 2026–2027 tobacco campaign with first plantings in Villa Clara, targeting about 1,900 hectares across Villa Clara and Cienfuegos under a unified structure, aiming for higher yields and more export earnings. Regional Trade Context: Separate coverage highlights Ghana’s move to formally apply for BRICS membership, underscoring how emerging-economy blocs are competing for investment and industrialization partners.

Cuban Trade & Customs: Cuba’s Official Gazette published new rules letting individuals clear goods of a commercial nature through Customs via non-commercial channels, with tariffs and fees paid in USD under Decree-Law 132/2026 and related resolutions—progressive rates apply based on declared value. Water & Agriculture Implementation: A Guáimaro seminar on Land Law implementation set the municipality as a key site for applying Cuba’s Economic and Social Transformations in agriculture, aiming to improve legal clarity and food deliveries for education, health, and family care systems. Energy Pressure & Connectivity: Russia said resuming direct flights to Havana remains on the agenda, but depends on Cuba’s current situation—fuel shortages have already disrupted travel. Private Sector Under Strain: A report highlights how Cuba’s private mipymes keep the economy moving amid U.S. pressure, while also noting contradictory U.S. messaging about whether the private sector “exists” in policy terms. Regional Industry Context: Barbados urged the Caribbean to stay a zone of peace while flagging Cuba’s worsening humanitarian and economic situation tied to oil disruptions.

Cuban Customs Overhaul: Cuba’s Official Gazette published new rules that set tighter limits for travelers importing mobile phones, computers, and household appliances, with an option to pay tariffs in USD instead of losing goods; the package takes effect Oct. 12, 2026 and includes specific reference values (e.g., up to 5 phones at $80 each; up to 3 computers total with model-based values; and appliance limits by type and total value). Energy & Telecom Disruptions: ETECSA says Cuba’s electricity crisis has knocked out parts of its network, disrupting Nauta browsing and Transfermóvil payments while mobile data remains working; the company didn’t give a restoration date as Havana reported major circuit impacts and a growing MW deficit. Fuel Pressure on the Island: Reports say the U.S. imposed new financial and travel sanctions and that Cuba’s fuel shortages have worsened, contributing to flight suspensions; separate coverage also points to continued U.S. Coast Guard interdictions of fuel shipments bound for Cuba. Economic Reform Push: Cuba’s National Assembly is rolling out a large package of new economic and social measures tied to domestic production, including expanded private-sector import options and new pathways for foreign capital to invest in private businesses. Sports & Industry Signals: Cuba’s 65th National Baseball Series starts with a reduced format designed to cope with economic and energy limits, and now allows team sponsorship under new regulations. Solar Workarounds: A new regional report finds Caribbean solar installations are about double official figures, with households and businesses in places including Cuba turning to rooftop systems to cope with fuel and power shocks.

Power & Telecom Disruptions: ETECSA says Cuba’s energy crisis has knocked out parts of Nauta and Transfermóvil, disrupting browsing and electronic payments while mobile data stays up and teams look for fixes. Electricity Strain: Reports point to a worsening grid deficit and widespread circuit impacts as blackouts remain frequent. Fuel & Logistics Pressure: Multiple reports highlight fuel shortages and U.S. Coast Guard interdictions of vessels carrying fuel to Cuba, underscoring how energy constraints ripple into transport and food production. Energy Transition Push: A new regional analysis finds Caribbean solar installations are about double official figures, with Cuba among countries where households and businesses are turning to rooftop solar amid rising fuel costs. Private Sector Visibility: Fuel marketer A Granel begins sponsoring Industriales in the National Series, signaling growing commercial advertising space for new operators. Baseball Talent Flows: Two more Cuban players secure MLB deals (Chicago Cubs and San Diego Padres), continuing the talent pipeline out of the island. Water & Social Programs: Guantánamo officials tout progress under the 176 economic and social transformations, including pension payments and support for vulnerable residents via new platforms. Culture & Industry Training: Cuba’s FINCL animation forum call opens for proposals, tying film production training and business meetings to the broader creative industry.