Trump Expands Cuba Sanctions Against GAESA, Whose Revenue Tops 3 Times State Budget
Updated
Updated · The New York Times · May 16
Trump Expands Cuba Sanctions Against GAESA, Whose Revenue Tops 3 Times State Budget
5 articles · Updated · The New York Times · May 16
An executive order signed earlier this month widens U.S. sanctions to hit GAESA, the military-run conglomerate Washington says enriches Cuba’s ruling elite while helping repress the population.
GAESA’s revenues are described in the order as likely exceeding three times Cuba’s state budget, and its opaque finances sit outside formal government accounts despite its dominance over tourism and other key sectors.
The pressure campaign is widening: CIA Director John Ratcliffe visited Havana on Thursday seeking major economic and security changes, while federal prosecutors are pursuing an indictment of Raúl Castro tied to drug trafficking and the 1996 plane shootdown.
GAESA’s rise from a post-Soviet military business experiment into the island’s economic center has coincided with deepening hardship; Cuba spent about $1.5 billion on tourism in 2024 even as hotel occupancy hovered near 30% and basic services deteriorated.
Cuba’s government calls the order coercive, but the sanctions sharpen scrutiny of whether the Castro-linked network controlling GAESA will loosen its grip as Washington demands broader change.
Is the U.S. plan to dismantle Cuba's economy a path to freedom or a blueprint for a corporate takeover of the island?
As the U.S. sanctions Cuba's military elite, why is it secretly negotiating with Raúl Castro's grandson for the island's future?
With its military conglomerate facing collapse, will Cuba's hidden billions be reclaimed by its people or captured by a new elite?
The 2026 U.S. Sanctions Surge on Cuba: Executive Order 14404, GAESA, and the Path to Economic Isolation
Overview
On May 1, 2026, President Donald Trump issued Executive Order 14404, sharply escalating U.S. sanctions against Cuba. This order expands the power of the Secretaries of State and Treasury to sanction foreign individuals and companies doing business with Cuba, especially those linked to the military-run conglomerate GAESA and its executive president, Ania Guillermina Lastres. The new rules target key sectors like energy, defense, mining, financial services, and security, making it risky for foreign entities to engage with Cuba. These measures aim to disrupt the Cuban regime’s financial networks and increase pressure for economic and political change.