Lifting the Embargo Won’t Solve – No US/Cuban Trade
Cuba and the US won’t trade – there’s no market in US for Cuban goods and Cuba won’t abandon relationships with China and Venezuela.
Suchlicki, Director of Institute for Cuban Studies at the University of Miami, 2013
(Jaime, “What If…the U.S. Ended the Cuba Travel Ban and the Embargo?,” Feb 26, Online: http://interamericansecuritywatch.com/what-if-the-u-s-ended-the-cuba-travel-ban-and-the-embargo/)
All trade with Cuba is done with state owned businesses. Since Cuba has very little credit and is a major debtor nation, the U.S. and its businesses would have to provide credits to Cuban enterprises. There is a long history of Cuba defaulting on loans. Cuba is not likely to buy a substantial amount of products in the U.S. In the past few years, Cuba purchased several hundred million dollars of food in the U.S. That amount is now down to $170 million per year. Cuba can buy in any other country and it is not likely to abandon its relationship with China, Russia, Venezuela, and Iran to become a major trading partner of the U.S. Cuba has very little to sell in the U.S. Nickel, one of Cuba’s major exports, is controlled by the Canadians and exported primarily to Canada. Cuba has decimated its sugar industry and there is no appetite in the U.S. for more sugar. Cigars and rum are important Cuban exports. Yet, cigar production is mostly committed to the European market.