Senator Jerry Moran – dwkcommentaries

U.S. Reactions to Trump Reversals of Some U.S.-Cuba Normalization Policies

On June 16, as noted in a prior post, President Donald Trump announced a reversal of some aspects of the Cuba normalization policies that had been instituted by his predecessor, President Barack Obama.

Now we look at U.S. reactions to this change of policy. Subsequent posts will examine Cuban reactions and conclude with this blogger’s opinions on the subject.

Overall Assessment of Changes[1]

As many sources have pointed out, the announced changes do not affect most of the important elements of Obama’s normalization policies. The U.S. will continue to maintain diplomatic relations with Cuba and operate the U.S. Embassy in Havana (while Cuba continues to operate its Embassy in Washington). U.S. airlines and cruise ships will continue service to the island. Cuban-Americans can still send money (remittances) to relatives and travel to the island without restriction. U.S. farmers can continue selling their crops to the Cuban government (with restrictions against credit for sales). There was no change to next year’s budget for the State Department that eliminated the undercover or covert “democracy promotion” programs in Cuba by the U.S. Agency for International Development (USAID). The U.S. will continue to reject the so-called “wet foot, dry foot” policy, which once let most Cuban migrants stay if they made it to U.S. soil “with dry feet,” but was terminated late last year by President Obama; Trump’s speech endorsed this termination as designed to protect Cubans who were exposed to dangerous journeys by land to the U.S. Various bilateral arrangements facilitating cooperation on multiple issues were not mentioned and, therefore, are not directly affected by this announcement. Nor did the announcement say that the U.S. would reinstate its designation of Cuba as a “state sponsor of terrorism.”

The prohibition of U.S. businesses having interactions with Cuban businesses owned or controlled by the Cuban government or military presents more of a problem because such entities are involved in all sectors of the economy. According to Cuban economists, the government conglomerate (GAESA) boasts dozens of companies that control anywhere from 40 percent to 60 percent of the Caribbean island’s foreign exchange earnings.

U.S. Businesses Reactions[2]

Many U.S. businesses opposed the changes. The U.S. Chamber of Commerce and National Association of Manufacturers, typically supportive of GOP presidents, predicted the changes would limit prospects for “positive change on the island.” Others with similar views include ENGAGECuba, the U.S. Agricultural Coalition for Cuba, National Farmers Union and the National Foreign Trade Council.

These business opponents were supported by non-business groups, including the Center for Democracy in the Americas, the Latin America Working Group, the Washington Office of Latin America, Church World Service and the Presbyterian Church (U.S.A.).

The changes will have negative impacts on U.S. jobs and income. The increase in U.S. trips to Cuba has helped the U.S. hospitality industry with Delta Airlines, American Airlines, JetBlue and others flying to at least six Cuban cities daily and Carnival cruise lines taking American citizens to port in Havana. All told, the group Engage Cuba estimates that restricting the rights of United States citizens to travel and invest in Cuba would cost the American economy $6.6 billion and affect 12,295 American jobs.

U.S. hotel businesses also expressed concern about the potential impact of the change on the island’s hotels. The Gran Hotel Manzana, for example is managed by a Swiss company (Kempinski Hotels) but owned by Gaviota, a Cuban military-run company. An U.S. company, Marriott International, through its subsidiary Starwood runs the Four Points by Sheraton hotel in the Havana suburb of Miramar. Would they be off-limits for American travelers or would they fall under a vaguely promised grandfather clause for existing deals? Or would the change force American travelers to Cuban hotels run by civilian tour organizations, including Gran Caribe and Cubanacan? There is even speculation that the change economically benefited Mr. Trump by neutralizing rival hotel companies’ ability to gain an early advantage over the Trump hotels, which previously had expressed interest in developing hotels on the island.

Congressional Reactions[3]

Many members of Congress, Republican and Democrat, have expressed opposition to the changes.

Representative Tom Emmer (Rep., MN), who’s been one of Trump’s most enthusiastic backers on Capitol Hill while also being the author of a bill to end the embargo (H.R.442—Cuba Trade Act of 2017), said Trump’s new Cuba policy “will hurt the United States economically, making it harder for our nation’s farmers to access new markets and cutting the knees out from under our travel and manufacturing industries.” Emmer also said the new policy will not keep the American homeland safe and could threaten new bilateral agreements with Havana to combat human trafficking, illicit drugs and cyber crimes.

Representative Rick Crawford, (Rep., AR), the author of a bill to promote U.S. agricultural exports to Cuba (H.R.525—Cuba Agricultural Exports Act), said Trump’s shift is more than just a missed opportunity for rural America, which would benefit from greater access to Cuba’s agricultural import market. He said Trump’s policy may put U.S. national security at risk as strategic competitors move to fill the vacuum the uncoupling could create. “Further U.S. disengagement opens up opportunities for countries like Iran, Russia, North Korea and China to gain influence on an island 90 miles off our coast,” Crawford said.

Senator Jeff Flake, (Rep., AZ), a frequent critic of Trump and the author with 54 cosponsors of a bill to facilitate Americans travel to Cuba (S.127 Freedom for Americans to Travel to Cuba Act), stated that any policy change “that diminishes the ability of Americans to travel freely to Cuba is not in the best interests of the United States or the Cuban people.” Therefore, Flake called for the Senate’s GOP leadership to allow a vote on this bill. Flake also warned that returning to a “get tough” policy hurts everyday Cubans whose livelihoods are increasingly rooted in travel and tourism.

Senator Jerry Moran (Rep., KS), the author of a bill to end the embargo (S.472—Cuba Trade Act of 2017), said that “putting America first means exporting what we produce to countries across the globe.” He said he remains focused on finding ways to “increase trade with Cuba rather than cut off relationships that have the potential to create new jobs, bring in revenue and boost our national economy.”

Senator John Boozman (Rep., AR) said Trump’s policy moves the U.S. backward.” It would be more effective to continue an open line of communication and working relationship with a government in need of democratic assistance, instead of shutting them out,” Boozman said under the latter approach, “we not only trade goods, but ideas.”

Senator Amy Klobuchar (Dem., MN), the author of a bill to end the embargo (S.1286– Freedom to Export to Cuba Act of 2017), said the new policy was “a setback in U.S. – Cuba relations at a time when 73 percent of Americans want more engagement with Cuba, not less. These changes will disadvantage our businesses and undermine American tourism, which will also hurt the Cuban people. Earlier today I joined Minnesota officials and business leaders who are traveling to Cuba next week to send the message that America wants to continue doing business in Cuba. We need to build on the bipartisan momentum we have created by restoring relations with Cuba, not make it harder for Americans to travel and do business there.”

The five-day Minnesota trip referenced by Senator Klobuchar is being led by its Lieutenant Governor, Tina Smith, accompanied by various state government officials and leaders of agricultural groups. Their objectives are to build relationships with Cuba and promote Minnesota agricultural exports to the island.

In Cuba Lt. Gov. Smith said, “There is no denying the actions Trump took . . . [on June 16] are a real setback. But the important thing to me is that there is bipartisan support at the federal level for normalizing and modernizing our relationship.” In the meantime, she said she was glad to carry the message that there was still plenty of support for continuing to normalize relations. Minnesota’s government and businesses will continue to engage with Cuba in the areas they can, like agricultural trade. Cuba invited the Minnesota delegation to a trade show later in the year while Minnesota invited Cuban officials to visit.

Other Americans’ Reactions[4]

Many other Americans have expressed their opposition to the changes.

One is Rena Kraut, a substitute member of the Minnesota Orchestra, which visited Cuba in 2015.[5] She talked about the importance of encouraging Americans to visit Cuba and the “ability [of artists] to move the conversation to places corporations and politicians cannot or will not go, and to smooth the way for political change years before the document signings and handshakes.” Inspired by the Orchestra’s trip, she has founded Cayo, a non-profit that is organizing a youth orchestra for American and Cuban young people “to broaden horizons, provide youth with the highest level of artistic training, and shed light on that which can bring our neighboring countries together.”

Published letters to the Editor of the New York Times were generally critical of the change. Luis Suarez-Villa, professor emeritus at the School of Social Ecology at the University of California, Irvine, said, “American policy toward Cuba has been hijacked by a clique of Cuban-American politicians who have sold their support in Congress to President Trump.” Suarez-Villa also berated the “punishing, 55-year-old embargo perpetrated by the world’s most powerful nation — accompanied by innumerable acts of economic sabotage, espionage, attempted assassination and military aggression.” Stephen Gillespie of San Francisco, California wrote, “Mr. Trump seems to hate oppressive regimes that convert private property into public goods for the benefit of the people, but he loves oppressive regimes that convert public goods into private property for the benefit of a few rich friends.”

Miriam Pensack, an editorial assistant at The Intercept and a former researcher at Columbia University’s Center for Science and Society, wrote, “Carried out under the unlikely banner, for Trump, of human rights and democracy, the shift is instead more likely to re-impose hardships on ordinary Cubans — the very same people Trump, Rubio, and Diaz-Balart claim to champion.”

William LeoGrande, who teaches government at American University and co-authored the book Back Channel to Cuba: The Hidden History of Negotiations between Washington and Havana, observed, “When Americans go down there, a lot of them stay in private homes, they eat in private restaurants, they take private taxis, and they pay private tour guides that guide them around the city. That’s money directly into the hands of ordinary Cubans.” He added, ““It’s hard to believe that human rights are really anything more than just an excuse. This is really more a matter of political horse trading than it is a matter of foreign policy.”

A contrary view in the New York Times’ collection of letters came from Medford, New York’s Eugene Dunn, who stated, “Kudos to President Trump for demanding that Cuba finally turn over a parade of criminals who have sought sanctuary on the Communist island for decades. Finally we have a titanium-spined president who isn’t afraid to use America’s military and economic might as leverage over these tin-pot dictators who under previous administrations made us the laughingstock of the world.”

The Cuban-Americans at the president’s event in Little Havana are enthusiastic supporters of the new policy as are many other Republican voters in the U.S.

Editorialists’ Reactions[6]

The New York Times’ editorial condemned the Trump Administration’s approach. The Times said it was “the latest chapter in a spiteful political crusade to overturn crucial elements of his predecessor’s legacy” and was likely to cause “Cuban-American relations . . . to revert to a more adversarial Cold War footing, undermining Washington’s standing in Latin America.” Moreover, Trump’s stated concern for Cuban human rights was especially galling from a “president [who] has been so disdainful of these rights . . . [and who has] embraced so lovingly authoritarians who abuse their people, like Vladimir Putin of Russia and the Saudi royal family.”

The editorial from the Los Angeles Times was similar. It stated that the new policy was “based on a disingenuous argument. The putative reason for the change is that Cuba still violates the human rights of its own people, including jailing dissidents and independent journalists. But hasn’t the Trump administration been moving the U.S. away from its focus on human rights around the world?” Instead, said the Los Angeles newspaper, “What’s really happening is that Trump has let the anti-Castro sect in Congress take the wheel on this issue, no doubt for cynical political reasons. Remember that Trump broke with his Republican rivals during the campaign and supported Obama’s rapprochement with Cuba. Then he flipped and disparaged the policy as a bad deal, and pledged to undo it unless Cuba met fresh demands on human rights, including the ‘freeing of political prisoners.’”

An editorial from the Washington Post, however, gave the change a weak endorsement. It said, it was “little more than a policy tweak” and “a little more impatience about democracy [in Cuba with the Trump policy] isn’t such a bad thing.”

Although the Wall Street Journal has not offered an editorial on this change, its columnist on Latin American issues and a critic of normalization, Mary Anastasia O’Grady, welcomed Trump’s changes to U.S. policy regarding Cuba even though it was only “an important symbolic change . . . [whose] effects are likely to be minimal.” Instead she argues that Cuba needs a “high-profile truth project” to take “ an honest look at the historical record that acknowledges the regime’s many crimes against humanity.” She refers to the Cuba Archive Truth and Memory Project that has documented 934 executions mostly in the Escambray” Mountains, circa 1959-1964, in addition to 607 executions of political prisoners, most of whom are believed to have been captured in the Escambray. This Project is the work of the Free Society Project, Inc., a Washington, D.C. non-profit organization with a board of Cuban-Americans.

Minnesota’s leading newspaper, the StarTribune, opined that Trump was “unraveling years of work to build ties with a strategically placed neighbor. Instead, he’s choosing a misguided return to strict embargos on travel and trade that failed to achieve U.S. aims for more than half a century.” The editorial endorsed the efforts to promote Cuba normalization by Minnesota’s U.S. Senator, Amy Klobuchar (Dem.) and Representative Tom Emmer (Rep.) while commenting that Cuba “holds a strategic allure” for other nations “that could threaten American security.”

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[1] Assoc. Press, AP FACT CHECK: Not Much New in Trump’s Cuba Policy, N.Y. Times (June 17, 2017); Assoc. Press, Trump Rolls Back Some, Not All, Changes in US-Cuba Relations, N.Y. Times (June 17, 2017).

[2] Burnett, Travel Industry Scrambles After New Cuba Restrictions, N.Y. Times (June 16, 2017); Reuters, Cuban Military’s Tentacles Reach Deep Into Economy, N.Y. Times (June 15, 2017); Harwell & O’Connell, With shift on Cuba, Trump could undercut his company’s hotel-industry rivals, Wash. Post (June 15, 2017); Sabatini, Trump’s Imminent Cuba Problem, N.Y. Times (June 15, 2017).

[3] Assoc. Press, Republicans Divided as Trump Reverses Some Obama Cuba Policy, N.Y. Times (June 17, 2017); Press Release: Emmer: President’s Misguided Cuba Directive Undercuts Human Rights & Threatens National Security (June 16, 2017); Press Release: Crawford Opposes Cuba Policy Shift (June 16, 2017); Press Release: Flake Statement on Renewed Restrictions on U.S. Travel to Cuba (June 16, 2017); Press Release: Sen. Moran Statement on Administration’s Cuba Policy (June 16, 2017); Boozman, Statement on President Trump’s Cuba Policy (June 16, 2017); Press Release: Klobuchar Statement on Changes to Cuba Policy (June 16, 2017); Golden, Lt. Gov. Tina Smith to lead Minnesota trade trip to Cuba, StarTribune (June 16, 2017); Assoc. Press, Minnesota lieutenant governor visits Cuba, StarTribune (June 20, 2017); Reuters, Minnesota Will Still Engage With Cuba Despite Trump Setback, N.Y. Times (June 22, 2017)

[4] Kraut, Trump Is Wrong to Pull Back from Cuba, N.Y. Times (June 16, 2017); Letters to Editor, Trump’s reversal of U.S. Policy on Cuba, N.Y. Times (June 19, 2017); Pensack, Trump To Reverse Obama Openings to Cuba Under the False Flag of Human Rights, The Intercept (June 16, 2017).

[5] Previous posts about the Minnesota Orchestra’s trip to Cuba are listed in the “Cuba & Minnesota” section of List of Posts to dwkcommentaries—Topical: CUBA.

[6] Editorial, A Cynical Reversal on Cuba, N.Y. Times (June 16, 2017); Editorial, Trump just reopened the Cold War with Cuba. His excuse is disingenuous, L.A. Times (June 16, 2017); Editorial, Don’t get too worked up over Trump’s Cuba shift, It’s just a policy tweak, Wash. Post (June 17, 2017); Editorial, Trump’s Cuba retreat hurts U.S. and Minnesota, StarTribune (June 19, 2017); O’Grady, Cubans Need a Truth Commission, W.S.J. (June 18, 2017).

New U.S. Senate Bills Embrace Normalization of Relations with Cuba

A prior post discussed the recent rumors that the Trump Administration, next month, is planning to reverse various aspects of the U.S. normalization of relations with Cuba that commenced on December 17, 2014.

In resistance to this threat, the U.S. Senate this week saw two new bipartisan bills embracing such normalization.

Protecting American Travel to Cuba [1]

On May 25 A bill to allow United States citizens and legal residents to travel between the United States and Cuba (S.1287) was offered by Senator Jeff Flake (Rep., AZ) with 54 bipartisan co-sponsors (43 Democrats, 9 Republicans and 2 Independents). It would eliminate current restrictions on traveling to Cuba for tourist purposes completely and permanently deregulate U.S. travel to Cuba.

According to Senator Flake, “Recognizing the inherent right of Americans to travel to Cuba isn’t a concession to dictators, it is an expression of freedom. It is Americans who are penalized by our travel ban, not the Cuban government. Lifting the ban on U.S. citizens traveling to Cuba can pave the way to meaningful change by increasing contact between Cubans and everyday Americans, and it is certain to have positive benefits for the island’s burgeoning entrepreneurial and private sector.”

Senator Patrick Leahy (Dem., VT) , one of the leading cosponsors, added, “A bipartisan majority of the Senate agrees that the federal government should not be telling Americans where they can or cannot travel, especially to a tiny country just 90 miles from Florida. The restrictions in law that our bill would strike down are a failed vestige of the Cold War. The travel ban is neither justified nor in our national security or economic interests. If we don’t engage, China and Russia will – in fact they already are. While this bill doesn’t lift the embargo, it at least would restore to Americans the freedom to travel they are entitled to.”

The increased U.S. travel to Cuba over the last two years has contributed to economic growth and job creation in the U.S. travel and tourism sectors and provided significant economic support to Cuban entrepreneurs and small business owners. Removing all restrictions on traveling to Cuba would further strengthen Cuba’s growing private sector.

Expanded travel to Cuba is supported by 81% of the American public, including 71% of Republicans plus U.S. travel groups, over 100 U.S. agriculture groups, the National Association of Manufacturers, U.S. national security experts and almost 100% of the Cuban people.

Ending the U.S. Embargo[2]

On May 25 A bill to lift the trade embargo on Cuba (S. 1286) was introduced by Senator Amy Klobuchar (Dem., MN) with 13 cosponsors (9 Democrats, 3 Republicans and 1 Independent). It would pave the way for new economic opportunities for American businesses and farmers by boosting U.S. exports and allow Cubans greater access to American goods. The legislation repeals key provisions of previous laws that block Americans from doing business in Cuba, but does not repeal portions of law that address human rights or property claims against the Cuban government.

“For far too long, U.S.-Cuba policy has been defined by the conflicts of the past instead of the realities of today and the possibilities for the future,” Senator Klobuchar said. “More than 50 years of isolating an island just 90 miles from our border has not secured our interests and has disadvantaged American business owners and farmers. This bipartisan legislation would benefit the people of both our countries by boosting American exports and creating opportunity for the Cuban people. We need to turn the page on the failed policy of isolation and build on the progress we have made to open up engagement with Cuba by ending the embargo once and for all.”

Senator Michael Enzi (Rep., WY), one of the cosponsors, said, “Over the last 50 years, our strategy of isolating Cuba hasn’t been very successful. This bipartisan legislation would lift the travel restriction to Cuba, providing new opportunities for American businesses, farmers and ranchers. But trade is very powerful. It can be more than just the flow of goods, but also the flow of ideas – ideas of freedom and democracy are the keys to positive change in any nation. It is time we moved on from the failed ideas of the past and tried a new approach to Cuba.”

Another cosponsor, Senator Patrick Leahy, added, “Decades after the end of the Cold War we continue to impose punitive sanctions against Cuba, a tiny island neighbor that poses no threat to us. After more than half a century, the embargo has achieved none of its objectives. President Obama took a courageous and pragmatic step in opening diplomatic relations with Cuba. It is now up to Congress to end the embargo, which is used by the Cuban government to justify its repressive policies, and by foreign companies to avoid competing with U.S. businesses that are shut out of the market. Lifting the embargo will put more food on the plates of the Cuban people, allow them to access quality U.S. products, and spur reforms in Cuba’s economy, all while benefiting American companies. I commend Senator Klobuchar for her steadfast leadership on this issue.”

Cuba relies on agriculture imports to feed the 11 million people who live on Cuba and the 3.5 million tourists who visit each year. This represents a $2 billion opportunity for American farmers annually. This bill would repeal the current legal restrictions against doing business with Cuba, including the original 1961 authorization for establishing the trade embargo; subsequent laws that required enforcement of the embargo; and other restrictive statutes that prohibit transactions between U.S.-owned or controlled firms and Cuba, and limitations on direct shipping between U.S. and Cuban ports.

Conclusion

Now is the time for all U.S. supporters of normalization to engage in public advocacy of these policies and to urge their U.S. Senators and Representatives to oppose any rollback of normalization.

We also need to express our support of those who have introduced bills in this Session of Congress to end the embargo and to expand Americans’ freedom to travel to Cuba. In addition to the two previously mentioned bills, the following bills also deserve support:

Senator Heidi Heitkamp (Dem., ND), Agricultural Export Expansion Act of 2017 (S.275);
Senator Jerry Moran (Rep., KS), Cuba Trade Act of 2017 (S.472)(end the embargo);
Representative Mark Sanford (Rep., SC), Freedom to Travel to Cuba Act of 2017 (H.R.351);
Representative Tom Emmer (Rep., MN), Cuba Trade Act of 2017 (H.R.442)(end the embargo);[3]
Representative Kevin Cramer (Rep., ND), Cuba DATA Act (H.R.498);
Representative Rick Crawford (Rep., AR), Cuba Agricultural Exports Act (H.R.525); and
Representative Jose Serrano, (Dem., NY), Promoting American Agricultural and Medical Exports to Cuba Act of 2017 (H.R.572), Baseball Diplomacy Act (H.R.573), Cuba Reconciliation Act (H.R.574).

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[1] S.1287: A bill to allow United States citizens and legal residents to travel between the United States and Cuba; Flake, Leahy Reintroduce Bill Restoring Freedom to Travel to Cuba (May 25, 2017); Statement of Senator Patrick Leahy on The Freedom for Americans to Travel to Cuba Act of 2017 (May 25, 2017); 55 U.S. Senators Introduce Bipartisan Bill to Life the Travel Ban on Cuba, Engage Cuba (May 25, 2017); Reuters, U.S. Lawmakers Reintroduce Bill to End Restrictions on Cuba Travel, N.Y. Times (May 25, 2017); Torres, More than 50 senators support eliminating restrictions on travel to Cuba, Miami Herald (May 26, 2017).

[2] S. 1286: A bill to lift the trade embargo on Cuba (May 25, 2017); Klobuchar, Enzi, Leahy Flake Lead Bipartisan Coalition to Introduce Major Legislation to lift Cuba Trade Embargo (May 25, 2017); Sens. Introduce Second Cuba Bill, Sending Clear Message to Trump, Engage Cuba (May 26, 2017).

[3] Representatives Emmer and Castor Introduce Bill To End Embargo of Cuba, dwkcommentariese.com (Jan. 12, 2017).

Current Status of Efforts To End U.S. Embargo of Cuba

Many prior posts have discussed this blogger’s support for ending the U.S. embargo of Cuba. Unfortunately it looks increasingly unlikely that will happen in the last year of President Obama’s term in office.

U.S. Congressional Efforts

A 2/26/16 search of the U.S. Library of Congress THOMAS website regarding legislation in Congress reveals that no action whatsoever has been taken in this Session of Congress on two Senate bills to end the embargo (S.491 by Senator Amy Klobuchar (Dem., MN) and S.1543 by Senator Jerry Moran (Rep., KS)) and on four similar bills in the House (H.R.274 by Rep. Bobby Rush (Dem., IL), H.R.403 by Rep. Charles Rangel (Dem., NY), H.R.735 by Rep. Jose Serano (Dem., NY) and H.R.3238 by Rep. Cal Emmer (Rep., MN)).

Most significantly Senator Bob Corker (Rep., TN), the Chair of the Senate Committee on Foreign Relations, said on February 24, 2016, that ending the embargo was “not going to happen this year but I think it’s something that could happen as we move into a new president(‘s administration).” [1]

Corker added, “If Cuba were to evolve its behavior and people were able to see results from what’s happening with the executive order changes that are occurring, then I think it’s possible. To me it appears that things are gradually moving along. We have air flights that are now going in, and it seems to me that this is going to be a year where those things take hold.” However, he said, “Obviously there’s still tremendous human rights abuses that are taking place in Cuba.”

In the meantime, Minnesota Representative Tom Emmer is continuing his efforts to garner public support for ending the embargo and hopes this year for a vote on such a bill, presumably the one he has authored. He promotes this effort to Midwestern farmers at agricultural conferences and dispatching his senior staffers to speak at D.C. forums in favor of the bill.[2]

After his second trip to Cuba earlier this month, Emmer went to Miami, Florida and reported that Cuban-Americans in Miami were not unanimously supporting the embargo. “Business owners down here recognize it’s a matter of when and not if [the embargo will end].”

An ally for Emmer’s effort is Mike Fernandez, a Cuban-American, Floridian and Republican health care executive who is disappointed in many Republican politicians who continue to hold out against lifting the embargo. After a 2000 trip to Cuba, Fernandez changed his opinion on the embargo. He came to realize “that the greatest ally that the Cuban government had was the embargo because it was a way of explaining to the people why nothing worked in Cuba. . . . It became a great cover of the great inefficiencies of that government.” As a result, after his trip, Fernandez helped launch a number of small-business incubators in Cuba, cooperating with the Catholic Church and some universities, to train people to start small businesses.

Emmer’s fellow Minnesotan in the Senate, Amy Klobuchar, has authored a bill in that Chamber to end the embargo and continues to press for its adoption. Immediately after President Obama’s State of the Union Address on January 12, 2016, she said in a press release, “Passing my bipartisan bill to lift the embargo would benefit the people of both our countries by boosting U.S. exports and allowing Cubans greater access to American goods. I hope Congress heeds President Obama’s call and moves my critical legislation forward so that we can strengthen our U.S. economy and bring our relationship with Cuba into the 21st century.” [3]

Last month she also told an agricultural periodical that “there’s a lot of momentum [for ending the embargo]. If it happens at the end of this year or next year…my prediction is within the next two years we will lift that trade embargo.” Key for her is the benefits for agriculture from further normalized trade with Cuba. [4]

Obama Administration’s Efforts

Previous posts have discussed the efforts of the Administration to encourage Congress to pass legislation to end the embargo and its executive orders to loosen some aspects of the embargo that it asserts are permissible under existing legislation. Now we wait to see whether there will be additional executive orders to adopt further loosening the embargo, especially before the President goes to Cuba on March 21-22.

An additional objection to the embargo being pressed by Cuba is U.S. enforcement of the embargo by imposing fines for violations of the laws underlying that embargo. The Miami Herald reports that as of February 24, 2016, the U.S. Treasury Department had initiated eight enforcement actions involving Cuba since the date of the announcement of rapprochement (December 17, 2014) with fines totaling $5,278,901, all involving transactions predating that announcement. [5]

The Miami Herald also noted that on February 23, the Cuban government, before the eighth case was announced, said the fines totaled $2.84 billion. The huge difference in the two totals has not been explained.

Conclusion

All U.S. citizens who support the ending of the embargo need to keep pressing their U.S. Senators and Representatives to adopt one of the bills now before the two chambers to do just that.

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[1] Reuters, Senator Corker: Congress Won’t End Cuba Embargo under Obama, N.Y. Times (Feb. 24, 2016); Hattem, Senate chairman: End of Cuba embargo ‘Possible,’ The HIll (Feb. 24, 2016).

[2] Sherry, Emmer lobbies U.S. Cuban community in effort to end embargo, StarTribune (Feb. 21, 2016).

[3] Klobuchar Press Release: Following President Obama’s State of the Union Address, Klobuchar Calls on Congress To Pass Her Bipartisan Bill To Life Cuba Trade Embargo (Jan. 13, 2016)

[4] Dorenkamp, Klobuchar leads bill to lift Cuban trade embargo, Brownfield Ag News for business (Jan. 22, 2016).

[5] Whitefield, Despite new Cuba relationship, fines persist against firms accused of violating embargo, Miami Herald (Feb. 24, 2016).

Is Congress Rethinking the U.S. Embargo of Cuba?

An August 3 New York Times editorial asserts that the U.S. Congress is rethinking the wisdom of the U.S. embargo of Cuba. Why does the Times come to this conclusion? Is it justified?

I wish it were so, but I think it is too soon to say that the Congress is changing its opinion on the embargo.

The only relevant asserted basis in the editorial is the recent introduction in the House of Representatives by a Republican, Tom Emmer of Minnesota, of a bill to end the embargo (H.R.3238). (This bill was covered in a recent post.)

Yes, this bill and its companion (S.1543) in the Senate by Republican Senator Jerry Moran are important in light of Republicans current control of Congress. But as of yesterday the House has taken no action on the Emmer bill (H.R.3238) or on the three earlier bills to end the embargo that had been offered by Democrats (H.R.274, H.R.403 and H.R.735). The same is true in the Senate on Moran’s bill (S.1543) and on the bill to end the embargo introduced earlier by Minnesota’s Democratic Senator Amy Klobuchar (S.491).

The other basis for the editorial’s conclusion was an action of a Senate Committee on a different, but related, subject: ending the ban on U.S. citizens traveling to Cuba. Yes, this is a hopeful sign, but insufficient to say the Congress as a whole is rethinking these issues.

The editorial also cites increasing public support for ending the embargo and other measures to promote normalization of U.S. relations with the island. But that public opinion has not yet been translated into action by the Congress.

Another fact mentioned by the editorial was the forceful call for ending the embargo that recently was uttered by Democratic presidential contender, Hillary Clinton. But as the Times also pointed out, Republican presidential hopefuls, Jeb Bush and Marco Rubio, immediately expressed their disagreement on this issue.

U.S. citizens need to continue to press their Senators and Representatives to embrace normalization, including ending the embargo.

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[1] Campo-Flores & Meckler, Hillary Clinton Calls for End to Cuba Trade Embargo, W.S.J. (July 31, 2015); Gearan, Clinton says GOP is clinging to the past on Cuba, Wash. Post (July 31, 2015); Vasquez & Luna, Hillary Clinton in Miami: Lift the embargo against Cuba, Miami Herald (July 31, 2015)

Bipartisan Bill To End Embargo of Cuba Introduced in House of Representatives

On July 28 Representatives Tom Emmer (Rep., MN) and Kathy Castor (Dem., FL) introduced the Cuba Trade Act of 2015 (H.R.3238) to end the U.S. embargo of Cuba. The bill is cosponsored by Republican Representatives Ralph Abraham (LA), Justin Amash (MI), Charles Boustany, Jr. (LA), Reid Ribble (WI) and Mark Sanford (SC).[1]

According to Emmer, “Today marks a new and exciting chapter for the U.S. – Cuba relationship. The American people overwhelmingly support lifting the Cuba embargo. Along with the Cuban people, Americans are ready for a fresh start and new opportunities for increasing trade, advancing the cause of human rights and ushering in direly needed reforms. This legislation will improve our position within the region, giving the U.S. a seat at the table and increased leverage as we support political transformations beginning to occur in Cuba. The time has come for a change in our policy towards Cuba, and I am ready to work with my colleagues in Congress on policies that are beneficial to both the American and Cuban people.”

Co-author Castor had a similar message. She said, “The United States and Cuba have taken historic actions this year to set our countries on a more productive path forward for citizens of both nations and turn the page on the outdated 50 year policy of isolation. This [bill is an] important step forward will advance human rights and lift the fortunes of families and entrepreneurs on both sides of the Florida straits. Lifting the embargo and reestablishing historic trade ties with Cuba will be a boost to our port and local small businesses in Tampa Bay.” Her press release added that her district is “home to a large Cuban-American population with historic ties that date back to the 1800s.”[2]

This bill is a companion to the Senate’s bill by the same name (S.1543) that was introduced by Kansas’ Republican Senator Jerry Moran and Maine’s Independent Senator Angus King,,[3] and both bills would fully lift the trade embargo with Cuba by granting the U.S. private sector the freedom to trade with Cuba, while protecting taxpayer interest from any risk associated with such trade.

To protect U.S. taxpayers, the bills have three features. First, they would allow all private persons, entities or organizations to spend private funds for Cuba trade promotion and market development without the use of any taxpayer dollars. Second, commodity check-off programs, which are producer funded, would be allowed to be used. Third, private credit from private institutions could be extended to Cuba, without risk to U.S. taxpayers.

The House already had three bills to end the embargo, all offered by Democratic Representatives: (i) H.R. 403: Free Trade with Cuba Act (Rep. Charles Rangel (NY) with 29 Democratic cosponsors as of July 27); (ii) H.R.274: United States-Cuba Normalization Act of 2015 (Rep. Bobby Rush (IL) with no cosponsors as of July 27); and (iii) H.R.735: Cuba Reconciliation Act (Rep. Jose Serrano (NY) with 12 Democratic cosponsors as of July 27).[4]

All of these previous House bills were assigned to the following seven House committees: Agriculture; Energy and Commerce; Financial Services; Foreign Affairs; Judiciary; Oversight and Government Reform; and Ways and Means. Presumably the bill just introduced by Representatives Emmer and Castor will be similarly assigned. As of July 27, none of these committees had taken any action on the earlier bills.

Given control of the House is in the hands of the Republican Party, maybe the just-introduced bill by Republican Tom Emmer will have a more receptive consideration by these committees.

Representative Emmer in the first six months of his first term in the House serves on the Agriculture and Foreign Affairs committees and already has voiced interest in normalization of U.S.-Cuba relations as indicated by the following:

His website‘s page on “Foreign Affairs”states, “Regions such as Latin America, Africa and Asia present us with emerging opportunities to increase trade and diplomatic relations.”
Early this year Emmer made his first trip to Cuba with a congressional delegation and said the trip had convinced him that the Cuban people are ready to do business with America. “Before the trip, you can be academic about [the issue],” he said. “Once you see the people, it’s not about leadership as much as it’s about people. They’re hungry for the next step, hungry for access to the marketplace.”[5]
In early February Emmer let it be known that if certain conditions were met, he could support lifting the embargo even though he thinks President Obama could have been more open about his initial talks with Cuban officials. “By all accounts the Cuban people are worse off today than when [the embargo] started. So clearly that’s not working,” he said. “And I’m supportive of engaging in diplomacy, starting to re-engage in diplomatic relations with Cuba, to begin that process to hopefully someday getting to normalize that relationship. But it’s two separate things. One, it’s diplomacy, and down the road is normalization.”[6]
In late May Emmer made his second trip to the island, again with another congressional delegation, this one led by Representative Mark Sanford (Rep., SC). Afterwards Emmer said, “The experience for me, is to learn it, to understand it, and see how it fits with Minnesota’s economy.” He also learned “the Cuban people, they love Americans.” [7]
After the July 1 announcement that the two countries would reopen embassies on July 20, Emmer stated he sees “a real opportunity for a positive, open trading partnership between these two countries. The potential benefits for Minnesota exporters are immense, and what is good for Minnesota is good for our country.”[8]

Upon introducing his bill to end the embargo, Emmer stated that he decided to do so after his second trip to Cuba. “I understand there’s a lot of pain on both sides of this issue that goes back many decades, something that a kid from Minnesota is not going to necessarily be able to understand. But I believe this is in the best interests of the Cuban people. This isn’t about the Cuban government — it’s about people on the street looking for more opportunity and to improve their quality of life.”[9]

Conclusion

Now the Minnesota congressional delegation is almost unanimous in supporting U.S.-Cuba normalization and ending the U.S. embargo of the island.

Our two Democratic U.S. Senators (Amy Klobuchar and Al Franken), our five Democratic Representatives (Keith Ellison, Rick Nolan, Betty McCollum, Collin Peterson and Tim Walz) and now our Republican Representative Emmer are on record as authors or cosponsors of bills to end the embargo.

In addition, our Republican Representative Erik Paulsen has made statements that at least do not indicate opposition to these measures. He said in early February, “We should be looking at opportunities to open up trade between the United States and Cuba so we can export more American goods and services. However, the President should have engaged Congress before making concessions to the Cuban government.” And after the announcement of the reopening of embassies, he observed, “A new [U.S.] embassy needs to focus on boosting open markets so the Cuban people can access more American goods and services.” Paulsen’s district, by the way, includes the headquarters of Cargill, the leader of the U.S. Coalition for Cuba, which is a strong advocate for ending the embargo and for normalization.[10]

The lone exception to this Minnesota consensus appears to be our other Congressman, Republican John Kline. In early February he stated he was “not confident the Administration will follow through on its promises to hold the Castro dictatorship regime accountable, and I’m concerned about revisiting relations with Cuba until all Cubans enjoy a free democracy.” After the announcement of the reopening of embassies, his spokesman said, “While congressman Kline supports new opportunities for American businesses and has a strong record of supporting trade and efforts to grow jobs in America, he wants all Cubans to enjoy a free democracy but is not confident this administration will follow through on its promises to hold the Castro dictatorship regime accountable,” [11]

As a Minnesota advocate for U.S.-Cuba reconciliation, I am proud that our congressional delegation is so supportive of ending the embargo and for normalization. I entreat Representatives Paulsen and Kline to join their colleagues in this endeavor.

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[1] Press Release, Emmer, Castor Introduce Legislation to Lift Cuba Embargo (July 28, 2015) Emmer’s website contains endorsements from the Minnesota Farm Bureau, National foreign Trade Council, National Farmers Union, Minnesota Farmers Union, U.S. Agricultural Coalition for Cuba, National Turkey Federation, Greater Tampa Area Chamber of Commerce, Council of the Americas, Arkansas Rice Growers Association, Engage Cuba, Cuba Now, Washington Office of Latin America and CoBank.(See also Sherry, Rep. Tom Emmer leads Republican effort to lift Cuba embargo, StarTribune (July 28, 2015)(Democratic Representative Betty McCollum today indicatated her support for Emmer’s bill).)

[2] Castor, Press Release: U.S. Reps. Castor and Republican colleagues file bill today to end Cuba embargo (July 28, 2015)

[3] As reported in a prior post, the Moran-King bill (S.1543) was introduced on June 10 with Senator John Boozman (Rep., AK) as cosponsor and was referred to the Senate Committee on Banking, Housing, and Urban Affairs. That committee also has the earlier bill to end the embargo– S.491: Freedom to Export to Cuba Act of 2015—introduced by Senator Amy Klobuchar (Dem., MN). As of July 27 that bill had 21 bipartisan cosponsors, but that committee had taken no action on either bill.

[4] These bills were discussed in a prior post, which was updated in another post.

[5] Brodey, Why is Minnesota’s congressional delegation so focused on Cuba? MINNPOST (June 22, 2015).

[6] Henry, Emmer on Cuba embargo: ’Clearly that’s not working,’ MINNPOST (Feb. 6, 2015).

[7] Demczyk, Emmer Details Cuba Visit, KNSI Radio (June 1, 2015), This trip was discussed in a prior post.

[8] Spencer, Embassy reopening could help efforts to end Cuban trade embargo, StarTribune (July 1, 2015).

[9] Gomez, Emmer files bill to end U.S. embargo of Cuba, SC Times (July 28, 2015).

[10] Spencer (n. 8).

[11] Henry (n. 6); Spencer (n. 8).

Cuba Announces Agreement To Restore Diplomatic Relations with the United States

On July 1, 2015, the U.S. and Cuba announced an agreement to restore diplomatic relations. This post will discuss Cuba’s announcement and reactions.[1] A prior post did the same for the U.S. announcement and reactions.

The Cuban government’s announcement of the resumption of diplomatic relations stated the following:

“The President of the Councils of State and Ministers of the Republic of Cuba, Army General Raúl Castro Ruz, and the President of the United States of America, Barack Obama, exchanged letters through which they confirmed the decision to reestablish diplomatic relations between the two countries and open permanent diplomatic missions in their respective capitals, from July 20, 2015.”
“By formalizing this step, Cuba and the United States ratified the intention to develop respectful and cooperative relations between both peoples and governments, based on the purposes and principles enshrined in the Charter of the United Nations and International Law, in particular the Vienna Conventions on Diplomatic and Consular Relations.”
“The Government of Cuba has decided to reestablish diplomatic relations with the United States in full exercise of its sovereignty, invariably committed to the ideals of independence and social justice, and in solidarity with the just causes of the world, and reaffirming each of the principles for which our people have shed their blood and ran all risks, led by the historic leader of the Revolution Fidel Castro Ruz.”
“With the reestablishment of diplomatic relations and the opening of embassies, the first phase concludes of what will be a long and complex process towards the normalization of bilateral ties, as part of which a set of issues will have to be resolved arising from past policies, still in force, which affect the Cuban people and nation.”
“There can be no normal relations between Cuba and the United States as long as the economic, commercial and financial blockade that continues to be rigorously applied, causing damages and scarcities for the Cuban people, is maintained. It is the main obstacle to the development of our economy, constitutes a violation of International Law and affects the interests of all countries, including those of the United States.”
“To achieve normalization it will also be indispensable that the territory illegally occupied by the Guantanamo Naval Base is returned, that radio and television transmissions to Cuba that are in violation of international norms and harmful to our sovereignty cease, that programs aimed at promoting subversion and internal destabilization are eliminated, and that the Cuban people are compensated for the human and economic damages caused by the policies of the United States.”
“In recalling the outstanding issues to be resolved between the two countries, the Cuban Government recognizes the decisions adopted thus far by President Obama, to exclude Cuba from the list of state sponsors of international terrorism, to urge the U.S. Congress to lift the blockade and to begin to take steps to modify the application of aspects of this policy in exercise of his executive powers.”
“As part of the process towards the normalization of relations, in turn, the foundations of ties that have not existed between our countries in all their history will need to be constructed, in particular, since the military intervention of the United States 117 years ago, in the independence war that Cuba fought for nearly three decades against Spanish colonialism.”
“These relations must be founded on absolute respect for our independence and sovereignty; the inalienable right of every State to choose its political, economic, social and cultural system, without interference in any form; and sovereign equality and reciprocity, which constitute inalienable principles of International Law.”
“The Government of Cuba reiterates its willingness to maintain a respectful dialogue with the Government of the United States and develop relations of civilized coexistence, based on respect for the differences between the two governments and cooperation on issues of mutual benefit.”
“Cuba will continue immersed in the process of updating its economic and social model, to build a prosperous and sustainable socialism, advance the development of the country and consolidate the achievements of the Revolution.”

That same day (July 1) Ramón Cabañas Rodríguez, the Head of the Cuban Interests Section in Washington, delivered to Interim Secretary of State Anthony Blinken at the U.S. State Department a letter from Raúl Castro to President Obama, confirming that “the Republic of Cuba has decided to reestablish diplomatic relations with the United States of America and open permanent diplomatic missions in our respective countries, on July 20, 2015.” That letter went on to say the following:

“Cuba makes this decision, motivated by the mutual intention to develop relations of respect and cooperation between both peoples and governments.”
“Cuba likewise draws inspiration from the principles and objectives established in the United Nations Charter and international law, namely, sovereign equality; the settlement of disputes by peaceful means; abstention from acts or threat of aggression or the use of force against the territorial integrity or political independence of any States, non-intervention in matters within the domestic jurisdiction of any State, the promotion of friendly relations among nations based on respect for the principles of equal rights and that of the people’s right to self-determination, and cooperation in solving international problems and in promoting and encouraging respect for human rights and fundamental freedoms for all.”
“The above stated principles are in accordance with the spirit and norms established in the Vienna Convention on Diplomatic Relations of April 18, 1961 and the Vienna Convention on Consular Relations of April 24, 1963, to which both the Republic of Cuba and the United States of America are parties, and will govern diplomatic and consular relations between the Republic of Cuba and the United States of America.”

Cuba also confirmed that on July 1 Jeffrey DeLaurentis, the Head of the U.S. Interests Section in Havana, had delivered to the Cuban Foreign Ministry a July 1 letter from President Obama to President Castro that was quoted in the prior post about the U.S. announcement of restoration of diplomatic relations.

Cuban Reaction

According to a U.S. reporter for the New York Times, Cubans in the streets of Havana welcomed the news about the resumption of diplomatic relations.

Roberto, a parking attendant who minds cars near the U.S. Interests Section on the Malecon, said, ““This will benefit the country. Maybe, I don’t know, it will eventually benefit me.”

Regina Coyula, a blogger who for several years worked for Cuban state security, commented, “People realize that the Americans aren’t going to solve their problems, and nor is the government” of Cuba. The reaction to the December 17^th announcement of rapprochement was “like a firework display. Everyone watched them. Everyone thought they were beautiful. And then they went back to their lives.”

Coyula added that with American money being spent in private restaurants and homes and on car services, those Cubans who are doing well will do even better. “The difference between those Cubas is only going to grow.”

“We’ve been waiting all our lives for this, and it’s very welcome,” said Carmen Álvarez, 76, who was walking with friends near the Interests Section. “We’re waiting with our arms and our minds wide open.”

Yosvany Coca Montes de Oca, 38, who began listing his one-bedroom apartment in Havana with Airbnb, the online house-sharing service, in April, said, “Things are going really well.” He used to get four or five Americans staying at his house every month. For the past two months, he has had more than 15 and has been showered with reservations. But Mr. Coca acknowledged that he was part of a privileged economic circle that was feeling the immediate benefit of new American interest in Cuba. Many Cubans, he said, felt little change. “For ordinary people, it doesn’t have a direct impact. People are mainly concerned with getting by day to day.”

More generally, the U.S. reporter concluded,“The euphoria that prompted Cubans to toot their horns and wave flags [on December 17^th] . . . has given way to a tempered hope that an influx of Americans, and the eventual end of the trade embargo, will help pry open the economy and the political system.”

Similar positive comments from people on the street in Havana were captured by Granma, the official newspaper of Cuba’s Communist Party.

Other Reactions

Cuba’s Granma newspaper reported positive reactions to the restoration of diplomatic relations from China, Brazil, the European Union and the United Nations.

Conclusion

The Cuban announcement reiterated some of the issues that Cuba has raised before and after the December 17^th announcement of rapprochement and that have been addressed in prior posts to this blog.

Foremost for Cuba is ending the U.S. embargo or blockade of Cuba. President Obama agrees that this should happen and again yesterday called on Congress to adopt legislation doing just that. Senators Amy Klobuchar, Jerry Moran and Angus King have introduced bills to that end, and in the House Charles Rangel, Bobby Rush and Jose Serano have authored similar bills. Now the relevant congressional committees need to hold hearings and report the bills to the floors of the respective chambers for voting them up or down.[2]

Related to ending the embargo or blockage is Cuba’s repeated allegation that it is illegal under international law and has damaged Cuba, allegedly $1.1 trillion as of last October. It is exceedingly unlikely that the U.S. will agree with these assertions and pay Cuba that sum of money. Therefore, this blogger has suggested that this Cuban claim, along with others by Cuba and the U.S., be submitted for resolution to the Permanent Court of Arbitration at the Hague in the Netherlands.[3]

The other significant issue for Cuba is ending the alleged U.S. illegal occupation of Guantanamo Bay and returning that territory to Cuba. Again it is exceedingly unlikely that the U.S. will agree with that allegation and demand. Remember that the Cuban government in 1906 leased that territory to the U.S. for use as a “coaling station” or “naval station” and that there are many problems with Cuba’s assertion that it has the right to terminate the lease. Therefore, this blogger has suggested that this Cuban claim and others relating to Guantanamo, including unpaid rent for the last 50-plus years, also be submitted for resolution to the Permanent Court of Arbitration.[4]

Cuba’s complaint about U.S. radio and television transmissions to Cuba (Radio and TV Marti), in this blogger’s opinion, is secondary. Again I see no U.S. acceptance of this complaint, and thus it too should be submitted to the Permanent Court of Arbitration.[5]

The other secondary Cuban complaint concerns the U.S. “programs aimed at promoting subversion and internal destabilization.” This refers to the covert, secret or “discreet” programs of the U.S. Agency for International Development (USAID), such as its social media program, the HIV workshop program and the hip-hop artist campaign. These programs, in this blogger’s opinion, are a stupid waste of U.S. taxpayers’ funds and should be terminated by the U.S. Any U.S. programs to promote democracy in Cuba should be joint ventures with the Cuban government.[6]

Now the more difficult work comes for the two countries’ diplomats to meet, discuss and negotiate to attempt to resolve or at least narrow these and many other issues. We wish them courage, persistence and humility in their work.

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[1] Statement by the Revolutionary Government, Granma (July 1, 2015); Letter from Cuban President Raúl Castro to Barack Obama (July 1, 2015); Interim Minister of Foreign Relations receives letter from U.S. President to Army General Raúl Castro Ruz, Granma (July 1, 2015); Cuba and the U.S. confirm reestablishment of diplomatic relations, Granma (July 1, 2015); Burnett, Cubans Greet Latest Step in U.S. Thaw With Hope Tempered by Reality,N.Y. Times (July 1, 2015).

[2] Prior posts have discussed bills to end the embargo in the U.S. House of Representatives and similar bills by Senators Klobuchar and Moran and King.

[3] A prior post concerned the October 2014 U.N. General Assembly’s overwhelming approval of a resolution condemning the embargo and Cuba’s allegation of $1.1 trillion of damages. Arbitration of Cuba’s alleged damages claim was suggested in another post.

[4] A post examined the 1906 lease of Guantanamo Bay; another, whether Cuba had a right to terminate the lease and another. arbitration of unresolved issues about the lease.

[5] One post looked at the status of Radio and TV Marti.

[6] Prior posts have covered USAID’s social media program; the U.S. Senate’s comments on that program; USAID’s HIV workshop program and reactions thereto by the U.S. government and by others; the New York Times’ criticism of the programs; criticism of the programs by the Latin American Working Group; and this bloggers’ open letter to President Obama complaining about the programs.

Two Major U.S. Groups Urge Congress To Promote U.S. Trade and Travel with Cuba

This month two major U.S. groups have reiterated pleas to Congress to promote U.S. trade and travel with Cuba. They are the United States Agricultural Coalition for Cuba and Engage Cuba. Here is a report on those efforts.

U.S. Agricultural Coalition for Cuba

On June 8, 2015, the Agricultural Coalition, an association of more than 90 U.S. agricultural companies and state and national organizations committed to normalizing exports of food and agricultural products to Cuba, sent a letter to the U.S. Senate Foreign Relations.[1]

The letter reiterated the Coalition’s opposition “to any effort to restrict trade and travel with the nation of Cuba—including possible amendments to appropriations bills or the State Department reauthorization bill.” Any such restriction “would be detrimental to the U.S. agricultural industry and the future of U.S.-Cuba relations.”[2]

Indeed, the letter continued, Coalition members “share a commitment to liberalizing trade between the United States and Cuba. We support Congressional action to expand opportunities for U.S. agriculture by normalizing commercial relations with Cuba and, ultimately, ending the Cuban embargo.”

Because of existing restrictions in U.S. law about trade with Cuba, the letter further stated, the U.S. agriculture “industry is losing out on valuable opportunities to market U.S. food and agriculture products in Cuba. U.S. farmers, ranchers, and food businesses should not be losing out to other countries like Brazil, Canada, Argentina, Vietnam, and countries in the European Union. Cuba is a logical export market for the U.S. industry.”

Engage Cuba

On June 16, 2105, Engage Cuba formally commenced its operations in Washington, D.C. as a coalition of major corporations, business associations and non-profit groups. Its members include the National Foreign Trade Council, the National Association of Manufacturers, the Consumer Electronics Association, the Council of the Americas, the American Society of Travel Agents, Third Way, #CubaNow, the Cuba Study Group and the Center for Democracy in the Americas. It also works directly with many leading businesses, including Procter & Gamble, Cargill, Caterpillar, Choice Hotels and The Havana Group,[3]

This coalition on June 16 started an ad campaign called “Guess What?” that is being broadcast on Fox News, MSNBC and CNBC. It calls for ending travel and trade bans on Cuba.[4]

The Engage Cuba press releases stated the various provisions that seek to halt reconciliation with Cuba that House Republicans had inserted into pending appropriations bills. He said they were “like the last gasps of a defeated army that’s in retreat. They are just trying to delay the inevitable. The Senate will not support those versions of the bill[s] and the White House already has said they would [veto them]. So they [have a] zero chance of becoming law.”

This theme about pending legislation was expanded in a June 16 article by Williams and two other Engage Cuba leaders (Steven Law and Luke Albee).[5] They said, “While there are plenty of big fights still to be had, bipartisan progress is clearly emerging on an unlikely issue: Cuba policy.” As “examples of seeking compromise and working across party lines,” they cited the bill to end the ban on U.S. travel (S.299) offered by Republican Senator Jeff Flake (AZ) and Democratic Senator Patrick Leahy (VT) and the recent bill to end the embargo (S.1543) offered by Republican Senator Jerry Moran (KS) and Independent Senator Angus King (ME).

Engage Cuba, they said, “reflects that same bipartisan spirit. The founder of the group (James Williams) is a public policy adviser to philanthropists with strong ties to the Obama Administration. Its top two advisers come from opposite sides of the political barricades: Steven Law runs American Crossroads and Luke Albee is a well-known Democrat who served more than two decades in Congress as Chief of Staff to Sens. Leahy and Warner (Dem.,VA).”

This article concluded with an urgent call for that bipartisan spirit and effort to combat “provisions . . . [to House of Representatives’] funding bills to try to roll Cuba policy back to a Cold War posture, even as embassies are in the process of being announced. The bills immediately drew veto threats, and it’s clear they have little chance of getting through the Senate with those measures. However, progress isn’t going to be made by fighting rear-guard actions; we need to move our policy toward Cuba in a new, positive direction.”

On January 15, Senator Jeff Flake (Rep., AZ) hosted a party at a Washington, D.C. bar to celebrate the launching of Engage Cuba. People from that coalition were joined by other senators; Roberta S. Jacobson, the Assistant Secretary of State for Western Hemisphere Affairs and the U.S.’ chief negotiator in the Cuba talks; and José Ramón Cabañas Rodriguez, Cuba’s ambassador-in-waiting as chief of mission at the Cuban Interests Section in Washington.

Flake, Rodriguez, collin and Roberts — Rodriguez, Flake, Collins and Roberts

Senator Flake had just returned from another trip to Cuba, this time with Senators Susan Collins (Rep., ME) and Pat Roberts (Rep., KS). Here is a photo ot the three of them with Cuba’s Foreign Minister, Bruno Rodriguez Parrilla. Afterwards, on June 15 Flake said, “To see where we are today is really heartening. The feeling I had the last couple of visits to Cuba is that the reforms . . . that have been made are irreversible. It’s full steam ahead.”[6]

Conclusion

All supporters of U.S.-Cuba reconciliation should thank both of these organizations for their efforts to do the same while also urging their Senators and Representatives to oppose the House Republican rear-guard efforts.

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[1] This Agricultural Coalition letter was the subject of an article in Cuba’s state-owned newspaper, Granma: U.S. agricultural coalition opposes trade and travel restrictions against Cuba. Granma (June 15, 2015) Prior posts discussed the Coalition’s January 2015 launching and its March 2015 trip to Cuba.

[2] Pending policy bills against reconciliation and the anti-reconciliation inserts in appropriations bills have been discussed in posts on May 26 and 28 and June 2, 10, 12 and 16.

[3] Torres, Major U.S. companies support new group that will lobby to lift sanctions against Cuba, Miami Herald (June 16, 2015). A prior post discussed the organization of Engage Cuba. Engage Cuba already helped helping negotiate an agreement between the Florida-based Stonegate Bank and the Cuban Interests Section in Washington to resume bank transactions for the Cuban diplomatic mission, an essential requirement for the reestablishment of diplomatic relations and the conversion of the Section to the Cuban Embassy. The group’s website has a useful page of Facts about public opinion on reconciliation in the U.S. and in Cuba, the potential Cuban market for U.S. products and services, statements of prominent individuals supporting reconciliation and lists of reconciliation-supportive businesses, agricultural organizations, faith-based and religious organizations, human rights, development and policy organizations, and labor, environmental and travel organizations. Another useful feature of the website is a form for individuals to send an email to their members of Congress.

[4] The TV ad itself is available online, and the ad is a subject of a press release from the group.

[5] Williams, Law & Albee, On Cuba, a bipartisan path emerges, The Hill (June 16, 2015).

[6] Calmes, New Group Enjoys Thaw in U.S.-Cuba Relations with a Party, N.Y. Times (June 17, 2015)

New Senate Bill To End U.S. Embargo of Cuba

On June 10, 2015, Senator Jerry Moran (Rep., KS) introduced S.1543 Cuba Trade Act of 2015 to end the U.S. embargo of Cuba. With Senator Angus King (Ind., ME) as the cosponsor, the bill was referred to the Senate Committee on Banking, Housing, and Urban Affairs, which has not taken any action on S.491, the bill to end the embargo that was introduced in February by Senator Amy Klobuchar (Dem., MN) that was discussed in a prior post.

More specifically, S.1543 repeals restrictions on trade with Cuba under the Foreign Assistance Act of 1961, the Cuban Democracy Act of 1992, the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996; and the Trade Sanctions Reform and Export Enhancement Act of 2000.

In addition, S.1543 has provisions whereby the federal government may not obligate or expend any funds to promote trade with or develop markets in Cuba, except for certain commodity promotion programs. These were important provisions. Moran’s office called them “taxpayer protection provisions” that observers see as ways to win over reluctant Republicans support for ending the embargo.

Senator Moran’s press release [1] said the bill “would grant the private sector the freedom to export U.S. goods and services to Cuba while protecting U.S. taxpayers from any risk or exposure associated with such trade.” Cuba, Senator Moran stated, was “a natural market for our nation’s farmers and ranchers. By lifting the embargo and opening up the market for U.S. agricultural commodities, we will not only boost the U.S. economy but also help bring about reforms in the repressive Cuban government. I am hopeful that increasing the standard of living among Cuban citizens will enable them to make greater demands on their own government to increase individual and political rights.”[2]

Senator King added, “For far too long, the Cuban people and American businesses have suffered at the hands of an antiquated trade embargo. . . . The Cuba Trade Act would finally end our outdated embargo policy and establish a new economic relationship with Cuba that will support increased trade for American businesses and help the Cuban economy and its people to flourish.”

Moran’s press release also observed, “Nearly 150 U.S. organizations have voiced their strong support for commonsense reforms related to U.S.-Cuba relations including the U.S. Chamber of Commerce, the American Farm Bureau Federation, the National Foreign Trade Council, the U.S. Agriculture Coalition for Cuba, the National Association of Wheat Growers and the National Farmers Union.”

I hope that having a Republican author of a bill to end the embargo and this bill’s taxpayer protection provisions will enhance the chances of this Republican-controlled Senate endorsing the ending of the embargo. And then enhance the chances of the Republican-controlled House of Representatives doing the same.

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[1] Senator King issued a similar press release.

[2] In early January Senator Moran spoke in favor of ending the embargo at the early January 2015 launching of the United States Agricultural Coalition for Cuba that favors ending the embargo.

Another U.S. Coalition for U.S.-Cuba Reconciliation

Engage Cuba, another U.S. coalition supporting U.S.-Cuba reconciliation, is to be officially launched on June 15^th.[1]

This new nonprofit advocacy group will lobby Congress to repeal the ban against doing business in or traveling to the island nation. Its goal is to create an “umbrella organization”, bringing together people from different sectors, which have different approaches and perspectives, but agree upon this reconciliation. One of its financial backers is the National Foreign Trade Council, which represents major corporations and lobbies for expansion of U.S. international trade and which has its own broader coalition (USA*Engage) against U.S. unilateral trade sanctions, including those against Cuba.

The president of Engage Cuba, James Williams, has said, “There is a broad consensus emerging from business, agriculture, policy experts, and civil society generally that Congress must end antiquated trade and travel restrictions on Americans that stand in the way of more meaningful engagement with the Cuban people.” Moreover, he has said, the Republican Party now controlling both houses of Congress has no reason to oppose this change, not even out of principle: “Republicans believe in the power of the free market and in speaking out in support of America’s values anywhere and everywhere.”

An example of such Republican support was a January 2015 joint letter to President Obama from seven prominent Republican Senators (Jeff Flake (AZ), Rand Paul (KY), Jerry Moran (KS), Pat Roberts (KS), Mike Enzi (WY), John Boozman (AR) and Susan Collins (ME). They said, “With the significance of your recent announcements related to Cuba, we look forward to Congress turning its attention toward modernizing U.S.-Cuba policy to the benefit of U.S. citizens and the Cuban people alike. Congress must play an integral role in reforming our policy toward Cuba.”

Engage Cuba’s participants include several prominent Republicans. A top advisor is Steven Law, former Deputy Secretary of Labor in the George W. Bush Administration and current president of the American Crossroads super PAC, which backs Republican candidates and causes. Kristen Chadwick, former Special Assistant to President George W. Bush for Legislative Affairs, will manage much of the lobbying in the House of Representatives. Billy Piper, a former top aide to Sen. Mitch McConnell, will manage the Senate lobbying.

The group also has the involvement of Democratic supporters. Luke Albee worked as an aide to Senator Patrick Leahy (Dem., VT), a strong supporter of the policy change towards Cuba. Luis Miranda, the former White House director of Hispanic media and an aide to President Obama, helped conceive of the group.

An earlier coalition with a similar purpose is the United States Agricultural Coalition for Cuba that was launched in January of this year and that in early March organized a large delegation’s visit to Cuba.

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[1] This post is based upon the following: Tau, Top GOP, Democratic Consultants to Push Congress to End Cuba Embargo, W.S.J. (April 16, 2015); Ortiz, Engage Cuba Advocates Normal U.S.-Cuba Relations, OnCuba (April 27, 2015); Gomez, A coalition against the blockade in the corner of the white house, Granma (May 20, 2015) (Google translation). The group’s website does not yet have any substantive content.

Senator Klobuchar Introduces Bill To End Embargo of Cuba

On February 12, 2015, Minnesota’s U.S. Senator Amy Klobuchar introduced S.491: Freedom to Export to Cuba Act. Its five cosponsors are Senators Richard Durbin (Dem., IL). Mike Enzi (Rep., WY), Jeff Flake (Rep., AZ), Patrick Leahy (Dem., VT) and Debbie Stabenow (Dem, MI). The bill was referred to the Senate’s (a) Banking, Housing and Urban Affairs and (b) Foreign Relations Committees.

Comments on S.491

Senator Klobuchar’s press release said the bill would eliminate the legal barriers to Americans doing business in Cuba and thereby pave the way for new economic opportunities for American businesses and farmers by boosting U.S. exports and allowing Cubans greater access to American goods. The legislation repeals key provisions of previous laws that block Americans from doing business in Cuba, but does not repeal portions of law that address human rights or property claims against the Cuban government. [1]

This press release also stated, “It’s time to the turn the page on our Cuba policy. Fifty years of the embargo have not secured our interests in Cuba and have disadvantaged American businesses by restricting commerce with a market of 11 million people just 90 miles from our shores. There are many issues in our relationship with Cuba that must be addressed, but this legislation to lift the embargo will begin to open up new opportunities for American companies, boost job creation and exports, and help improve the quality of life for the Cuban people.” [2]

She subsequently told a Minnesota newspaper, “There’s been a sea change in terms of how people are thinking about Cuba. I think it’s really important to get people from the Midwest involved. Our interests are different than some of the other people traditionally involved in this issue. … We come at it from a production perspective, from the perspective of wanting to sell things there.” [3]

Klobuchar’s bill was endorsed by the United States Agricultural Coalition for Cuba. Its Chair, Devry Boughner Vorwerk of Cargill Incorporated, said, “We appreciate Sen. Klobuchar’s leadership to advance this bipartisan bill, modernize U.S. policy toward Cuba and boost opportunities for American agriculture. Ending the embargo will enable our agriculture sector to work in partnership with Cuba and the Cuban people, develop a meaningful trading relationship and create jobs across many sectors of our own economy.”

Internal Senate Political Concerns

As previously mentioned S.491 was referred to two committees: the Senate Banking, Housing and Urban Affairs Committee and the Foreign Relations Committee, each of which presents problems for successful passage of the bill. [4]

The Banking Committee has 12 Republican and 10 Democratic members. Its Chair is Richard Shelby (Rep., AL) while its Ranking Member is Sherrod Brown (Dem., OH). With two and maybe three exceptions, my initial impression is that the Republican majority will be opposed to the bill while the Democrats will support the bill. The two exceptions are Republican Jerry Moran (KS), who supports ending the embargo, and Democrat Robert Menendez (NJ), who opposes such action. The other possible exception is Republican Bob Corker (TN), who chairs the Senate Foreign Relations Committee and who issued a noncommittal statement about the December 17th rapprochement.[5]

The Foreign Relations Committee has 10 Republican and nine Democratic members. Its Chair is the previously mentioned Bob Corker (Rep., TN) and its Ranking Member is Robert Menendez (Dem., NJ). With three and maybe four exceptions, my initial impression is that the Republican majority, including Marco Rubio (FL), a Cuban-American who strongly and repeatedly opposes reconciliation, will oppose the bill while the Democratic minority will support the measure. The exceptions are Republicans Jeff Flake (AZ) and Rand Paul (KY), who have supported ending the embargo, and Democrat Menendez, a Cuban-American who vehemently opposes reconciliation with Cuba, including ending the embargo. The possible exception is Chair Corker, who has issued a noncommittal statement on the rapprochement. Thus, it is conceivable that there could be a 10-9 (or even a 11-8) vote approving the bill in committee. But if it does not also get out of the Banking Committee, that probably means very little.

These internal Senate political considerations prompted Klobuchar to acknowledge to the Minnesota newspaper that the Foreign Relations Committee’s obstacles for the bill “are clearly something to be reckoned with … but it doesn’t mean that two people [Senators Rubio and Menendez] can stop the whole thing.” She added that the legislation could come up through the Banking. Housing and Urban Affairs Committee or be passed in piecemeal fashion through other bills.

Minnesota Representative Collin Peterson, who is a cosponsor of a companion bill (H.R.403) in the House of Representatives, also talked to the Minnesota newspaper about the political difficulties of passing such measures. Indeed, he called the odds of lifting the embargo this year as “thin” due to the political sway of the older generation of Cuban-Americans in certain congressional districts.

Peterson thought the elimination of the embargo will “help [Minnesota farmers] a little bit” by increasing demand and, therefore, farm prices, “but it’s marginal in the whole scheme of things.”

Conclusion

I thank and congratulate Senator Klobuchar for introducing this important bill and the six other senators for cosponsoring the bill.

I conclude by adding the following three reasons for ending the embargo that I have not seen elsewhere:

1. Without the embargo, the U.S. would not face the annual fall nearly unanimous condemnation of the embargo by the U.N. General Assembly.

2. The elimination of the embargo might assist the U.S. in combatting the increasing Chinese and Russian influence in Latin America.

3. Cuba repeatedly has claimed that the embargo has caused damage to its economy, and at last Fall’s U.N. General Assembly meeting Cuba asserted the total damages were $1.1 trillion. That obviously is a very large amount of money. I am confident that in any litigation or arbitration over such a claim the U.S. would mount a thorough critique and arguments to rebut the claim, including evidence and argument that any alleged damages were caused by Cuban ineptitude and that the major premise of the argument (the illegality of the embargo under international law) was unfounded. Nevertheless, as is true in any disputed claim like this, there can be no 100% guarantee that the claim will be rejected in its entirety. Thus, this damage claim must be recognized as a contingent liability of the U.S., and ending the embargo will minimize the amount of that liability.

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[1] On January 15th the Congressional Research Service issued CRS Report 4388: “Cuba Sanctions: Legislative Restrictions Limiting the Normalization of Relations” In a 15-page table it “lists the various provisions of laws comprising economic sanctions on Cuba, including key laws that are the statutory basis of the embargo, and provides —on the authority to lift or waive these restrictions.”

[2] Similar press releases were issued by Senators Durbin and Leahy.

[3] Sherry, Sen. Klobuchar leads effort in U.S. Senate to life Cuba trade embargo, StarTribune (Feb. 13, 2015).

[4] The THOMAS legislative service of the Library of Congress late on February 12th said the bill was referred to both of these committees, but on February 13th it said it was only referred to the Banking Committee. Since the embargo clearly relates to foreign relations, I assume the latter THOMAS version is incorrect.

[5] Research-backed comments and corrections on the positions regarding Cuba by the members of these committees are solicited and welcome.