HAVANA – A wave of American travelers descended upon Cuba after then-President Barack Obama reestablished diplomatic relations with the island nation in 2015, bringing a surge of economic activity. Now, Cuba faces what may be its most severe economic crisis in decades, a situation exacerbated by tightening U.S. Policy and a lack of international support. The current hardship is impacting daily life for Cubans, from fuel availability to food security and tourism.
Mandy Pruna, a Havana resident, fondly remembers the boom times. He and his meticulously maintained 1957 Chevrolet were in high demand, offering tours to a stream of visitors, including celebrities like Will Smith, Rihanna, and Kim Kardashian. Pruna’s classic car was even chosen as a backdrop for the official flag-raising ceremony at the newly reopened U.S. Embassy in Havana, symbolizing the restored ties between the two countries after decades of estrangement. “All sectors of society benefited from that,” Pruna said, recalling a period of renewed optimism and economic opportunity. “You saw people painting their houses, opening fresh businesses. For me, it was fantastic. It was the best time for tourism in Cuba.”
A Tightening Grip: U.S. Policy and Fuel Shortages
The current crisis stems, in large part, from the Trump administration’s policies aimed at pressuring the Cuban government to enact significant political and economic reforms. These actions included restricting the flow of oil to Cuba, through actions in Venezuela and threats of tariffs on Mexico, and limiting remittances. Cuba appears to have few willing allies to provide the hundreds of millions of dollars in fuel needed to sustain its economy. The dwindling supply of petroleum is having a cascading effect across the island.
The double blow of reduced fuel supplies and a dramatic decline in tourism has been devastating for individuals like Pruna. “I need gasoline to operate, I need tourists to work,” he stated. As the crisis deepens, life is grinding to a halt for Cuba’s nearly 10 million residents. Schools have been suspended in many areas, and workers have been sent home to conserve energy. Nearly empty hotels have closed their doors, and flights from Russia and Canada have been canceled due to insufficient fuel for long-haul international routes. Both the United Kingdom and Canada have advised their citizens against non-essential travel to Cuba.
Economic Fallout: From Tourism to Agriculture
The impact extends far beyond the tourism sector. Last week, organizers canceled the annual Habanos Festival, a major event that generates millions in revenue. Sherrit International, a Canadian mining company, announced on Tuesday that it is pausing its nickel and cobalt mining operations in Cuba due to the fuel shortage, as reported by CNN Español. State-run hospitals have reduced services, and a lack of fuel and functioning garbage trucks has led to accumulating trash in neighborhoods across the country.
Power outages have become a constant feature of daily life. In Havana, the night sky is often vividly visible as much of the city remains in near-total darkness. The Trump administration maintains that the Cuban government must open its centralized economy before any relief can be expected. “There’s no oil, there’s no money, there’s nothing,” President Trump told reporters on Monday, adding that Secretary of State Marco Rubio is leading negotiations with Cuban officials. Rubio, a long-time opponent of the Cuban government, has stated that the only topic for discussion with the communist leadership is when they will relinquish power.
A History of Subsidies and a Looming Humanitarian Crisis
Senator Rubio, speaking at the Munich Security Conference last week, argued that Cuba has historically relied on subsidies from the Soviet Union and, more recently, Venezuela’s Hugo Chávez. “For the first time, it doesn’t have subsidies coming from anywhere, and the model has been exposed,” he said. With limited external support, Cuba is facing the prospect of a humanitarian crisis. The majority of food consumed in Cuba is already imported, a consequence of decades of unsuccessful agricultural policies. This fragile lifeline is now threatened as Cuban-American politicians in the United States call for a complete halt to all assistance.
“This is the moment to cut it all off: no more tourism, no more remittances, no more mechanisms that continue to finance and sustain the dictatorship,” said Florida Congresswoman Maria Elvira Salazar, a former CNN en Español journalist. “It’s devastating to think about a mother’s hunger, a child who needs immediate help. No one is indifferent to that pain. But that is precisely the brutal dilemma we face as exiles: solve the short-term suffering or liberate Cuba forever.” Some private companies importing food from the United States have already suspended operations, unable to refrigerate products during the daily power cuts.
“Resisting Creatively” and a Return to Wartime Mentality
In response to the worsening shortages, Cuban President Miguel Díaz-Canel has urged the population to “resist creatively” and adopt a wartime mindset. “We are going to eat what People can produce in each place. Now, if there is less fuel, then food will not be able to depart some municipalities to others,” Díaz-Canel said in a televised address in January. At Havana’s “agromercados,” where a limited selection of locally produced food is sold, vendors report increasing difficulties in transporting fruits and vegetables from rural areas to the capital.
“We are paying two, three times more to restock and keep people happy,” said Anayasi, a food vendor who declined to give her last name for fear of reprisal. “There is no food. The impact will be terrible. We will have nothing.” Mandy Pruna, the classic car driver, is now considering emigrating to Spain with his family. After 20 years earning a living transporting tourists in his Chevy, he sees no future in his homeland. “Everything is uncertain right now. There is no fuel. We don’t know if there will be any and how we are going to pay for it,” he said. “If I have to pay for gasoline in dollars, how do I recover that money if there is no tourism?” Pruna suspended his license to operate as a classic car driver earlier that morning.
The situation in Cuba remains fluid, with the potential for further economic hardship and social unrest. The next key development will likely be the outcome of ongoing negotiations between U.S. Officials and the Cuban government, though the prospects for a swift resolution appear dim. The ongoing fuel shortages and economic pressures are creating a challenging environment for the Cuban people, and the long-term consequences remain to be seen.
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