Panel 6 Outline Guide to Doing Business in Cuba Post-Castro and U.S. Embargo

Panel 6 Outline Guide to Doing Business in Cuba Post-Castro and U.S. Embargo [JULISSA REYNOSO] I. The History of Sanctions Against Cuba A. There were two early legislative acts that gave the President the power to implement sanctions on Cuba. 1. Foreign Assistance Act of 1961 Under the Act, President John F. Kennedy banned all U.S. trade with Cuba. 2. Trading with the Enemy Act of 1917 and the 1950 national emergency declared by President Harry S. Truman at the start of the Korean War With this authority, President Kennedy imposed a broad embargo on all transactions with Cuba except as explicitly licensed by the President. President Kennedy s actions established the framework of the embargo that remained for the next half century. B. Attempts to Multilateralize the Embargo The U.S. earned initial success in persuading other nations to join in the embargo against Cuba, but the cooperation later withered away. 1. Initial Successes In 1964, at the U.S. s urging, the Organization of American States (OAS), imposed mandatory sanctions against Cuba by calling for all member states to cut economic and diplomatic relations. Only Mexico refused to comply. European countries were reluctant but most limited trade and investment at the U.S. s insistence. 2. But by the mid-1970s, Latin American countries began to openly ignore the sanctions program and restored relations with Cuba. There were also calls from inside Congress to end the embargo. a) U.S. corporations operating abroad began feeling legal pressure from their host governments. So President Gerald Ford lifted the embargo on trade with Cuba by subsidiaries of U.S. corporations operating abroad. b) 1975 Latin American countries pressured the U.S. into voting in favor of lifting the 1964 OAS sanctions. C. The U.S. used sanctions to punish Cuba for its involvement in foreign conflicts. 1

1. 1975 Cuba sent combat troops to Angola to assist in defending against an invasion by South Africa. Secretary of State Henry Kissinger, who initially attempted to normalize relations with Cuba, abandoned these efforts in response. But President Jimmy Carter continued Kissinger s normalizing efforts by lifting the embargo on travel entirely and licensed Cuban Americans to send remittances to family. The rest of the embargo including the ban on food and medicine remained in place as a bargaining chip, but it was never used. 2. Cuba s support of revolutionary movements in Central America In response, President Ronald Reagan tightened the embargo, reimposed the ban on travel, increased enforcement, and added Cuba to the State Department s list of state sponsors of international terrorism. D. Congress codifies U.S. sanctions against Cuba into law. 1. Cuban Democracy Act (1992) On the heels of Cuba s loss of Soviet economic assistance, Congress passed legislation to tighten the embargo to collapse the Cuban government. a) Reimposed ban on trade with Cuba by subsidiaries of U.S. corporations operating abroad. b) Prohibited vessels that entered Cuban ports from then entering U.S. ports for 180 days. This prohibition raised Cuba s shipping costs during a time when Cuba was forced to change its international trade relations after the fall of European communism. c) Instructed the President to urge countries to stop all aid to Cuba or risk losing aid from the U.S., a provision aimed at Russia. d) And the sanctions were to remain in force until the President certified that Cuba became a democracy by holding free and fair multiparty elections and by establishing a free market economy. 2. Cuban Liberty and Democratic Solidarity Act ( Helms-Burton Act ) (1996) Passed after Cuba shot down 2 small aircraft flown by a Cuban exile group, Brothers to the Rescue, and killed 4 pilots. a) Most significant effect Wrote the economic sanctions program into law. This stripped the President of executive power to lift the embargo at his/her discretion. But it also codified presidential power to license exceptions to the embargo with virtually no limits. 2

b) Called on the President to seek a mandatory international embargo from the UN Security Council, urge foreign governments to end assistance to Cuba, and oppose Cuba s entry into international financial institutions. c) Authorized U.S. nationals, including Cuban Americans, to sue foreign companies for trafficking in their confiscated property in Cuba. This was an effort to discourage foreign investment. But this provision never went into effect. d) Made settlement of U.S. property claims a condition for lifting the embargo. This is a significant obstacle to forming a legislative majority to lift the embargo. The property claims issue dates back to the early years of the Cuban revolution when Cuba expropriated about $1.9 billion worth of U.S. property. Today, with accumulated interest, the figure is up to $8 billion. 3. Trade Sanctions Reform and Export Enhancement Act (2000) Lifted the embargo on the sale of agricultural commodities to Cuba. But the Act banned trade credits to Cuba to finance agricultural sales and tourism. The ban on tourism was defined as any travel outside the scope of the categories of legal travel. The Act was supported by a coalition of Democrats and farm state Republicans. Cuba began buying food from the U.S. in 2001. Sales peaked at $710 million in 2008 but eventually fell to $171 million because U.S. exporters could not offer financing. E. Recent Presidents begin to use their licensing authority in relations with Cuba. 1. President Bill Clinton In his second term, he sought to expand social connections between Cuba and the U.S. a) Relaxed travel restrictions for humanitarian, cultural, and educational travel. b) Expanded air service c) Allowed anyone, not just family members, to send remittances. d) Creation of people-to-people travel category for educational visits that did not involve credit from an academic institution. This became the main provision non-cuban Americans used to travel to Cuba. 3

By the end of the Clinton administration, 50,000 non-cuban Americans traveled to Cuba each year. 2. President George W. Bush As a reward for the support he received from Cuban American conservatives in Florida, Bush tightened the embargo and rolled back President Clinton s actions. a) Ended the people-to-people educational travel category and eliminated most academic exchanges. b) Cut Cuban American travel from 1 annual trip to 1 every 3 years, with no exceptions for family emergencies. c) The results: travel to Cuba by U.S. residents cut in half, reduced humanitarian assistance from $10 million annually to $4 million, and remittances decreased from $1.25 billion to $1 billion annually. II. Obama Era* President Barack Obama maintained that the old U.S. policy of hostility failed and the U.S. should be willing to engage with Cuba diplomatically. A. First Term Relaxed sanctions limiting family, cultural, and educational ties to Cuba. 1. Lifted all limits on family travel and remittances. 2. Licensed U.S. telecommunications companies to contract with the Cuban government to provide services within Cuba. The aim was to expand the public s access to information. But U.S. companies found the licensing requirements too difficult, so no companies took advantage of the opportunity. 3. 2010 But the Obama administration did not support an attempt by congressional Democrats to repeal the ban on tourism. And the measure was defeated. 4. After the mid-term elections, the Obama administration approved a narrower set of regulatory changes on travel. The changes resulted in substantial increases in travel and remittances. a) Restored the people-to-people category of educational travel that President Clinton created but Bush ended. b) Granted general licenses for religious and academic travel. c) Loosened restrictions on academic exchanges. 4

d) Restored the license for non-family remittances, which President Clinton started but Bush ended. Under Obama, remittances rose from about $1.5 billion in 2008 to $2.5 billion in 2012. e) Relaxed restrictions on gift packages (goods Cuban Americans brought on trips to Cuba), which were restricted to food, medicine, and some consumer staples under President Bush. The loosened restrictions led to over $2 billion in gift packages. Remittances and gift packages, previously too limited to do more than supplement consumption, now provided seed capital and important inputs to Cuba s growing sector of small private businesses. 5. Political shift in South Florida s Cuban diaspora a) President Obama won 35% of the Cuban American vote in 2008; earned 48% in 2012. b) 2014 Florida International University s periodic poll of Cuban Americans in South Florida found that 52% favored lifting the embargo. B. Second Term President Obama uses executive authority to weaken embargo that he admits was codified in legislation. 1. In 2015, the Obama administration implemented a number of regulatory changes. a) January 2015 The Department of the Treasury and Department of Commerce published new regulations that authorized general licenses for all 12 categories of legal travel. This allowed travelers to determine for themselves whether their travel plans were within the 12 legal categories. b) Provided general licenses to travel providers, which led to the rapid expansion of travel opportunities. c) Provided general licenses to telecommunications companies to provide services. d) Abolished limits on humanitarian and non-family remittances. 2. May 2015 President Obama removes Cuba from the list of state sponsors of international terrorism. a) Allowed the U.S. to restore full diplomatic relations with Cuba. 5

b) Meant that Cuba was no longer subject to sanctions as a state sponsor of terrorism. But Cuba received little economic benefit because the sanctions were narrower than the economic embargo written into law by the Helms-Burton Act. 3. September 2015 The Obama administration announced regulatory reforms to encourage U.S. business ties with Cuba. The main provision allowed U.S. businesses, educational institutions, and humanitarian organizations to establish a business presence in Cuba, which includes offices, retail outlets, and warehouses. 4. January 2016 The Obama administration released a new package of regulatory changes to authorize U.S. businesses to make sales to Cuban state enterprises as long as the trade would meet the needs of the Cuban people. The criterion was left purposely vague in order to sell almost any consumer good. The changes showed that the administration recognized that to build commercial ties with Cuba, U.S. companies would need to be able to do business with Cuba s state-owned businesses. a) The Treasury Department removed the prohibition on offering trade credits to Cuba. This did not include trade credits to finance the export of agricultural commodities, which remained explicitly prohibited under the Trade Sanctions Reform and Export Enhancement Act. 5. March 2016 Regulatory changes a) Lifted prohibition on the use of U.S. dollars in international transactions involving Cuba. In return, the Cuban Foreign Ministry promised to lift a 10% tax on converting dollars to convertible pesos, which was implemented to discourage payments and remittances in dollars. b) Relaxed restrictions on people-to-people travel, which allowed travelers to design their own educational programs instead of requiring that they travel on packaged tour groups with a travel provider. c) Licensed U.S. businesses to employ Cuban nationals, including athletes. C. What s left of the embargo after all of the regulatory changes under the Obama Administration. 6

1. The flood of U.S. commerce into Cuba failed to materialize. Some U.S. firms struck deals in Cuba, but they were relatively small. Firms were hesitant to take full advantage of the commercial opportunities available under the changes because of Cuba s difficult business environment and uncertainty of U.S. policy after the 2016 presidential election. 2. The basic framework of the sanctions remained in place. a) Cuba s state enterprises could not export to the U.S. market, which made trade primarily one-way. b) Most U.S. firms outside of the telecommunications industry could not invest in Cuba or partner in joint ventures with Cuban state enterprises. III. Trump Era* During his presidential campaign, Trump announced that he would reverse all of his predecessor s actions. A. June 16, 2017 Trump announced his new policy for Cuba. Though he talked about canceling the last administration s one-sided deal with Cuba, Trump s policy leaves in place most of the measures President Obama implemented. 1. Many changes still in place: the embassies will remain open, direct commercial flights and cruises will still operate, travelers will still be able to spend unlimited amounts of money in Cuba and bring back goods to the U.S., and Americans can still send remittances. 2. Changes under the policy a) Originally, Trump said people-to-people trips would be prohibited because travelers used the category to disguise trips that were purely for tourism, which is prohibited. So travelers will now have to travel through a licensed tour company. But the Treasury Office later announced that the travel restrictions were broader: The new policy will also impact certain categories of educational travel as well as travel under support for the Cuban people. b) Expanded the definition of prohibited members of the Cuban government, which may exclude a larger group from receiving remittances. c) U.S. businesses that have contingent or other contractual agreements with the Cuban government that were agreed to before Trump s new regulations will be allowed to continue the transactions. 7

After the new regulations are issued, the Trump policy will bar any new direct transactions with any entities related to the Cuban military, intelligence, or security services. The State Department will publish a list of entities and subentities with which U.S. companies will be prohibited from entering direct transactions. 3. Until the new regulations are issued, the Obama-era rules remain in effect. IV. Future of Cuba Sanctions* A. It s unclear just how aggressive the Trump administration will be towards Cuba. 1. On one hand, Trump could follow President Bush s lead and reward Cuban American conservatives for their support in the presidential election by further rolling back the regulatory changes implemented by the Obama administration. Trump s tone about how he views his predecessor s regulatory changes may make U.S. banks and other businesses hesitant about doing business with Cuba because of the potential of future regulations that reverse the Obama administration initiatives. 2. On the other, the changing makeup of Congress may lead to an appetite for repealing the embargo. a) After gaining two seats in the Senate, Democrats who have shown more of a willingness to engage with Cuba could team up with some Republicans to form a majority in favor of lifting bans on tourism and agricultural sales credits. b) Farm state and pro-business Republicans could see the benefits of trade with Cuba, and team up with Democrats to form a majority for repealing the ban on agricultural financing. c) A bipartisan Cuba Working Group in the House of Representatives has worked on expanding its group to prepare for legislative battles. The group consists of equal numbers of Democrats and Republicans who oppose the embargo. d) Public opinion even among Republicans supports ending the sanctions. 8

(1) A July 2015 Pew Research Center poll revealed 59% of Republicans overall favored ending the embargo and 55% selfidentified conservative Republicans favored ending it. [Daniel Waltz] V. US Policy Toward Cuba: What Opportunities Exist for US (and non-us) Busineses? A. Introduction. On December 17, 2014, President Obama announced a new and more tolerant US policy toward Cuba. With a year the Cuban Interests Section in Washington and the US Interests Section in Havana had been upgraded to the status of Embassies, Cuba had been removed from the US list of state sponsors of terrorism, and direct bilateral discussions had begun between the two governments on a variety of topics. All of this is enormously significant, but does nothing to open business opportunities for US or Cuba companies. This presentation will discuss the relaxation of the US embargo of Cuba that have been implemented to date and the corresponding opportunities they create for bilateral US-Cuba trade. B. Who s who: 1. Commerce Department s Bureau of Industry and Security (BIS) licenses exports of products, software and technology under the Export Administration Regulations, 15 CFR Parts 740-788 (EAR). 2. Treasury Department s Office of foreign Assets Control (OFAC) implements the US embargo under the Cuban Assets Control Regulations, 31 FR Part 515 (CACR). Licenses exports of services. OFAC s licensing process: slow, opaque and unpredictable. BIS licensing process: efficient, transparent and predictable. There s no dual licensing. Exports authorized under the BIS regulations require no separate OFAC license. C. Status quo ante: 1. Travel: There were 12 categories of permissible travel. Many required a specific license from OFAC. The most flexible provided for educational people-to-people travel. These packages had to be prepared by tour operators and submitted to OFAC for approval. 9

CSPs - Flights could be operated only by OFAC-licensed Carrier Service Providers (CSPs), all charter operators. TSPs - Booking on flights and other Cuba travel-related arrangements could be made only through OFAC-licensed (and OFAC-audited) Travel Service Providers (TSPs), which served as gatekeepers would book a flight only if satisfied that the Cuba travel was properly licensed). Authorized travelers were limited in the amount of their daily expenditures and could bring back only a limited dollar value of Cuban merchandise. Private aircraft and private boats had to be licensed by BIS for even short trips to Cuba. 2. Financial Services (Blocking) All assets in which Cuba or a Cuban national have an interest that come within the possession or control of a US Person are automatically blocked. No USD-denominated funds transfers involving Cuba. No direct linkages between US and Cuban banks were allowed. No US credit card use allowed. 3. Payments generally In 2014, BNP Paribas settled charges that it had violated the US embargo of Cuba by pleading guilty and paying $7.9 Billion. Earlier, other European banks had settled similar charges by paying smaller, but still massive amounts. Banks worldwide sat up and took notice. Payments to or from countries sanctioned by the US have become much more difficult as a result. 4. Informational material E.g., books, magazines, films, musical recordings, art work, completely exempt from regulations. 5. Exports of food licensed by BIS (fast and predictable). Also agricultural commodities (e.g., yellow pine lumber). Required payment of cash in advance, defined as payment before departure from the US. 6. Medicine & medical devices 10

The U.S. allows exports to the other embargoed countries (Iran, Sudan & Syria), but will license exports to Cuba only if there is independent third-party end use monitoring (Cuban Democracy Act). This has been the kiss of death because: There aren t many independent (non-governmental) monitors in Cuba; It adds costs; and The Cuban government hates it. only. 7. Consumer Communications Devices: No commercial sales. Donations 8. Family Remittances: Authorized but regulated. D. What Has Changed? (Jan. 16 amendments) 1. Travel No more CSPs. Airlines can fly regularly scheduled flights. Many do from a variety of airports. No more TSPs. Any travel agent can book seats and make travel arrangements in Cuba. No more specific licenses. While the 12 categories of authorized travel remain, it is for the individual traveler to self-determine eligibility. This is true even of educational people-to-people travel. Travel agents will request completion of an affidavit confirming eligibility. Travel for tourism remains prohibited. Buried in the amended regulations is a general license that authorizes a 13 th category of travel to Cuba by those marketing sales to Cuba of the expanded list of permissible exports: 31 CFR 515.533(d) General license for travel-related transactions incident to sales of certain items. The travel-related transactions set forth in 515.560(c) and such additional transactions as are directly incident to the conduct of market research, commercial marketing, sales negotiation, accompanied delivery, or servicing in Cuba of items consistent with the export or reexport licensing policy of the Department of Commerce are authorized, provided that the traveler's schedule of activities does not include free time or recreation in excess of that consistent with a full-time schedule. There are no limits on daily expenditures or on the dollar value of Cuban merchandise brought back by returning travelers although all must be for personal consumption. Most short trips to Cuba by boats and privately-owned aircraft now authorized by a general license (AVS) under the EAR. Cruise ships now regularly leave US ports with Cuban ports included on the itinerary. 11

2. Banks US banks can open correspondent accounts at Cuban banks. This addresses growing problems with the international payments system and sanctioned countries following the BNP Paribas settlement. Stonebridge Bank of Florida has opened a correspondent account at a Cuba bank. 3. Blocking US banks are no longer required to block most USD-denominated funds transfers involving Cuba (the U-Turn exception). 4. Credit cards Credit card issuers can process payments relating to lawful transaction by US persons with or in Cuba, and MasterCard has indicated that it will process payments for US citizens traveling lawfully in Cuba. The problem is, how to monitor what s lawful? Will individual cardissuing banks accept the risk? 5. Remittances Quarterly maximum raised from $500 to $2,000. 6. Telecom Equipment and Services Eligible for Sale to the Cuban Government: The EAR allow the export to Cuba under a License Exception of Items intended to improve the free flow of information to, from, and among the Cuban people. Items, either sold or donated, for telecommunications, including access to the Internet, use of Internet services, infrastructure creation and upgrades. These items may be sold to Cuban government owned, operated or controlled companies and corporations for telecommunications infrastructure creation and upgrades. OFAC s regulations includes similarly broad authorizations for related transactions, services and payments. 1 These categories are extremely broad. Telecommunications items may also be authorized for export to Cuba on a case-by-case basis. So, products not automatically eligible for export under a license exception may be licensed by BIS for export to Cuba. 1 Excerpts of the relevant BIS and OFAC regulations are attached at Appendix A. 12

7. Products authorized for export and sale to individuals and nongovernmental entities: Additional telecommunications-related products and consumer electronics products are authorized by BIS for export to Cuba under License Exceptions (CCL and SCP), but only if destined to non-governmental end users. (Such items can be sold to Cuban governmental entities, e.g., CIMEX, but only on condition that they be resold or made available for use only by Cuban individuals or non-governmental organizations.) BIS also allow additional categories of exports under a License Exception. But again, only if destined to non-governmental end users. These categories include: (1) Building materials, equipment, and tools for use by the private sector to construct or renovate privately-owned buildings, including privately-owned residences, businesses, places of worship and buildings for private sector social or recreational use; (2) Tools and equipment for private sector agricultural activity; (3) Tools, equipment, supplies, and instruments for use by private sector entrepreneurs; (4) A broad range of consumer electronics, including software; or (5) Items sold directly to individuals in Cuba for their personal use or their immediate family's personal use US companies eligible to sell their products in Cuba are now also eligible to rent real estate (retail, office, warehouse), to open Cuban banks accounts, to hire Cuban employees, etc. 8. Individual Export Licenses. In addition to exports authorized under the blanket License Exceptions summarized above, BIS licensing policy suggests that several categories of individual export licenses may receive favourable consideration. These include: (i) Telecommunications items that would improve communications to, from, and among the Cuban people; 13

(ii) Commodities and software to human rights organizations or to individuals and non-governmental organizations that promote independent activity intended to strengthen civil society in Cuba; (iii) Commodities and software to U.S. news bureaus in Cuba whose primary purpose is the gathering and dissemination of news to the general public; (iv) Agricultural items that are outside the scope of agricultural commodities as defined in part 772 of the EAR, such as insecticides, pesticides and herbicides, and agricultural commodities not eligible for License Exception AGR; (v) Items necessary to ensure the safety of civil aviation and the safe operation of commercial aircraft engaged in international air transportation, including the export or reexport of such aircraft leased to state-owned enterprises; and (vi) Items necessary for the environmental protection of U.S. and international air quality, waters, or coastlines (including items related to renewable energy or energy efficiency). The following categories of exports and reexports that may be authorized on a case-by-case basis. (i) Items to meet the needs of the Cuban people, including exports and reexports of such items to state-owned enterprises, agencies, and other organizations of the Cuban government that provide goods and services for the use and benefit of the Cuban people. This policy of case-bycase review includes applications for licenses to export or reexport items for: (A) Agricultural production, artistic endeavors (including the creation of public content, historic and cultural works and preservation), education, food processing, disaster preparedness, relief and response, public health and sanitation, residential construction and renovation and public transportation; (B) Wholesale and retail distribution for domestic consumption by the Cuban people; (C) Construction of facilities for treating public water supplies, facilities for supplying electricity or other energy to the Cuban people, sports and recreation facilities, and other infrastructure that directly benefits the Cuban people; and (D) Items that will enable or facilitate export from Cuba of items produced by the private sector. Imports. 14

Persons subject to U.S. jurisdiction are authorized to engage in all transactions, including payments, necessary to import certain goods and services produced by independent Cuban entrepreneurs as determined by the State Department as set forth on the State Department's Section 515.582 List, located at http://www.state.gov/e/eb/tfs/spi/. E. What do these amendments and policies mean as a practical matter in terms or market opening? There are significant opportunities for the telecom sector, but success depends upon finding a Cuban partner/buyer. There are significant opportunities for the travel and hospitality industry that are already being exploited (Starwood and Marriott were granted licenses to manage hotels in Cuba). Other opportunities exist, but they re more constrained. For example, consumer electronics, home improvement and agricultural equipment can be shipped under a License Exception only if destined to Cuba s non-governmental sector. Individual licenses issued under the BIS licensing policy open additional opportunities, for example: Aircraft parts; Agricultural chemicals; and Infrastructure that benefits the Cuban people. Such individual licenses may also offer opportunities. For example, the Roswell Park Cancer Institute in Buffalo, New York received a license authorizing it to begin clinical trials of a promising lung cancer vaccine developed in Cuba. As noted above, under the Obama Administration, Starwood and Marriott received OFAC licenses authorizing them to manage hotels in Cuba. VI. The Cuban Side. A. Cuba is a relatively small country. Its population is well educated, but its aggregate purchasing power is limited. While US companies may be authorized to make certain sales to the Cuban government (e.g., telecom and infrastructure), why would the Cuban government choose to buy from a US vendor? B. In addition to understanding what US law and policy does or does not allow, it is equally important to understand the policies and interests of the Cuban government. The US issued a license to Kleber, a company in Alabama, to begin assembling small tractors in the Mariel free trade zone for sale to Cuban farmers and private cooperatives. While the Cuban government is interested in attracting tenants to the new free trade zone, it ultimately decided 15

that Kleber did not fit the government s interests in terms of the technology to be introduced into the country, levels of employment, etc. [JAMES MEYER] VII. Main Impediments to Doing Business in Cuba A. Embargo B. Libertad (Helms-Burton) Act C. Unsettled Claims D. Country risk under current Cuban legal regime: the rule of law issue VIII. Complex Spider-Webbing of US Laws Relating to Cuba Over Past 55 Years A. Executive Orders B. Statutes C. Code of Federal Regulations D. Federal Register Notices IX. Cuba Embargo A. Cuban Assets Control Regulations (CACR) B. Office of Foreign Assets Control (OFAC) X. Cuban Liberty and Democratic Solidarity (Libertad) Act of 1996 / Helms-Burton Act XI. XII. Marketplace Summary A. Prior vs. New Policy B. Non-U.S. Businesses in Cuba New Policies & Amendments to OFAC A. December 17, 2014 B. January 16, 2015 C. September 21, 2015 D. January 27, 2016 E. January 6, 2017 F. June 16, 2017 (Announced by White House Pending Issuance of Amended Regulation) XIII. The Issue of the Unsettled Claims A. Foreign Claims Settlement Commission 16

B. Cuban government has paid lump sum amounts to settle outstanding property claim to several foreign states, including Canada, France, Spain, and Switzerland C. Remaining property claimants against Cuban government and The 2007 Creighton Report XIV. The Importance of Resolving the Claims A. Foreign Investment Act of 1995 (Law No. 77), Sept. 5, 1995 B. Law of Foreign Investment (Law No. 118), March 29, 2014 C. ZED (Zona Especial de Desarrollo Mariel) XV. The Cuban Legal Regime & Rule of Law XVI. Questions on whether amendments are enough? XVII. Cuban Court of International Commercial Arbitration (CCACI) XVIII. OFAC Updated Frequently Asked Questions [Luis Fernando Andrade] XIX. Cuban Strategy to U.S. Policy C. Cuba s political regime outlived and outfox the unilateral and complex US legal framework imposed on Cuba for more than 50 years. D. Cuba established and developed its own successful world diplomacy that opened alternative strategic relationships. E. The US relationship with Cuba has been so ambivalent in a bipartisan way with few consistent policy engagements. F. Cuba s economic hardships have not been able to force political reforms. G. The US is currently isolated in its insistence on imposing the embargo on Cuba. H. The US relations with China and Vietnam both communist regimes are a reference of the future possibilities of doing business with Cuba. coast I. China s strategic relations with Cuba vis a vis the US port logistics on the east 17