U.S. Authorizes Venezuelan Oil Sales to Cuba's Private Sector

The Government of the United States announced a favorable licensing policy on February 26, 2026, allowing the resale of Venezuelan oil to Cuba's private and non-governmental sectors. The Office of Foreign Assets Control (OFAC) established this measure to address humanitarian and commercial needs following a January military operation that deposed Venezuelan President Nicolas Maduro and placed U.S. control over Venezuela's oil exports.

U.S. Secretary of State Marco Rubio defended the move at a CARICOM summit in Saint Kitts and Nevis, stating that the Cuban government is responsible for the island's economic crisis. Rubio warned that licenses would be canceled if the private sector diverted oil to the Cuban military or intelligence services. Caribbean leaders, including Prime Ministers Andrew Holness and Terrance Drew, cautioned that prolonged instability in Cuba could destabilize the broader region.

Simultaneously, the U.S. expanded sanctions relief for Venezuela's energy sector through General Licenses 48, 49, and 50A. These licenses allow U.S. goods and technology to repair infrastructure and authorize specific energy companies, such as Chevron Corporation and Shell PLC, to operate. While these measures aim to stabilize Venezuela's economy, they explicitly exclude transactions involving Cuba, Russia, China, Iran, and North Korea to limit their influence in the sector.