US imposes fresh Cuba sanctions as Rubio targets military-controlled businesses

WASHINGTON, DC: The Trump administration on Thursday, May 7, announced a new round of sanctions targeting Cuba’s military-linked business network and a state-owned mining company, expanding pressure on Havana under a recent executive order signed by President Donald Trump.

Secretary of State Marco Rubio said the sanctions are aimed at entities that support the Cuban government’s economic and security infrastructure.

The move marks the latest step in Washington’s broader campaign to tighten restrictions on the island as it faces a deepening economic crisis. 

The sanctions target one individual and two Cuban entities, including Grupo de Administración Empresarial SA (GAESA), a military-controlled enterprise that oversees major sectors of Cuba’s economy.

Marco Rubio sanctions GAESA over Cuba economy role

Rubio said the sanctions target GAESA, describing it as “the heart of Cuba’s kleptocratic communist system.” The State Department said the military-run conglomerate controls an estimated 40% of Cuba’s economy and may hold billions of dollars in assets.

The US also sanctioned Ania Guillermina Lastres Morera, identified as a senior leader or board member of GAESA.

Rubio said that while Cuban citizens face shortages of food, medicine and electricity, proceeds from GAESA’s operations are diverted into overseas accounts.

In addition, the administration imposed sanctions on Moa Nickel SA (MNSA), a state-linked mining company operating in Cuba’s metals sector.

Rubio said the company “has exploited Cuba’s natural resources to benefit the regime at the expense of the Cuban people.”

Rubio said the measures are part of efforts to hold accountable institutions that sustain the country’s governing system.

The sanctions were imposed under Trump’s executive order signed last week, which authorizes expanded measures against Cuban officials, government supporters and those accused of corruption or human rights abuses.

The White House said the order is intended to counter what it described as Cuba’s destabilizing regional influence.

Economic pressure increases as Cuba faces worsening crisis

The latest sanctions come as Cuba faces mounting economic and humanitarian challenges, including ongoing power shortages and supply disruptions. The island’s energy grid suffered a major collapse earlier this year, intensifying pressure on essential services and infrastructure.

Canadian mining company Sherritt International, previously involved in MNSA operations, said it would suspend direct participation in activities in Cuba and begin repatriating staff.

The Trump administration has signaled that additional sanctions could follow in the coming weeks.

Rubio said the new measures are part of a broader campaign to address what Washington sees as national security concerns tied to Cuba’s government.

Cuban officials have continued to reject US pressure. Cuba’s ambassador to the United Nations, Ernesto Soberón Guzmán, said earlier this week that any negotiations must be based on “respect, sovereignty and independence” and not outside interference.