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US Adds New Sanctions on Cuba, Including Raul Castro's Grandson and Power Equipment Firm

Yu Deok-gi

Published : Sep 4, 2026 3:47 PM


▲ U.S. Secretary of State Marco Rubio

The United States has added Fidel Ernesto Castro (31), the grandson of former Cuban Council of State President Raul Castro, to its sanctions list, the Associated Press reported on the 3rd local time.

Former President Castro ruled Cuba starting in 2006, succeeding his brother Fidel, and continues to wield influence even after stepping down as president in 2018.

U.S. Secretary of State Marco Rubio criticized the Castro family on X, formerly Twitter, stating, "The ruling elite of Cuba's communist regime rule over a failing nation where ordinary citizens go hungry, while accumulating wealth through sanctions evasion and illicit methods."

Additionally, the U.S. State Department added two energy-related companies, including Avafet, an importer of equipment for Cuba's power infrastructure, as well as two nickel mining companies and the Banco Exterior de Cuba to the sanctions list.

Avafet is a company that imports specialized equipment and spare parts necessary to maintain Cuba's aging power grid.

Experts believe that the United States is targeting energy-related companies with the goal of further worsening Cuba's energy crisis.

The United States previously sanctioned Cuba's state-owned oil and gas company.

Since early this year, the Donald Trump administration has been intensifying pressure by cutting off oil supplies to Cuba and warning that it would impose tariffs on countries supplying oil to Cuba.

In response to the U.S. measures, Eugenio Martinez Enriquez, the Cuban Ambassador to Mexico, criticized that "the United States is attempting to wear down the Cuban people to force their submission."

Meanwhile, the Cuban government announced market reform measures on this day aimed at expanding the attraction of foreign investment.

Under the new regulations, Cuban private enterprises will be able to directly hire and fire employees without going through state employment agencies.

Joint ventures trading with foreign countries and domestic investors will also only need to notify authorities rather than obtain prior government approval when opening accounts in foreign banks.

Private companies operating travel agencies and self-employed individuals working as tour guides will also be permitted.

Oscar Perez-Oliva Fraga, Cuba's Minister of Foreign Trade and Investment, explained that the new regulations are intended to "increase flexibility, simplify procedures, and reduce processing times and bureaucracy."

(Photo: AP, Yonhap News)