U.S. Fuel Exports Spark Black-Market Boom and New Private Energy Deals in Havana

Since February, a Commerce Department exception has let U.S. companies export fuel to Cuban private enterprises, delivering about 900,000 barrels by May. The scarce supply has ignited a visible black-market network, with gasoline sold for $5 per liter and peaks of $10 per liter, promoted through social-media ads and WhatsApp groups. Private restaurants, retailers and taxis now rely on imported diesel, keeping some generators and water pumps operational despite the state-run grid’s failures.

Cuban lawmakers have authorized roughly 200 businesses to wholesale fuel, and Prime Minister Manuel Marrero Cruz announced the first foreign-investment project to import and sell fuel, though retail outlets are still barred. Critics argue the scheme deepens inequality, as average salaries are about $10 a month and most citizens cannot afford the pricey fuel. U.S. officials say the policy addresses humanitarian needs, while President Miguel Diaz-Canel denounced the U.S. embargo and warned against mass privatization.