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‘No oil, no money, no anything’: Trump talks tough as Cuba grapples with deep economic crisis —will Havana budge?

A month after the Trump administration captured Venezuelan President Nicolas Maduro and issued a warning to Cuba to “make a deal”, the country is now witnessing a disruption to normal life, CNN reported.

What’s happening in Cuba?

Mandy Pruna, once a classic car driver in Cuba, who for almost two decades made a decent living by ferrying tourists in his Chevrolet, is now considering leaving his homeland to emigrate to Spain.

Recalling the influx of American travellers in Cuba back in 2015, when former US President Barack Obama restored the ties between the two countries, Pruna told CNN that back then his car was in high demand and countless visitors like Will Smith, Rihanna and Kim Kardashian paid hefty prices, at least for Cuban standards, to go on classic car tours with him.

Referring to the brief improvement in the ties between Washington and Havana, Pruna said, “All sectors of society benefited from that,” and added, “You saw people painting their houses, opening new businesses. For me, it was fantastic. It was the best era for tourism in Cuba.”

Economic uncertainty grips Cuba

The island nation is now experiencing a period of profound economic uncertainty, with food, fuel, and tourism money running out. Cuba’s oil flow has been cut off after Trump’s administration captured Maduro in January and threatened Mexico with tariffs, compelling the communist-run island to make both political and economic reforms.

CNN report suggests that Cuba does not appear to have any remaining allies who are willing to supply millions of dollars worth of fuel required to power the economy. The island is now fighting a double battle, with oil running out slowly, and tourism has hit a new low. The twin battle of Cuba is specifically proving to be catastrophic for people like Pruna, whose livelihood depended on ferrying tourists.

Further, at many schools in Cuba, classes have been suspended, and workers have been temporarily laid off to conserve energy. Vacated hotels have been shut, and flights from countries like Russia and Canada have been cancelled since there is not enough jet fuel for longer international flights. The UK and Canada have also advised citizens against travelling to Cuba for non-essential purposes.

The annual Habanos cigar festival, known to bring in millions of dollars in revenue, was also cancelled last week, and Sherrit International, a Canadian mining company, announced on Tuesday (local time) that they are halting nickel and cobalt mining operations in the island nation amid fuel shortage.

Several state-operated hospitals have scaled back services, while fuel shortages and a scarcity of operational garbage trucks have led to mounting waste in neighbourhoods.

Trump govt on Cuba crisis

President Donald Trump’s administration has reiterated that the Cuban government must open the island’s centralized economy before it collapses. Speaking to reporters on Monday (local time), Trump said, “There’s no oil, there’s no money, there’s no anything.”

He further said that US Secretary of State Marco Rubio is leading efforts for negotiations with Cuban officials. Rubio has previously said that the only thing he intends to discuss with the Cuban officials is when they would give up power. Addressing the Munich Security Conference 2026, he said, “This is a regime that has survived almost entirely on subsidies – first from the Soviet Union, then from (former Venezuelan President) Hugo Chavez.” “For the first time, it has no subsidies coming in from anyone, and the model has been laid bare.”

Cuba’s food shortage

To make matters worse, the country is also witnessing a food shortage, since most of what Cubans consume is imported, owing to the disastrous agricultural policies of the island nation’s government. The crucial support now appears uncertain, as several anti-Castro Cuban-American lawmakers have urged Washington to completely halt its assistance.

Amid the worsening crisis, Cuban President Miguel Diaz-Canel has urged the population to “resist creatively” and adopt a wartime mentality. In a televised appearance in January, Diaz-Canel said, “We will eat what we can produce in each place. Now, if there is less fuel, then food will not be able to leave from some municipalities for other ones.”

Whether Cuba will make a deal with the US or will Diaz-Canel let the economy collapse is something that remains to be seen.

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