Shipping Lines Suspend Cuba Operations Amid U.S. Sanctions: "Fuel and Other General Cargo Will Also Be Cut Off"

\r\n[Financial News] Global shipping companies have suspended operations to Cuba, citing sanctions imposed by the United States (U.S.).
According to British media reports, France-based CMA CGM Group said on the 17th local time that it had decided to suspend bookings to and from Cuba until further notice in line with a U.S. executive order. "We are closely monitoring the situation and will adjust our operations to comply with the relevant regulations," the company said. German shipping company Hapag-Lloyd also said the same day that it was suspending Cuba-related bookings due to compliance risks tied to the U.S. president's May 1 executive order.
The two shipping companies account for as much as 60% of Cuba's maritime transport volume. If other carriers also suspend service to Cuba, the country is expected to suffer a significant blow. One source said, "Cargo shipments from China will be hit the hardest," adding, "Northern Europe and the Mediterranean Sea will also be severely affected, and eventually the entire global shipping logistics network bound for Cuba will be impacted."
Earlier, U.S. President Donald Trump signed an executive order on the 1st to expand sanctions against the Cuban government. The order also extended sanctions to all foreign individuals and entities operating in sectors such as energy, defense and related materials, metals and mining, financial services, and security within Cuba's economy.
The source explained that one of the key considerations in the two companies' decision was cutting shipping transactions linked to GAESA, the Cuban military conglomerate targeted by U.S. sanctions. The two carriers are reportedly reviewing options such as permanently ending Cuba service or, after consultations with the U.S. government, continuing shipments only to Cuba's private sector.
whywani@fnnews.com Hong Chaewan Reporter