Hunton Retail Law Resource

A recent change to the U.S. regulations governing the Cuban embargo has expanded the categories of Cuban-origin products that may be imported into the U.S. Additional textiles and textile articles and, for the first time, coffee, have joined the list of Cuban-origin products authorized to be imported into the U.S. Such products, however, must be produced by Cuban entrepreneurs and the U.S. importer must receive satisfactory documentation of such producer’s independence from the Cuban government.

The recent change in U.S. policy towards Cuba and a “thawing of relations” between the two countries has generated increased interest among U.S. companies in the potential for business in Cuba. Despite this increased interest, companies should proceed cautiously, as recent international investments in Cuba, often in the form of joint ventures, have yielded mixed results and experiences. British-Dutch multinational consumer goods company Unilever plc, for example, formed a 50/50 international economic association with state-owned enterprise Suchel in 1994, but subsequently left the Cuban market in 2012 due to government intrusion and labor issues.