Only small European firms succumb to U.S. embargo on Cuba

[Mika]

More Bushie moves agin the small fish..



Only small European firms succumb to U.S. embargo on Cuba
http://www.gainesville.com/apps/pbcs.dll/article?AID=/20041204/EDITORIALS0101/41203059/1097/editorials

The Bush administration has recently stepped up economic pressure on the government of Fidel Castro by imposing fines on several European firms doing business with Cuba.

Since the passage of the Helms-Burton law in 1996, the United States has also threatened the application of sanctions on a number of European companies that "traffic" in "U.S. properties" expropriated during the early days of the Revolution. Currently, more than half of joint ventures with foreign capital in Cuba are with countries of the European Union.

For the most part, these actions have been relatively successful in forcing small firms to comply with U.S. embargo laws but largely failed to force major European investors on the island to divest themselves of their Cuban holdings.

As a result, U.S. policy has been unable to exercise significant pressure on the Cuban economy while raising fears of trade confrontations between Washington and the European Union, which is strictly opposed to any extra-territorial measure that affects its interests in Cuba.

The only action on European entities that has had a large impact on the Cuban economy is the fine imposed by the U.S. Federal Reserve to USB, Switzerland's largest bank. But Switzerland is not a member of the European Union.

Last May, USB agreed to pay a fine of $100 million for allegedly making transactions in American dollars with Cuba in violation of U.S. sanctions. As the Bush administration intensified efforts to prevent Cuba from depositing U.S. dollars abroad to fulfill its trade obligations, Castro announced new financial measures that eliminate the commercial circulation of the U.S. currency in the island and attempt to build a new hard currency base (especially in euros) that can be deposited abroad more easily.

More.. http://www.gainesville.com/apps/pbcs.dll/article?AID=/20041204/EDITORIALS0101/41203059/1097/editorials

[Mika]

1. The more European entities that invest in Cuba..

.. the less likely that the US will invade, IMO.


Its too bad that Americans can't go there easily to see all of the modern development in Cuba. Current Cuba is NOTHING like the picture painted by US government (and the Miamicubanobatistanos) propaganda.

[Judi Lynn]

2. It's funny that American tv personnel always head to the same spot

in Old Havana, and stand near the most broken down building to do their "on location" reports. I've read posts by American and Canadian travellers to Cuba who say it's a ridiculous ploy, as it is not representative of Cuba.