The new executive order signed by President Donald J. Trump on February 20, 2026, eliminates the mechanism that allowed for the imposition of additional tariffs on countries that sold or supplied oil to Cuba. Practically speaking, this means that the United States will no longer be able to commercially penalize third countries for supplying crude oil to the island under the International Emergency Economic Powers Act (IEEPA).
The measure nullifies the tariff system established on January 29, when Trump declared a national emergency regarding the Cuban government and enabled the possibility of applying a surcharge on products imported from any country that, directly or indirectly, sent oil to Cuba. This scheme did not automatically impose the tariff, but it established the legal basis to activate it following a determination by the Department of Commerce and a recommendation from the Department of State.
Now, that instrument is disappearing.
The decision comes on the same day that the U.S. Supreme Court ruled that the IEEPA does not authorize the president to impose tariffs. The ruling limits the use of emergency powers to establish trade taxes, thereby undermining the legal basis for the tariffs that had been designed under that regulation, including those related to Cuba.
From an economic standpoint, the elimination of the tariff reduces the risk for countries or companies that maintain or consider maintaining energy trade with the island. In the context of a deep fuel crisis and recurrent blackouts in Cuba, the withdrawal of this tariff threat removes a factor of uncertainty for potential suppliers.
However, the measure does not entail a lifting of sanctions nor a structural change in U.S. policy towards Havana. The national emergency declared on January 29 remains in effect, along with other legal pressure tools.
In fact, just days earlier, on February 13, Trump extended for another year the authority to regulate, inspect, and even detain U.S. and foreign vessels heading to Cuba, citing national security and migration risk. This authority, in effect since 1996 after the downing of the Brothers to the Rescue planes, remains active.
Other legal frameworks that support tariffs or trade restrictions, such as Section 232 of the Trade Expansion Act or Section 301 of the Trade Act of 1974, are also not affected.
In summary, the new order involves the withdrawal of a specific tariff instrument that aimed to indirectly pressure the energy supply to Cuba, but it does not alter the emergency declaration nor the overall framework of Washington's pressure against the regime. It is an adjustment mandated by the limits imposed by the Supreme Court, not a shift in policy towards normalization.
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