The Council of Ministers of Cuba published in the Official Gazette an updated and aligned version of Decree 32, Regulation for the establishment of foreign trade representations in the country, which differentiates between representative offices and branches of foreign companies.
The regulation maintains strict restrictions for representative offices, which cannot directly import or export for commercial purposes, engage in wholesale or retail trade, distribute or transport goods within the national territory, or issue commercial invoices, except in cases expressly authorized by the regulation itself.
However, the Decree 183/2026 expands the scope of permitted activities for branches: they will be able to import and export commercially, engage in wholesale trade, issue invoices, and distribute goods, always within the scope authorized by their license and in accordance with the procedures established by the Ministry of Foreign Trade and Foreign Investment.
The activity that remains prohibited for branches under this modality is general retail trade. However, the regulation allows for representation offices and branches interested in engaging in retail trade and investments to establish themselves as wholly foreign-owned enterprises, in accordance with the Foreign Investment Law and subject to the prior authorization of the relevant authorities.
The decree specifies that both representative offices and branches “do not have their own legal personality, nor independent assets from the foreign entity that establishes them,” meaning that the parent company is liable for its obligations and debts under Cuban law.
The regulation also requires these representatives to receive summons, citations, requests, and judicial notifications from Cuban courts in any process involving the foreign company that established them, as well as to immediately communicate those proceedings to the corresponding entity.
Decree 32 establishes the National Register of Foreign Commercial Representations, affiliated with the Chamber of Commerce of Cuba, where entities operating under these modalities must register.
Licenses to operate as a representative office or branch will have a maximum validity of five years. In the case of branches interested in importing and exporting goods, Decree 183/2026 establishes that they must follow the procedure for granting powers and designations set forth by the Ministry of Foreign Trade and Foreign Investment.
The regime justifies the measure by stating that the "transformations in foreign trade and the accumulated experience recommend eliminating the existing regulatory dispersion" and adjusting the rules "to international usage terms and practices."
This regulation is part of the package of 176 economic and social reforms approved in June 2026, which Marrero Cruz himself presented to the National Assembly. According to the government's latest report, 91% of these measures—160 out of 176—are already underway, supported by 197 ratified legal norms.
The reform package promises to liberalize and decentralize the Cuban economy, but in practice, the State maintains control over key aspects of trade: licenses, banks, customs, ports, importers, storage, and access to foreign currency.
The Cuban private sector is also going through a fragile moment: in 2025 it recorded its first historical decline in active businesses since its legalization in 2021, with a net loss of 816 closures, while the government shut down dozens of small and medium-sized enterprises in a program of "correction of distortions."
*Note from the Editors*
After a subsequent review of Decree 32/2021, updated and aligned with the modifications introduced by Decree 183/2026, CiberCuba found that this note contained a misinterpretation of the regulation.
The text initially stated that branches of foreign companies were prohibited from importing and exporting, which, according to the decree, pertains to representative offices. The regulation allows branches to engage in certain commercial activities, including import and export operations, always under the conditions and authorizations established by Cuban legislation.
We have corrected the headline and the content of the note to more accurately reflect the scope of the regulation. We apologize to our readers for the error and appreciate their understanding.
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