Cuba faces severe fuel shortages and rising black market prices

Cuba is facing a severe fuel shortage driven by tightened U.S. oil sanctions and the cessation of traditional supplies from Venezuela and Mexico. This scarcity has disrupted essential public services, including transportation, healthcare, education, and the electrical grid.

In response to the crisis, a limited black market for American fuel has emerged. Due to a U.S. Commerce Department exception allowing fuel exports to Cuba's private sector, approximately 900,000 barrels of gasoline and diesel entered the country between February and May. While this supply only meets national demand for about nine days, it has fueled a secondary market where prices have fluctuated between $5 and $10 per liter.

Private enterprises are increasingly utilizing this fuel for restaurants, retail, taxis, and generators. Individuals are also purchasing fuel through social media platforms like Facebook and WhatsApp to power household generators and water pumps amidst frequent power outages.