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Cuba expands vehicle and private sector reforms

Updated 3 times since CLSTR started tracking revisions of this situation.

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2026-08-05 18:08 UTC → 2026-08-06 02:06 UTC · added removed

Cuba expands vehicle regulation and private sector reforms

In August 2026 Cuba enacted a comprehensive deepened its overhaul of motor‑vehicle ownership, transfer and import rules. rules that began with Decree 163/2026 and Resolution 172/2026 opened vehicle transfers 172/2026. The government broadened the reforms to citizens, foreign residents and certain legal entities, mandated notarised transactions, barred cash payments and introduced a special tax structure – 35 % on luxury cars wider economic package, authorising private pharmacies, banks, law firms, engineering services, elder‑care homes and reduced rates for electric vehicles (5 % on imports, 3 % port terminals. In the transport sector, the five‑year limit on locally assembled units) – together with import tariffs buying six vehicles was removed for individuals and companies, the pool of US$500‑US$2,000. A follow‑up notice on 4 August widened eligibility to foreign residents holding temporary, provisional, property, real‑estate or humanitarian visas, authorised dealers was doubled, and allowed non‑state legal entities were permitted to assemble and market sell electric ciclomotores, motorcycles, tricycles vehicles, mopeds, motorcycles and cars. Transactions now require an affidavit confirming lawful source of funds and reference values for tax calculations Tax exemptions were set (e.g., 2,040,000 pesos for cars under five years). The special tax became tiered – 35 % for luxury, 25 % for standard combustion, 20 % for domestically built models and 5 % for imported electric – with full exemption introduced for electric vehicles sold with renewable‑energy charging stations. The previous limit of six purchases per five‑year period was removed and the pool of authorised dealers broadened. The reforms, published in Gaceta Oficial 65 and linked to a broader package of 176 economic measures, also amended Decree 122 for locally assembled buses, and extended the framework sales to trailers and semitrailers. Payments may be made in Cuban pesos, US dollars foreign residents holding temporary or other convertible currencies through Central Bank‑approved channels. permanent visas were liberalised. A reduced special tax on buses and micro‑buses (12 % overall, 7 % if locally assembled, 5 % if electric) further step was introduced. The the launch of the third vehicle‑parts legalisation drive, formalised in Mitrans programme. Mitrans, via Resolution 47, now requires 47 published in Gaceta Oficial Extraordinaria No. 83, announced a three‑stage process: owners of first register their self‑built vehicles to register on a forthcoming digital platform and platform, then undergo a new three‑stage homologation technical inspection, and finally receive official certification. The platform is being finalised and will be activated once technical inspection process overseen by the Ministry specifications are ready. These measures, part of Transport. the most extensive market‑oriented shift since the 1959 revolution, aim to regularise informal vehicle markets, stimulate private investment and alleviate chronic shortages amid ongoing power outages, food and medicine scarcities, and heightened U.S. sanctions.

Versions

  1. 2026-08-06 02:06 UTC Cuba expands vehicle and private sector reforms
  2. 2026-08-05 18:08 UTC Cuba vehicle regulation reforms
  3. 2026-08-05 09:47 UTC Cuba vehicle regulation reforms
  4. 2026-08-05 00:25 UTC Cuba vehicle regulation reforms

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