New US policy on seized property in Cuba threatens EU ties

[nitpicker]

Source: DW

Date 17.04.2019

The Trump administration will ramp up pressure against Cuba by allowing US nationals to file lawsuits against foreign companies doing business on the island.

The major policy shift sets the stage for fresh economic disputes between the US and Europe. It also marks a new escalation in Washington's policy to hammer Havana over its support for Venezuela's socialist acting President Nicolas Maduro.

National Security Adviser John Bolton will announce the policy change during a speech Wednesday in Miami, which is home to exiles and immigrants from Cuba, a senior administration official said Tuesday. The speech will also be used to announce new sanctions on Venezuela and Nicaragua, two leftist allies of Communist Cuba.

The US decision to end a two-decade waiver to part of the 1996 Helms-Burton Act could expose US, European and Canadian companies to billions of dollars in legal claims and undermine Cuba's attempts to attract more foreign investment at a time of economic crisis triggered in part by steep cuts in subsidized Venezuelan oil.
(snip)

Read more: https://www.dw.com/en/new-us-policy-on-seized-property-in-cuba-threatens-eu-ties/a-48364287

[sinkingfeeling]

1. This has Bolton's stink all over it.

[groundloop]

2. Very hypocritical considering tRump was seeking business deals in Cuba as recently as 2015

Of course nearly everything Tiny does exposes him as a hypocrite.

There's no rational reason for these actions, Cuba no longer has a Castro in charge (their new President is Miguel Díaz-Canel who has a degree in engineering), they are moderating their position on human rights (they've recently enacted a new constitution which among other things presumes one is innocent until proven guilty), and are seeking to revamp their economy by allowing partnerships with foreign investors (I do hope that this aspect is kept under control, when I visited it was very refreshing not to see a single, solitary McDonald's or Burger King).

[Ghost Dog]

3. (Reuters) Trump to allow lawsuits against foreign firms in Cuba

In major shift, Trump to allow lawsuits against foreign firms in Cuba
https://uk.reuters.com/article/uk-usa-cuba/in-major-shift-trump-to-allow-lawsuits-against-foreign-firms-in-cuba-idUKKCN1RS1V2

... The major policy shift, which will be announced on Wednesday, could expose U.S., European and Canadian companies to legal action and deal a blow to Cuba’s efforts to attract more foreign investment. It is also another sign of Washington’s efforts to punish Havana over its support for Venezuela’s socialist president, Nicolas Maduro.

President Donald Trump’s national security adviser, John Bolton, will explain on Wednesday the administration’s decision in a speech in Miami and announce new sanctions on Cuba, Venezuela and Nicaragua, countries he has branded a “troika of tyranny,” the official said, speaking on condition of anonymity.

It is unclear, however, whether such property claims will be acceptable in U.S. courts. The European Union has already warned it could lodge a challenge with the World Trade Organization.

“The extraterritorial application of the U.S. embargo is illegal, contrary to international law and I also consider it immoral,” EU ambassador to Cuba Alberto Navarro said in Havana...

https://uk.reuters.com/article/uk-usa-cuba/in-major-shift-trump-to-allow-lawsuits-against-foreign-firms-in-cuba-idUKKCN1RS1V2

... “The EU reiterates a strong opposition to the extraterritorial application of unilateral restrictive measures which is considers contrary to international law,” a spokesman for the EU executive told a briefing in Brussels...

https://uk.reuters.com/article/uk-eu-usa-cuba/eu-warns-u-s-against-exposing-eu-firms-in-cuba-idUKKCN1RT14V

EU to use ‘all means’ necessary to defend its firms in Cuba against US lawsuits
https://www.rt.com/business/456788-eu-defends-business-cuba/

... Top EU officials have slammed the expected suspension of a section of the Helms-Burton Act that gives US citizens the right to file lawsuits against foreign companies profiting from properties that Cuba confiscated or nationalized after the 1959 revolution.

In a letter seen by Reuters, EU foreign policy chief Federica Mogherini and EU Trade Commissioner Cecilia Malmstrom, reminded Washington that the EU could relaunch a WTO case over the issue. Brussels suspended the case under a 1998 agreement with the US, as Washington granted EU companies waivers.

“Failing this, the EU will be obliged to use all means at its disposal, including in cooperation with other international partners, to protect its interests,” the two officials wrote to US Secretary of State Mike Pompeo. “The EU is considering a possible launch of the WTO case,” the letter dated April 10 added.

Mogherini and Malmstrom also warned that such a move by Washington would only hamper the business climate and trigger a “circle of claims,” but would fail to “bring justice” to claimants. Thus, EU courts could allow European firms to claim any losses caused by the lawsuits over Cuba, as the 50 largest potential claimants, representing more than 70 percent of the value of claims, have assets on the EU territory...

https://www.rt.com/business/456788-eu-defends-business-cuba/

[CanonRay]

4. Of all the stupid things the Idiot-in-Charge has done

this Cuba hate policy is among the stupidest, IMHO. Absolutely no reason for it, and undoes much good.

[groundloop]

5. Absolutely. Tiny feels a need to shit on anything President Obama has done.

[rockfordfile]

7. It's what Russia would want

[Bayard]

6. Winning enemies,

Influencing friends.