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OFAC, Commerce Lift Some Restrictions on Exports to Cuba

The Office of Foreign Assets Control is lifting certain payment and financing restrictions for approved exports and re-exports of non-agricultural items to Cuba, and is authorizing the use of leasing arrangements, code-sharing, and blocked airspace by Cuban airlines to facilitate U.S. travel to the country, OFAC announced (here). The actions align with President Barack Obama’s Dec. 17, 2014 announcement of the rollback of sanctions on the country.

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Additionally, Commerce is greenlighting certain types of exports and re-exports to transfer from a case-by-case approval policy to a general approval policy, including civil aviation items, various telecom items, goods for human rights organizations, items for use by U.S. media outlets, and agricultural goods outside the scope of "agricultural commodities" as defined in Export Administration Regulations Part 772, the agency announced (here). The rule also includes exceptions to the general policy of denial for specified exports and re-exports to Cuba. Instead of denial, a case-by-case review process will be applied to exports and re-exports to state-owned enterprises, agencies, and other Cuban government organizations that provide goods and services believed to benefit the Cuban people. These exports and re-exports include items for agricultural production, artistic endeavors, education, food processing, disaster preparedness, relief and response, public health and sanitation, residential construction and renovation, and public transportation.

(Federal Register 01/27/16)