History of Trade Embargo Against Cuba

Introduction of Trade Embargo Against Cuba

In 1959, the United States imposed a sanction against Cuba, and it was after the seized power of Fidel Castro. The issues raised after he nationalized the assets of America having a worth of $ 1 billion. In 1960 and 1961, the president of United States J. Kennedy ratcheted up sanction on Cuba. In 1961, the diplomatic relation between Cuba and the United States broke off and the tension was increased when Cuba signed the trade agreement with the Soviet Union. The relation remained frozen just like cold war. The Embargo restricted American companies from having the business, traveling, and spending money in Cuba. The treasury of the United States mentioned that American citizens will face a fine of $ 65, 000 for having any business relation with Cuba (Wola. org, 2018).

Impact of repercussions of Trade Embargo Against Cuba

At the end of cold war and collapse of the Soviet Union, the chorus of cries was raised in America to remove the economic embargo on Cuba. The chorus included voices of anticommunist. Due to the economic embargo, the growing trend of economy discontented, and economy of Cuba shrunk more than half as compared to the economy in 1989. The market dynamic was changed resulted in imperiled stability in the regime of Castro. The economy collapsed increase and level of threatening for survival also increased (Syngenta-us. com, 2019). Thousands of Cubans were rioted and Castro grip over the power was slipping. Eventually, Embargo started working and Castro became defiant. Cuba denied introducing free-market reforms and political reforms. Instead of a defensive attitude, Cuba showed an aggressive international campaign to remove the embargo without having any concessions for economic and political changes. In the end, the United States stand alone to maintain the embargo but they remained firm. The analysis represents that more than 150 dissident groups are struggling to reduce the Castro and to increase the activities (Wola. org, 2018).

Beneficial embargo for the current year 2019

The people of Cuba are using animal power in agricultural activities. Nearly half of the workforce is still unemployed. The currency in the Castro regime is becoming worthless. The financial condition is becoming worse as productivity level is decreasing. The health care system of Cuba is collapsed, and hospitals are lack of basic facilities (Heritage. org, 1994).

The diplomatic relation between America and Cuba are becoming worse, even the agencies are working to lift Embargo, but restrictions are still there. In 2016, the president of the United States, Obama restored some of the relations and introduced new policies. The new policies allowed a number of Americans to travel in Cuba and have a business and the increase was 38 percent in 2016. In 2000, the restriction on food exports was relaxed by the government of the United States. Cuba paid for shipments and delivered the cash (Syngenta-us. com, 2019).    

Conclusion on Trade Embargo Against Cuba

The analysis shows that Cuba is suffering from the worse state of economic crisis and the gross social product of the island is plunged nearly 60 percent. The projected contraction shows that two third of industrial facilities in Cuba are still shut down just because of a lack of raw material.