[House Hearing, 118 Congress]
[From the U.S. Government Publishing Office]
THE MYTH OF THE NEW CUBAN ENTREPRENEURS:
AN ANALYSIS OF THE BIDEN ADMINISTRATION'S
CUBA POLICY
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HEARING
BEFORE THE
SUBCOMMITTEE ON WESTERN HEMISPHERE
OF THE
COMMITTEE ON FOREIGN AFFAIRS
HOUSE OF REPRESENTATIVES
ONE HUNDRED EIGHTEENTH CONGRESS
SECOND SESSION
__________
JANUARY 18, 2024
__________
Serial No. 118-77
__________
Printed for the use of the Committee on Foreign Affairs
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]
Available: http://www.foreignaffairs.house.gov/, http://docs.house.gov,
or http://www.govinfo.gov
__________
U.S. GOVERNMENT PUBLISHING OFFICE
55-925 PDF WASHINGTON : 2024
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COMMITTEE ON FOREIGN AFFAIRS
MICHAEL T. McCAUL, Texas, Chairman
CHRISTOPHER H. SMITH, New Jersey GREGORY MEEKS, New York, Ranking
JOE WILSON, South Carolina Member
SCOTT PERRY, Pennsylvania BRAD SHERMAN, California
DARRELL ISSA, California GERALD E. CONNOLLY, Virginia
ANN WAGNER, Missouri WILLIAM KEATING, Massachusetts
BRIAN MAST, Florida AMI BERA, California
KEN BUCK, Colorado JOAQUIN CASTRO, Texas
TIM BURCHETT, Tennessee DINA TITUS, Nevada
MARK E. GREEN, Tennessee TED LIEU, California
ANDY BARR, Kentucky SUSAN WILD, Pennsylvania
RONNY JACKSON, Texas DEAN PHILLIPS, Minnesota
YOUNG KIM, California COLIN ALLRED, Texas
MARIA ELVIRA SALAZAR, Florida ANDY KIM, New Jersey
BILL HUIZENGA, Michigan SARA JACOBS, California
AUMUA AMATA COLEMAN RADEWAGEN, KATHY MANNING, North Carolina
American Samoa SHEILA CHERFILUS-McCORMICK,
FRENCH HILL, Arkansas Florida
WARREN DAVIDSON, Ohio GREG STANTON, Arizona
JIM BAIRD, Indiana MADELEINE DEAN, Pennsylvania
MICHAEL WALTZ, Florida JARED MOSKOWITZ, Florida
THOMAS KEAN, JR., New Jersey JONATHAN JACKSON, Illinois
MICHAEL LAWLER, New York SYDNEY KAMLAGER-DOVE, California
CORY MILLS, Florida JIM COSTA, California
RICH McCORMICK, Georgia JASON CROW, Colorado
NATHANIEL MORAN, Texas BRAD SCHNEIDER, Illinois
JOHN JAMES, Michigan
KEITH SELF, Texas
Brenda Shields, Staff Director
Sophia Lafargue, Staff Director
------
Subcommittee on Western Hemisphere
MARIA SALAZAR, Florida, Chair
KEN BUCK, Colorado JOAQUIN CASTRO, Texas, Ranking
MARK GREEN, Tennessee Member
BILL HUIZENGA, Michigan GREG STANTON, Arizona
WARREN DAVIDSON, Ohio JARED MOSKOWITZ, Florida
KEITH SELF, Texas SYDNEY KAMLAGER-DOVE, California
Ricardo Pita, Staff Director
C O N T E N T S
----------
Page
WITNESSES
Jacobstein, Eric, Deputy Assistant Secretary, Bureau of Western
Hemisphere Affairs, U.S. Department of State................... 9
Roig, Enrique, Deputy Assistant Secretary, Bureau of Democracy,
Human Rights, and Labor, U.S. Department of State.............. 14
STATEMENT FOR THE RECORD FROM REPRESENTATIVE BARBARA LEE
Statement for the record from Representative Barbara Lee......... 31
APPENDIX
Hearing Notice................................................... 34
Hearing Minutes.................................................. 35
Hearing Attendance............................................... 36
RESPONSES TO QUESTIONS SUBMITTED FOR THE RECORD
Responses to questions submitted for the record.................. 37
THE MYTH OF THE NEW CUBAN
ENTREPRENEURS: AN ANALYSIS OF THE BIDEN ADMINISTRATION'S CUBA POLICY
Thursday, January 18, 2024
House of Representatives,
Subcommittee on the Western Hemisphere,
Committee on Foreign Affairs,
Washington, DC.
The subcommittee met, pursuant to notice, at 2:11 p.m., in
room 2200, Rayburn House Office Building, Hon. Maria Elvira
Salazar (chair of the subcommittee) presiding.
Ms. Salazar. The Subcommittee on the Western Hemisphere
will come to order.
Mr. Castro. Chairwoman, I wanted to ask unanimous consent
for Representatives Debbie Wasserman Schultz of Florida and
Barbara Lee of California, both senior members of the Committee
on Appropriations, to participate in this hearing after all
members have had their chance to question the witnesses.
Ms. Salazar. Thank you for that request. Debbie Wasserman
Schultz is more than welcome. Barbara Lee is not.
Mr. Castro. Can I ask you--can I ask you the reasoning,
Chairwoman? The reason I ask----
Ms. Salazar. Oh, I can tell you about the--the reasoning is
because Barbara Lee, who I know is a distinguished member of
the Democratic Party, is friends with the oppressors and not
with the Cuban people.
Barbara Lee has been friends with Fidel Castro and she
was--there are many statements that we can repeat and that
indicate that she is just not with the people that I represent
who are the Cuban exile community in Miami.
Mr. Castro. Sure.
Ms. Salazar. She is not a friend of the Cuban people that
we are trying to liberate.
Mr. Castro. A point of personal privilege. If I could
respond really quick.
Chairwoman, you know I respect your work. Even though our
positions on different issues with respect to the Western
Hemisphere and Latin America are sometimes far apart I
respected your voice and your work and the policy that you've
worked on. But this move to not allow one of our colleagues in
the U.S. Congress who's been elected by the people she
represents to sit and participate on a panel like this is, I
think, unprecedented. If it's happened before I do not know
about it, and I know that, like many, you have been critical of
the government in Cuba in part because it suppresses free
speech and suppresses different opinions.
And so, without getting to the substance of your critique
of Congresswoman Lee, Chairwoman, that's exactly what you're
doing right now is you're suppressing somebody from even
sitting here and participating in the same way that the Cuban
government has suppressed opinion and perspective for decades.
Ms. Salazar. My dear colleague, the Cuban people do not
have a platform to express themselves like distinguished lady
Barbara Lee or Congresswoman Barbara Lee has had because she
has been able to go to many media outlets. She's been able to
express her admiration for Fidel Castro. 1But this is not the
site to do that. She has no position and she is not welcomed on
this committee that I humbly chair. So I thank you very much
for your--for your request, but not this time.
Therefore, the Subcommittee on the Western Hemisphere will
come to order.
The purpose of this hearing is to discuss the findings----
Ms. Wasserman Schultz. Madam Chair, while I appreciate your
invitation to testify in front of the committee the traditions
of this committee and our U.S. House of Representatives are
that we're all provided equal access under the same rules, and
you and I share a position on the Cuban regime, but unless my
colleague Congresswoman Lee, who is also equally a
representative representing one of the 435 congressional
districts, is allowed to testify then while I appreciate your
invitation I must decline.
Ms. Salazar. And I am very sorry but, obviously, we support
your position if that is it. You've been a very close friend of
the Cuban people, people that we represent and that live in
South Florida, and I am so sorry that you're not going to be
participating with us. But you are a different type of member
within the Democratic Party.
Ms. Lee. Madam Chair--Madam Chair, I've served on this
subcommittee for many, many years. I'm an African-American
woman who has a point of view where in a democracy those points
of views are allowed and you are doing exactly what you say the
Cuban government is by denying myself, a Member of Congress who
represents the same number of constituency representing,
denying me the opportunity to present my point of view.
What is wrong with this picture?
Ms. Salazar. I would love to have this same type of
political discourse in Havana.
Ms. Lee. Let's have it in Havana. If we normalize
relations--normal diplomatic relations where entrepreneurs can
thrive in Cuba.
Ms. Salazar. The only people who have that key is the Cuban
regime. They could make that happen right now----
Ms. Lee. Madam Chair----
Ms. Salazar [continuing]. And, unfortunately, you have been
friends with those who are not in favor of the Cuban people.
[Simultaneous speaking.]
Ms. Lee. Madam Chair, I am the--I am a friend in the United
States--I am a member of the U.S. Congress. I am a friend of
the global community and I want to see normal relations between
every country in the world and the people of the United States
and the government of the United States whether we agree or
disagree.
Ms. Salazar. Then we'll--then we'll--Congresswoman, you
have been----
Ms. Lee. The only way we can ensure the values of democracy
are promoted is being at the table engaging with----
Ms. Salazar. Fidel Castro has been the worst dictator that
the hemisphere has seen since the arrival of Christopher
Columbus----
[Simultaneous speaking.]
Voice. Madam Chair, he's been dead for 10 years.
[Simultaneous speaking.]
Ms. Lee. Talk about Donald Trump. Why do not you raise his
autocratic tendencies?
Ms. Salazar. The subcommittee--we are about to start this
hearing.
Ms. Wasserman Schultz. Let's talk about the strength of our
ideas which I share with you.
Ms. Salazar. Thank you. The Subcommittee on the Western
Hemisphere will come to order.
The purpose of this hearing is to discuss the Biden
Administration's policy toward Cuba and to explore the
Administration's desire to loosen the rules for investing in
the Cuban regime's adjacent private sector, among other
critical bilateral issues.
I now recognize myself for an opening statement, and thank
you very much to Mr. Jacobstein for coming and for Mr. Roig for
being here and wanting to dedicate your time and your expertise
to clarify this topic a little bit more.
Do you see this poster behind me? What is it? It's a store
owned by the Cuban regime. It's a store that sells Guccis,
Armani products in the heart of Havana, the most expensive
shopping mall in the capital called La Manzana de Gomez.
I would like that every MIPYME, as the Cubans call it,
which stands for small and medium-sized businesses, to look
like this one and be owned by an ordinary Cuban who has nothing
to do with the Castro regime.
Every Cuban not, just the Enchufados, to say in Spanish, or
the children of the Communist Party bosses. And why do I say
that? Because so far, unless you have different type of
information, based on the info that we have coming from Havana
and from Cuba those who have had an easy, easy path to opening
a business like this one are the children of the oppressors or
the oppressors themselves and I'm going to give you three
examples.
Ernesto Guevara, Jr., the son of Che Guevara--do we have to
say who Che Guevara is? He owns La Poderosa Tours. No. 2,
Sandro Castro, the grandson of Fidel who owns EFE nightclub in
Havana. No. 3, Vilma Rodriguez, the granddaughter of Raul
Castro who owns Casa Vida Luxury Holidays.
And two members of the Red Avispa, Gerardo Rodriguez and
Renee Gonzalez, who happen to have spent 15 years in a Federal
prison close to us, are now the main promoters of this new
concept, I repeat, called the MIPYMEs, small business sector in
Cuba, according to the Cubans.
Unfortunately, this smells like a new scheme from the
regime who is desperate for millions of dollars to violate the
American embargo. Remember, they allowed the creation of the
MIPYMEs in August 2021, just 1 month after the July 11th
protests.
As you know, the Cuban regime is a master of disguise and
we just saw here right now a little taste of that that,
unfortunately, the gentle Congresswoman really believes that
the Cuban regime is in the business of feeding the Cuban
population three times a day and giving them prosperity and
freedom.
I'm so sorry that I have to believe that this is another
scheme, and I do want to be wrong. The Biden Administration is,
according to our information, going to review the new
regulations regarding Cuba.
The White House has not revealed all the details, although
there are rumors that the Biden Administration will open the
American banking system to this new class of around 9,000 small
entrepreneurs who compose this new class of private independent
small business owners. Private independent small business
owners.
I repeat, opening the banking system to this supposed new
class. There's just a couple of catches to this new initiative.
No. 1, the law. The embargo says clearly that all transfers of
credit, which means loans, and all payments between banking
institutions between Cuba and the United States are forbidden.
No. 2, the Biden Administration says that the new policy is
never, never going to benefit the regime. But how could that be
possible if GAESA, which is this institution that controls all
the money that flows in and out of the island, is run by the
military?
No. 3, the Russians. The Russians are the ones who handle
every credit card transaction in the island. So we're talking
about three--the embargo, the regime and the Russians.
And but I think that at the end what we all care to know is
that the United States wants to benefit Paco, Berta, Pepito,
Fefa, those Cubans who just want to liberate themselves from
the joke of the regime. The American Administration, I'm sure,
does not want to benefit Raul and his nietos.
Miguel y sus hijos and Ramiro and his primos.
I'm going to say a small statement in Spanish.
[Speaking foreign language.]
The chair now recognizes the ranking member, the gentleman
from Texas, Mr. Castro, for any statements he may have.
Thank you.
Mr. Castro. Thank you. I'm glad to discuss how the United
States can support actors in Cuba who are attempting to limit
the influence and power of the Cuban authoritarian regime
including the private sector, civil society, and activists.
Additionally, welcome to our witnesses from the State
Department. It's great to see you again, Mr. Jacobstein, and
welcome, Mr. Roig.
I stand with the Cuban people in their fight for a
government and society that protects human rights, advances
democracy, and promotes economic development. I believe that
the best way to achieve these goals is through a renewed
approach to our engagement with the island, an approach that
recognizes that our policies over the last 60 years have not
resulted in the changes we would like to see.
In some cases it has even emboldened the Cuban government
and strengthened their relationship with key adversaries like
China and Russia. The United States can both recognize the
threat that the Cuban regime poses to regional national
security while also engaging on key priorities and supporting
the Cuban people's efforts to further their own democratic
aspirations.
When we fully take ourselves out of the equation like what
occurred under the, quote/unquote, ``maximum pressure policy''
of the Trump Administration we erase our ability to enact
change and support meaningful efforts.
And let me be clear, the Cuban government is an
authoritarian regime with little respect for human rights or
democracy. It ranks near the bottom of every independent
measure of democracy.
However, historically we have seen more progress on these
issues when we're engaging with the Cuban government, not when
we're in complete isolation.
Under President Obama, the United States normalized
relations by rescinding Cuba's designation as a State sponsor
of terrorism, lifting U.S. travel and remittance restrictions,
providing U.S. banks with access to Cuban--the Cuban financial
system, and reopening embassies in Havana and the Cuban Embassy
in Washington.
President Obama made improving human rights conditions,
particularly freedom of expression and assembly, key to a U.S.-
Cuba relationship. As he succinctly recognized, our Nation's
policy toward Cuba is the, quote, ``last remnant of the cold
war in the Americas.''
And as a test for that remember when we think about the
argument that we're often--that we're dealing with a communist
country and so forth China is one of the largest trading
partners of the United States. Vietnam is a strong trading
partner of the United States, a country with whom we have a
strong prosperous relationship.
Unfortunately, the previous Administration reversed many of
those reforms and implemented even more restrictive policies
including a baseless redesignation of Cuba on the State sponsor
of terrorism list.
I was hopeful that the Biden Administration would reverse
Donald Trump's disastrous policies and set up--set us back on a
path toward normalization with Cuba. I'm grateful that the
Biden Administration has taken a number of important steps
including providing humanitarian parole and family
reunification programs, easing restrictions on remittances,
lifting travel restrictions, reopening the Havana Embassy and
visa and consular services, and renewing funding for Cuban
democracy programs.
The Biden Administration also rightfully condemned the
harsh crackdown on July 11 protesters and the subsequent
arbitrary imprisonment and punishment of opposition figures,
1,000 of which are estimated to still be in prison today.
However, the President's failure to reverse harmful
policies like the unwarranted State sponsor of terror
designation, sanctions, and the embargo is a serious missed
opportunity.
The United States policy toward Cuba over the last 60 years
has resulted in no tangible proof that these policies move the
needle on democratic progress.
Instead, they've dramatically worsened the lives of
everyday Cubans, Cubans like those who showed up on July 11th
begging for policies that support democracy and economic
prosperity.
The United States is failing those Cubans. Cuba's
designation as a State sponsor of terror, a last-minute act by
former President Trump, does not have any merit and has
isolated Cubans from the global financial system, further
entrenching the current regime.
We must remove Cuba from the SSOT and end this baseless,
extremely harmful designation. As President Obama recognized
the embargo on Cuba has not only failed to advance U.S.
interests but has had devastating humanitarian effects by
obstructing access to essential goods like food and medicine,
exacerbating hunger, undermining the private sector, and
eroding critical infrastructure with an even worse impact on
women and other minorities.
Along with ending the decades-old embargo the United States
could support the Cuban people by their--and their aspirations
by waiving Helms-Burton Title III, ending sanctions on shipping
companies that provide fuel to Cuba, strengthening agricultural
ties and reviewing entities on Cuba restricted and prohibited
accommodations list.
The Cuban embargo and Cuba's presence on the State sponsor
of terrorism list are particularly harmful to the growing
private sector in Cuba. Contrary to today's hearing title, an
independent private sector does exist in Cuba and supporting
this growing private sector presence is both beneficial to the
United States and the Cuban people by lessening the reliance on
the Cuban government for economic opportunities.
The private sector as of last year employs 35 percent of
the Cuban workforce and has provided food and other essential
goods to the island which are normally inaccessible. We should
be supporting these entrepreneurial efforts, not stifling them.
Yet, our current policies prevent the private sector from
accessing bank accounts, obtaining key investments, and inhibit
growth due to over compliance. We need the Cuban people to have
independence from the Cuban regime. This is how.
I look forward to hearing from our witnesses on how the
United States is supporting this crucial part of Cuban society
while also advancing our mutual goals of democracy, human
rights, and economic development.
With that, I yield back to our chair.
Ms. Salazar. Thank you, Mr. Castro.
And now other members of the committee are reminded that
opening statements may be submitted for the record, and today
we have a panel of witnesses from the State Department who work
closely with issues surrounding the bilateral relationship
between the United States and Cuba.
Mr. Eric Jacobstein is the deputy assistant secretary for
the Bureau of Western Hemisphere Affairs in the United States
Department of State and Mr. Enrique Roig is the deputy
assistant secretary for the Bureau of Democracy, Human Rights,
and Labor at the Department of State.
And thank you for being here today. Once again, your full
statements will be made part of the record and I will ask each
of you to keep your spoken remarks to around 5 minutes in order
to allow time for member questions.
I now recognize Mr. Jacobstein for his opening statement.
Welcome, sir.
STATEMENT OF ERIC JACOBSTEIN, DEPUTY ASSISTANT SECRETARY,
BUREAU OF WESTERN HEMISPHERE AFFAIRS, U.S. DEPARTMENT OF STATE
Mr. Jacobstein. Thank you.
Chairwoman Salazar, Ranking Member Castro, members of the
subcommittee, I appreciate the opportunity to discuss the
Biden-Harris Administration's support for the Cuban people
including through encouraging the growth of the independent
private sector.
I plan to share our observations on the evolution in Cuba's
economy and private sector, discuss deep concerns we have about
the Cuban government's ongoing abuse of human rights, and our
corresponding efforts to maximize support for the Cuban people
while minimizing benefit for the Cuban government.
The Cuban economy is in dire straits. Amid recurring
shortages of fuel, electricity, and increasingly even food it
is clear that the communist experiment in Cuba has failed and
the government is not able to provide for its citizens' most
basic needs.
In a country where there are no free elections the Cuban
people are voting with their feet. Roughly 500,000 Cubans
migrated to the United States in the last two fiscal years
using both lawful pathways and dangerous irregular migration
routes, with tens of thousands more leaving for other
countries.
In May 2022, our Administration announced policy measures
focused on empowering the Cuban people including support for
Cuba's private sector, and these changes are in our national
security interest and they're consistent with President Biden's
guidance to benefit the Cuban people while continuing to deny
resources to the Cuban regime.
Against this backdrop, we have seen the Cuban government
grudgingly open space to a nascent yet growing private sector.
While Cuentapropistas, or self-employed proprietors, have been
legal for some years, in 2021 the Cuban government also
legalized the creation of small and medium-sized enterprises.
With over 10,000 private businesses registered, operating
in diverse fields from food distribution to construction to
auto repair, Cuba's private sector is now responsible for
nearly one-third of all employment on the island.
And these changes have profoundly affected Cuban culture.
Young Cubans are eager to earn private sector wages rather than
work for the State. A class of independent business leaders is
emerging.
I know this because our team both in Havana and Washington
routinely meets with these individuals, and I had the chance to
meet with a group of them just this week virtually.
Despite enormous challenges, these individuals report
feeling energized by the prospect of no longer relying on the
government and instead shaping their own economic destiny.
These entrepreneurs look to the United States for inspiration
and to develop the necessary skills to run successful
businesses.
To that end, the State Department has supported programs
that help to foster essential skills and know-how among
independent Cuban entrepreneurs. In an acute twist of irony the
island's communist government must now rely on a private
enterprise to provide food and basic services for its people.
It is not an easy road for these entrepreneurs.
The Cuban government's mismanagement of its economy has led
to unparalleled high inflation. But because it is more nimble
and efficient than the government the private sector currently
serves as a life preserver for the Cuban people without which
they could not stay afloat.
We believe that organic expansion of the Cuban private
sector on the island led by the Cuban people themselves and not
by any foreign government, is an opportunity that should not be
wasted.
Above all, we must encourage the freedom of Cuban citizens
to define their own economic future. Failing to engage and
support Cuba's private sector will leave space for Russia and
the PRC to shape the direction of the Cuban economy. We must
not allow this to happen.
Cuban entrepreneurs prefer U.S. values and our economic
model and see the United States as their business partner of
choice, and we are focused on taking measures that inject a
real sense of hope among the Cuban people and stem the tide of
worsening humanitarian and migration conditions, all while
remaining steadfast and promoting accountability for the Cuban
government's continued abuses.
Now, I want to close by noting the promotion of private
enterprise is just one part of U.S. engagement in Cuba. We
consistently advocate for Cubans' fundamental freedoms and
press for the release of unjustly detained political prisoners.
In our conversations with entrepreneurs and the Cuban
government, we emphasize the importance of respecting labor
rights of Cuban entrepreneurs and all Cuban workers.
We've facilitated the resumption and expansion of
remittances and flights between the United States and cities
outside Havana and we have expanded access to safe and lawful
migration pathways in support of Cuban-American families.
Our Embassy in Havana resumed full immigrant visa
processing, and the Department of Homeland Security implemented
a modernized process for the Cuban family reunification
program.
We increased tourist visa validity, which brought immediate
tangible benefits to Cubans visiting family and purchasing
goods in the United States.
In sum, our approach continues to support everyday Cubans
while promoting accountability for the Cuban government's
abuses.
Thank you very much for the opportunity and I look forward
to your questions.
[The prepared statement of Mr. Jacobstein:]
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]
Ms. Salazar. Thank you, Mr. Jacobstein.
I now recognize Mr. Roig for his opening statement.
STATEMENT OF ENRIQUE ROIG, DEPUTY ASSISTANT SECRETARY, BUREAU
OF DEMOCRACY, HUMAN RIGHTS, AND LABOR, U.S. DEPARTMENT OF STATE
Mr. Roig. Thank you.
Chairwoman Salazar, Ranking Member Castro, and
distinguished members of the subcommittee, thank you for the
opportunity to testify today on our efforts to support human
rights in Cuba, a key Biden-Harris Administration priority.
Unfortunately, the human rights situation in Cuba remains
abysmal. The repressive environment combined with a disastrous
economy has prompted a mass exodus from the island, including
of youth activists and human rights defenders.
The efforts of the State Department's Bureau of Democracy,
Human Rights, and Labor to promote human rights in Cuba
includes over $6 million in foreign assistance programs
annually.
Our initiatives incorporate human rights documentation and
advocacy including those related to freedom of religion or
belief in freedom of expression. We also support documentation
of labor rights violations and advocacy targeting international
labor bodies and labor union confederations.
Our implementers strengthen fact-based reporting and the
professionalism of independent media and our efforts have
increased access to information including by assisting in
circumventing internet censorship on island.
Recently, I met with a range of civil society actors in
Miami, who are deeply engaged on many issues relating to Cuba.
Two issues came up repeatedly which I know are of concern to
the subcommittee.
First, the plight of unjustly detained political prisoners
and, second, Cuban workers including medical professionals who
may be the victims of human trafficking and exploitation
through Cuba's labor export program.
I would therefore like to discuss each of these topics in
greater detail. Civil society estimates that there are
approximately 1,000 unjustly detained political prisoners in
Cuba.
Reports describe how they are subjected to mistreatment
including what involves isolation, denial of visits by family
members, and lack of access to health care. Political prisoners
have also reported that fellow inmates acting on orders from or
with the permission of prison authorities beat, threatened,
intimidated, and harassed them.
To call attention to their plight many political prisoners
have engaged in hunger strikes. Our campaign to free unjustly
detained political prisoners without just cause highlighted two
Cuban prisoners, Maykel ``Osorbo'' Castillo and
Joseaniel Ferrer. Unfortunately, they remain behind
bars so we continue to advocate bilaterally for their release.
We also highlight the political prisoner problem in
multilateral contexts. For example, Assistant Secretary for
Western Hemisphere Affairs Brian Nichols and I participated in
a September 19th roundtable on the margins of the U.N. General
Assembly that shed light on the plight of unjustly detained
political prisoners.
And also our department programming supports civil society-
led advocacy in international fora. For example, under a
department program details on nearly 1,000 individual cases of
human rights violations were submitted to international human
rights bodies.
Programs support groups to engage with the U.N. Committee
for the Elimination of All Forms of Discrimination Against
Women, the U.N. Working Group on arbitrary detentions, and the
special rapporteur on torture and other cruel, inhumane, or
degrading treatment or punishment, among others.
The department also supported organizations who drafted and
submitted shadow reports to the United Nations Human Rights
Council for the 2023 Cuba Universal Periodic Review. The
reports covered political prisoners, politically and
religiously motivated repression, torture, gender-based
violence, sedition cases, and labor rights.
And to promote further accountability in July 2022 the
department took steps to impose visa restrictions on 28 Cuban
officials who had enabled unjust detentions and sham trials of
hundreds of peaceful protesters who are now political
prisoners.
Let me now turn to the issue of trafficking in persons.
Cuba's labor export program which includes medical missions is
particularly concerning. Through this program the Cuban
government sends tens of thousands of workers around the globe
under multi-year cooperative agreements negotiated with
receiving countries.
Workers have reported having their passports confiscated
and their movements restricted by the Cuban government. They
work long hours often under dangerous or degrading conditions
and are surveilled, threatened, and in some cases even sexually
harassed.
Workers reportedly receive only 5 to 25 percent of their
salary with salaries retained in bank accounts they do not
fully control and seized by the Cuban government if they leave
the program. Exploitation of the workers in the labor export
program includes banning those who flee it from returning to
Cuba for up to 8 years.
And so to confront this degrading practice the department
has increased bilateral engagement with countries hosting Cuban
workers to promote awareness of Cuba's exploitative practices
and urge countries to uphold their international obligations,
follow best labor and human rights practices, and protect
trafficking victims.
The Office to Monitor and Combat Trafficking in Persons has
prioritized this issue and in September its Ambassador Cindy
Dyer traveled to Miami to engage with civil society actors and
hear directly from survivors.
So as you can see, Chairwoman and members of the
subcommittee, we take the issue of human rights in Cuba very
seriously and we look to address it at every turn.
Thank you again for the opportunity to testify today. I
look forward to your questions and to working closely with the
committee in the future. Thank you.
[The prepared statement of Mr. Roig:]
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]
Ms. Salazar. Thank you, Mr. Roig. Very well said.
I now recognize myself for 5 minutes of questioning. I'm
very happy that the State Department recognizes the human
trafficking of doctors, something despicable.
I mean, you cannot leave with your wife or with your kids,
you only make 5 percent of whatever the country pays to the
regime, and if you want to access the rest of the money you
cannot until you go back to Cuba. That's called slavery. So
thank you for bringing that up.
And to you, Mr. Jacobstein, thank you once again for being
here. We had had the opportunity to talk to each other so I'm
very happy that we're going to be able to speak again.
First and foremost, I just want to highlight that you and
I, we're on the same page. We want the same thing. I'm the
first one who wants to be convinced that in a totalitarian
regime, as I said to the gentle Congresswoman from California,
the Cuban revolution is probably the most cruel and the most
repressive revolution that the Western Hemisphere has seen
since the arrival of Christopher Columbus.
That was many years ago. This was in 1492. We're talking
about people who have brought repression to scientific levels,
where the invincibility of the regime is in the heart of the
average Cuban.
That's why they would rather catch a raft, meet the sharks
in the strait of Florida and reach the city that I represent,
the city of Havana. So we're talking about people who are
completely different. We're talking to Hamas. They are the
Hamas of the hemisphere.
Now you are telling me that there is this flourishing small
and middle size businesses who are independent from the
regime--totalitarian regime controls--that has controlled for
62 years every single aspect of the Cuban population.
Now you're telling me that this phenomenon is occurring and
that you and I will want to help them? Of course, of course,
and I would love for you to convince not only me but the Cuban
exile community that I represent that this is true. And I'm
sure that you are going to be able to hear different reasons
why, according to your statement, this is really happening.
But the first question is is the Biden Administration
planning to give the, quote, ``MIPYMEs'' access to the United
States banking sector? Yes or no.
Mr. Jacobstein. Thank you very much for the question, Madam
Chair.
As you know, in May 2022 we announced a series of measures
to support the Cuban people and one of those--and of those
measures the majority have been implemented including
remittances, including a number of the issues I spoke to
already.
In terms of the private sector, we have not yet implemented
those regulations and will provide further information when we
have it.
Ms. Salazar. But are you thinking about it? Because opening
the American banking sector those are major words because we're
talking about then providing loans to those supposedly small
business owners.
Are you planning to open the American banking sector to the
Cuban MIPYMEs, as they call them?
Mr. Jacobstein. Thank you, ma'am.
I do not have further information on specific regulatory
changes at this time.
Ms. Salazar. OK. Make sure that you send the word back to
the State Department that that is not going to be a very good
idea because, No. 1, that violates the United States embargo,
which happens to be codified in the U.S. Congress, as I'm sure
you know.
Now, let's go back to----
Mr. Jacobstein. Any actions we would take would be done
under the law.
Ms. Salazar. Please--yes, that's exactly what I want to
hear, that whatever measures or regulations you're trying to
implement are going to follow the United States law meaning the
United States embargo or the United States embargo against the
island of Cuba.
Unfortunately, because the real embargo is against the
regime the regime has it against its own people because you and
I agree that if tomorrow morning the Cuban regime decides to
lift the embargo that they have on the Cuban people we would be
very close friends, right? Don't you agree?
Mr. Jacobstein. I would always be happy to be a very close
friend of yours.
Ms. Salazar. No, no, not of me, of the Cuban people. Well,
thank you. I mean, I'm not sure about me. But I mean, I'm
irrelevant. The United States would be a very close friend of
the Cuban people if the Cuban regime decides tomorrow morning
to lift the embargo they have on their people.
Mr. Jacobstein. Absolutely. We have continually focused on
holding the regime accountable and supporting the Cuban people.
That's our focus.
Ms. Salazar. OK. So then now with the MIPYMEs how do you
know that these are not just fronts or most of them? We're
talking about 9,000 of them. Supposedly they're produced--
they're hiring 250,000 people--Cubans.
How do you know that this is not a facade?
Mr. Jacobstein. Thank you, ma'am.
I know there's been much debate in the press and on social
media about the true measure of independence of Cuba's private
sector. Our assessment is that there's a range of actors
working in the Cuban economy, and some would like to speak in
absolutes here. We do not think it's about absolutes, that
either the Cuban economy is completely free and independent or
it is still 100 percent dominated by the government of Cuba and
its cronies.
Our Embassy's assessment speaks to a more nuanced approach
here and our approach, therefore, must be more nuanced as well,
and as I----
Ms. Salazar. What you're trying to tell me is that you're
willing--as long as you're willing to--as long as you're
helping some Cubans who have some independence from the regime,
it's inevitable that you would have to help some of the kids of
the regime?
Mr. Jacobstein. No, I'm not saying that.
Ms. Salazar. So then what are you saying?
Mr. Jacobstein. I spoke with Cuban independent
entrepreneurs this week. I have many times in the past. These
are people who are as far as possible from the Cuban regime.
These are individuals suffering under the economic
mismanagement of the regime.
These are individuals who are making very tough economic
choices. They told me, "You do not understand. As a private
sector we have it worse here in Cuba than any private sector in
the world." They're struggling because of economic
mismanagement and so----
Ms. Salazar. Oh, I hear it. But, once again, I say that's
in the hands of the regime. They could--they could lessen those
hardships in a minute.
Now, let me just give you an example. I called a friend
that I have in Havana and she said, look, La Panaderia La
Antilla that is in Calsavo del Serro 1571. Used to belong or
provide pan--bread--to el Ministerio del Interior.
They closed and 2 weeks after they reopened as a MIPYME
right there. Then how can you make sure that you're not going
to be helping those people who are the oppressors? Because I'm
sure you do not want to be helping the oppressors. You want to
be helping the oppressed. Tell me.
Mr. Jacobstein. Thank you.
Our Embassy staff in Havana regularly engages with
entrepreneurs and often visits their place of business and they
hold ongoing conversations with these individuals.
So any derogatory information received on an entrepreneur
is reviewed carefully and shared as appropriate within the
interagency and we'd welcome any information you'd like to
share with us.
Ms. Salazar. And I'm sure that I'm going to be feeding you
a lot of it.
Now, the imports. You know that there's something called
GAESA which is this institution that belongs to the military
that controls every money that flows in and out of Cuba. So how
is the Biden Administration going to help just the Cuban people
without going through GAESA, which is the one that controls the
flows of dollars? How do you do that?
Mr. Jacobstein. Thank you. This is a complicated situation.
It's very tough, and we do not speak in absolutes here. We need
nuance if we really want to focus on----
Ms. Salazar. Speak nuanced means that you do have to be
sleeping with the devil. Is that what you're telling me?
Speaking nuanced?
Mr. Jacobstein. No. I think it means that if we're
supporting the Cuban people, we have to work within the system
that exists. This is difficult. We wish it didn't.
As I said, the private sector is suffering. They admit that
and we're looking for all means possible to support that Cuban
sector as the humanitarian crisis on the island deepens and as
out migration continues.
Ms. Salazar. Unfortunately, you have to deal with the
regime and you know it.
Now, there's another one called Guajirito that has $15
million in exports. Could you imagine a regular Cuban having
$50 million dollars in exports? Wow, that's great.
Who is Guajirito? Who do you think they are? Because they
are being showcased by the Cuban regime. Do you think that the
average Cuban could have an enterprise that exports $50
million?
Mr. Jacobstein. Absolutely not, and these businesses tend
to be extremely small.
Ms. Salazar. All right. Then tell me. Tell me.
Mr. Jacobstein. Yes. Ma'am, these businesses tend to be
extremely small, suffering. These are individuals who told me--
--
Ms. Salazar. The real ones you mean? The real--the ones
that are not Enchufados with the regime?
Mr. Jacobstein. Yes. The independent entrepreneurs are
about one-third of the economy, 10,000 small and medium-sized
enterprises.
Ms. Salazar. Right. I will just ask you one more question
and then I will recognize my fellow members of the
subcommittee.
On November 20th of 2023 the United States Embassy in
Havana hosted a concert for a hip hop artist who happens to be
a convicted felon called Big Freedia and on June you showed a
movie ``Changing the Game'', which is about biological men
competing in women's sports.
What does that have to do with advancing the freedom in
Cuba?
Mr. Jacobstein. So the U.S. Embassy in Havana, through our
public diplomacy section, engages in a wide range of activities
to advance U.S. foreign policy goals in Cuba, including respect
for human rights.
So events that focus on the human rights of individuals
belong to often marginalized communities as Big Freedia, a
member of the African-American community, LGBT community.
Events such as the program with her help us to engage wider and
younger audiences, and during her visit Big Freedia drew on the
popularity of her music and performances to engage in a wide
range of discussions with the LGBTQ+ population, with the Afro
Cuban population, and shared history on the importance of Black
cultural influence in music----
Ms. Salazar. I think--Mr. Jacobstein, I believe that maybe
the Cubans--the average Cuban who loves and adores the United
States would like to be receiving something different, maybe
something a little bit more edifying, more gratifying from the
United States Embassy.
I'm not saying that these are not important topics but for
the average Cuban who's suffering exactly what you guys just
told me just maybe we should send word to the Embassy that
maybe the Cubans will want to see something else coming from
the United States.
Now I yield back.
Mr. Castro. Thank you, Chairwoman.
I want to say I support the proposed reforms and I hope
that they ultimately get implemented. I think it would
represent progress. I think we probably all agree that we want
to see Cuba change. The question is how does that happen.
Does it happen with the same isolationist arm's length
policy that we have pursued for the last 60 years that has made
Cuba weaker, poorer, that has thrown it into the arms of Russia
and China? Or does it help through engagement?
Now, the private sector in Cuba is made up not just--there
may be some folks who are fronts for the government. But it's
my understanding that a lot of these folks are regular Cubans.
Is that correct?
Mr. Jacobstein. Absolutely. Yes.
Mr. Castro. Can you tell us how the private sector is
benefiting the Cuban people? Not the government but the Cuban
people?
Mr. Jacobstein. Yes, absolutely. Thank you for that
question, and I had a good opportunity to speak with a number
of these individuals just this week and these are cafe and
restaurant owners, event producers, individuals who are having
a really hard time getting--importing goods.
So these are individuals who make no money from the State
economy, who cannot survive, and this new way of business--30
percent of the Cuban economy--this is really the future and,
frankly, this is capitalism and this is what we want in Cuba.
So when we're doing work, training individuals, whether
it's on marketing, labor rights, or otherwise these are skills
on capitalism. That is precisely what we need for these
individuals who are really struggling.
Mr. Castro. This is the creation of a market-based economy,
the beginnings of it at least?
Mr. Jacobstein. Precisely.
Mr. Castro. And even--I know Chairwoman Salazar made the
point about government fronts. But let's just assume that all
of these businesses were run by somebody in the government or
some agency.
It would still represent a kind of transformation to a
market-based economy, at least more than what you've seen right
now. So even in the worst case scenario where all of it was run
by the government, it is a new kind of market-based economy.
I do not believe that's the case. Nothing I've seen or
heard convinces me that that's the case. But it represents the
Cuban government implicitly--the communist Cuban government
implicitly admitting that they have to do something different
than they've done for decades, and so that is a positive thing
for us.
The current situation is also dangerous for the Cuban
people and for the United States and for Latin America because
it has caused hundreds of thousands of Cubans to flee Cuba and
make the dangerous trek to the United States.
We speak often about addressing the challenges of migration
and we talk about, well, we're going to put this many Border
Patrol and we're going to put more surveillance and, you know,
and there's going to be a bigger section of the wall in Texas.
The longer-term solution is to help buildup the economies
of these places and the safety of these places that people are
fleeing, and so the private sector growing in Cuba to me
represents one promising aspect of what's going on in the
countries where people are fleeing in Latin America.
I wanted to ask you a question about the embargo. These
efforts to increase access to financial services, as I said,
are welcome but I feel like we're ignoring the elephant in the
room.
If the goal is to help the Cuban private sector the 60-year
embargo of Cuba, I believe, must end. So I wanted to ask you
does the Administration continue to support the embargo and if
so does the State Department have evidence to show that the
embargo has accomplished its purpose?
Mr. Jacobstein. Thank you, sir.
We do not have any comment in terms of actions that
Congress would have to take with regard to the embargo but
certainly understand your perspective on this, and anything
that we do in terms of reforms would be done under U.S. law.
Mr. Castro. Now, a question on migration. Since 2021 3
percent of Cubans have fled their country, the majority to the
United States. In response the Biden Administration has
expanded lawful pathways for Cubans to migrate to the United
States including through access to humanitarian parole and
family reunification programs.
How vital is the President's parole authority in helping
manage migration from Cuba?
Mr. Jacobstein. Thank you for that question, and you're
absolutely right. This Administration has expanded lawful
pathways in a way that has not been done in decades, and we
have created lawful pathways for these individuals who seek
entry in the United States including through the Cuba-Haiti-
Nicaragua-Venezuela parole program and the Cuba Family
Reunification Parole Program.
And with CHNV, the program I mentioned first, 68,000 Cubans
have been able to have a legal pathway to the United States as
of January 11th of this year under that program over the past
year.
So this has been a vital pathway as have--as has the CFRP.
Mr. Castro. Thank you. I yield back.
Ms. Salazar. Do you have a little more?
Mr. Castro. That's fine. No, I want the other members to be
able to ask a question.
Ms. Salazar. All right.
Now, I yield. I recognize Mr. Green from the State of
Tennessee.
Mr. Green. Thank you, Madam Chair, and I want to thank our
witnesses for appearing here today.
When I see patients as a physician it's my first duty to
make the proper diagnosis. Once I understand the cause of the
medical problem then I can come up with a medical plan. The
nature of the problem determines the nature of the solution. If
you misdiagnose the problem your solution is going to be wrong
or maybe even worse.
There's no doubt that there's a crisis in Cuba. The country
is impoverished. It's ruled by a tyrannical and corrupt regime.
Its people are forced to endure egregious violations of
human rights and political prisoners are detained, tortured,
and killed. Everyone can agree on this.
The million-dollar question, however, is who's at fault.
The far left claim that this is a result of the U.S. embargo on
the country and that the Trump era policy of maximum pressure
on the Cuban people is to blame. But those making these wild
assertions fail to ask why these policies were implemented in
the first place.
Cuba has suffered under a communist rule for 60 years with
a vast majority of the economy owned or controlled by the
regime. Now more than ever the Cuban regime is brutally
repressing and punishing its civil society and violating the
basic human rights of its citizens.
Activist protesters and even bystanders are unjustly
imprisoned and subject to torture and inhumane treatment that
the Cuban regime dispenses upon its dissidents.
The regime even engages in state-sponsored human
trafficking, enriching itself off the profits of forced labor.
Cuba is not impoverished because the United States refuses to
do business with them. Russia, China, Venezuela, and several
other less than reputable countries happily conduct business
with the Cuban regime.
Rather, the country is impoverished because the regime at
every turn enriches itself at the people's expense and they
viciously beat down anyone who questions their policies. That
is communism, plain and simple, whether it's the Soviet--the
former Soviet Union, the CCP, or the Cuban regime.
Opening the United States to Cuba will not enrich the
country. The corrupt government will not spontaneously root out
corruption and redistribute the wealth back to the people.
It will not release the thousands of political prisoners it
has locked up and it will certainly not embrace the free market
principles required to do business with the United States.
The Cuban military is embedded in nearly every single
business so the concept of a private sector is virtually
nonexistent in the country.
The only outcome to the Biden Administration easing
pressure off the country is that the brutal Cuban regime will
further gorge itself on the profits provided by American
businesses and we will be complicit.
The Cuban government through its military is metastasizing
throughout Latin America. Anything that puts another dollar
into the hands of the Cuban government will increase the export
of that authoritarianism--Venezuela, Colombia, Bolivia, et
cetera, et cetera.
Doing so, putting money into the hands of this
authoritarian regime, is almost as stupid as easing sanctions
on Iran or trading $6 billion for five hostages.
Now is not the time for us to ease up. Now is the time for
the United States to hold strong in its steadfast commitment to
ensure that the Western Hemisphere is truly free and
prosperous.
This Administration's ceaseless flirting with opening ties
to Cuba will remove the only chance that the Cuban citizens
have for freedom.
It is no small thing for the Cuban regime to endure an
embargo from the United States even with China and Russia as
economic partners.
If we remove the only leverage that we have to punish--to
push for reform then the Cuban regime will have no reason to
treat its people with dignity and respect.
Thank you, Madam Chairwoman, and I yield.
Ms. Salazar. Thank you, Congressman Green.
Now I recognize Congressman--Mr. Moskowitz from the State
of Florida.
Mr. Moskowitz. Thank you, Madam Chairwoman.
I share many similarities with the positions that the
chairwoman has stated today and in the past, and I do think
there--whilst all the situations are obviously different I do
think there are similarities in Iran and North Korea and Cuba
and what's happening in Gaza.
Yes, in all of those situations we support the Cuban
people, we support the Iranian people, we support the people of
North Korea. We support people who are oppressed everywhere.
But the United States has to have policies against those
regimes. Of course, you know, when you have opportunities to
try to pivot and make progress we should take advantage of
those in all instances.
But I'm not convinced that the Cuban regime has afforded
those opportunities. I just do not think we're there and so,
look, we got to do everything we can to lessen the humanitarian
crisis in Cuba, just like we have to try to lessen the
humanitarian crisis in Gaza.
But that does not mean that we should change our policies
with the dictators and the totalitarian regimes that control
these areas. And so, you know, I agree with a lot of my
colleagues across the aisle here on their policies but I would
remind them to talk to their colleagues that do not necessarily
serve on Foreign Affairs but to talk to their Republican
colleagues that are in the House and do not want to help give
Ukraine money.
But it's the very same logic here with what Russia is doing
in Ukraine and the totalitarian regime that Putin is in Russia.
And so these are all, you know, different sides of the coin
but they share similarities, and so while we should be strong
and unified where we can when it comes to Cuba I ask my
colleagues on this committee on Foreign Affairs to talk to
their Republican colleagues right now that are holding up
support for money for Ukraine.
I want to talk about China and I want to get to a couple
questions. Mr. Jacobstein, this is for you.
So, you know, many of my colleagues on the Democratic side
and the Republican side share concerns about China's growing
influence. It's why we set up the China Select Committee.
We're seeing everywhere, and I saw this on my trip with
Speaker McCarthy when we went around the globe, everywhere the
United States creating a vacuum China is filling it, right,
which is why the isolationist policies, again, of some of my
colleagues are so dangerous because as we retract, China comes
in.
We're seeing their influence in Latin America, in Africa,
in the Caribbean and, you know, last summer Secretary Blinken
expressed his deep concerns about China's efforts and increased
intelligence and military activities in Cuba.
In this time some of those concerns have been expressed.
What is your assessment of China's economic, diplomatic, and
military presence in Cuba?
Mr. Jacobstein. Thank you, Congressman.
So we have advised Cuba on several levels that it's not in
its interest to collaborate with the PRC on problematic
activity. PRC assistance incurs long-term and nontransparent
steep costs for countries globally, and Cuba is no different.
You mentioned the comments that Secretary Blinken made in
his June 20 statement on monitoring this closely and protecting
our homeland and our interests here. We assess that our
diplomatic outreach on this topic has slowed down the PRC's
efforts to project and sustain its military power in Cuba and
around the world, and we'll continue to use all potential tools
in the Administration's toolkit, including targeted sanctions
as appropriate to address these challenges.
We remain confident that we can meet all of our security
commitments at home and in the region, and I would note that
efforts like supporting the Cuban private sector are precisely
what we--the kinds of things that we can do to curb further
Chinese influence. We want to be the ones in there influencing
the private sector rather than the PRC or Russia.
Mr. Moskowitz. In your opinion how or if at all has U.S.
adversaries in addition to China sought to take advantage of
Cuba's economic situation to pursue maybe their own strategic
priorities?
We see China doing that--if you want to elaborate--
obviously, but who else? And Russia, obviously.
Mr. Jacobstein. Yes, I think--thank you for that. Russia is
obviously another key example, and we remain concerned about
Russia's activities in Cuba and we continue to take steps to
counter it, and Russia and Cuba they frequently announce
increased ties or trade deals. We seldom see much follow
through from the Russian government, which is no surprise.
But we know that Russia wants a more stable, authoritarian
regime and it's important for us that we not cede space to
Russia in the development of Cuba's nascent private sector.
So that's why we feel our engagement in this space is
important and to us remains the best way to counter Russia's
malign economic influence.
Mr. Moskowitz. And just in a hypothetical, just so we can
kind of, you know, pique our interest, I mean, is there any
evidence that if the United States were to change its posture
at all that the regime would turn away from China and Russia?
I have not seen it. I'm just curious if you have.
Mr. Jacobstein. I certainly think when we're dealing with
these independent entrepreneurs, they would benefit more from
us, from the United States, from the U.S. Government, than from
PRC and Russia officials. So I think that would be one key
example where we can have influence.
Mr. Moskowitz. Yes, because I heard that as I traveled the
globe that they would--everyone would much rather do business
with us than China or Russia.
But I also do not see them retracting from China and Russia
and the deals that they are making, and I'm seeing that from
not just some of the countries I named earlier, even in Europe,
quite frankly, with the deal we saw that Italy made. They're
not getting out of that deal so quickly. So it's deeply
concerning.
I'll just wrap up with this. You know, I just want to make
a suggestion to the majority. Listen, there are vast
differences that we have, whether it's on this issue or other
foreign policy issues. Lord knows I have differences with my
folks in my own party, like, when it comes to Israel.
But I think we should always allow members when they try to
waive on to committee--even when we disagree and we think
they're wrong we should always allow them to make their point
and then beat them in the debate and point out why they're
wrong.
With that, I yield back. Thank you.
Ms. Salazar. Thank you. And I would like now to yield--I
mean, to recognize Congressman Self from the State of Texas.
Mr. Self. Thank you, Madam Chair.
First of all, on immigration our immigration issues are the
Biden policies and parole that you are so proud of--parole
abuse is one of the major issues with our immigration problem--
our illegal immigration problem.
So let's do not kid ourselves that it has to do only with
the Cuban State of the economy. The new deputy for the Border
Patrol said if we simply instituted one policy, Remain in
Mexico, we would cut down illegal immigration by 65 to 70
percent.
Second, I wish the Biden Administration took the issue of
human rights in America as seriously, as you were saying, he
takes them in Cuba. Cuba, as we know, has over a thousand
people facing up to 25-year prison sentences--a thousand
political prisoners in Cuba today. Today we have hundreds in a
D.C. jail without conviction and being denied their
constitutional right to a speedy trial.
But I want to focus on one. In 2022 20 armed FBI agents
showed up at this man's house at dawn and arrested him under
the FACE Act, saying that he had pushed a man outside of a pro-
life clinic--I'm sorry, pro-abortion clinic. He was,
thankfully, acquitted.
But that's the Biden Administration's modus operandi. And
when I get told, well, we may have a few bad apples at the top
of the FBI, believe you me, Chris Wray was not in one of those
vehicles. He was not one of those 20 agents that showed up at
that man's house.
And while I'm on the topic of abortion, I want to say that
we have the great shame to be one of seven countries in the
world that allow abortion past 20 weeks. We share that
distinction with countries such as China, North Korea,
Singapore, Vietnam. We have 27 states that have that standard
or worse.
So I do not find your testimony very credible but I hope
that you would find credible The Economist, which I understand
that you appreciate. As little as 2 weeks ago The Economist,
not exactly a rag, has said that Cubans--Cuba's economy is in
its worst state since the collapse of the Soviet Union in the
1990's. Why would this not be the time to force regime change?
I will tell you that political loyalty, according to The
Economist, is still the factor in allowing any business to run
and The Economist says that small tweaks to a rotten system
will not be enough to stem Cuba's decline.
We have said in enough hearings with the State Department
here in the Foreign Affairs Committee to know that soft power
does not stand up to the Chinese strong power--hard power--
their stronger power that they're using in the Global South as
a whole very well.
So I leave it at that. I do not find this human rights
discussion very meaningful. And with that, I yield back, Madam
Chair.
Ms. Salazar. Thank you, Congressman Self of Texas.
Now I will recognize Congresswoman Kamlager-Dove from the
State of California.
Ms. Kamlager-Dove. Thank you, Madam Chair.
And I guess I just want to welcome everybody to the
Twilight Zone. You know, first, I just have to say that Barbara
Lee is not a pawn or a puppet or part of a scheme of Cuba.
She is a black woman who was just silenced, denied her
voice that she was rightfully elected to have, and I just have
to say that that was shameful to watch as a woman of color to
see another woman of color silence another woman of color in
front of a room with a large number of women, and I hope that
that is a practice that we do not continue.
I'd also just like to say that it is--I do not understand
the arguments that suggest you can economically repress a
country and expect them to do something other than the few
options that are available to them.
You know, if Russia is handling all of Cuba's financial
transactions, well, then you know what? By not engaging with
them in a substantive, real thoughtful way we are in fact
helping Russia to try to defeat Ukraine, especially when we are
not supporting Ukraine and we are contributing to the sanctions
and we are not taking Cuba off of SSOT.
So we--it would be great if we could not talk in
circularity and just have real honest discussions,
understanding when we compartmentalize and when we do not
because the reality is we have allies with countries all over
the globe where we do not agree with every single action,
behavior, or policy that they take.
So to then practice purity with Cuba boggles my mind. U.S.
policy toward Cuba seems perpetually stuck in the cold war,
held hostage by those who are still in their feelings and who
seemingly want to cripple the country entirely with little
regard for whether it advances U.S. interests or increases the
suffering of the Cuban people and the latest manifestation of
this is a conspiracy theory about the dangers of a budding
Cuban private sector that is clearly improving Cubans' quality
of life and enabling people to reduce their dependence on a
repressive regime, one I have seen because I've been to Cuba
and I have visited the small businesses and I have talked to
folks in the private sector who want more of it because it
keeps them from having to be solely reliant on a government
that cannot provide all of the needs it has declared itself to
be able to do.
It is counterproductive. And I'm also disappointed in the
Biden Administration's inaction when it comes to reversing or
meaningfully modifying 60 years of ineffective and
counterproductive policy.
Cuba is not a panacea. No place is. But in my mind, it does
not meet the statutory definition of a State sponsor of
terrorism, a designation that was arbitrarily reimposed in the
final days of the Trump Administration.
I'm trying to think the last time I heard of a Cuban
terrorist killing hundreds of people, taking thousands hostage,
shelling missiles all over the place. I will need help coming
up with those names.
So Assistant Deputy--Assistant Secretary Jacobstein, since
you've been talking so much here in front of us what is the
Administration's justification for Cuba's SSOT designation?
Mr. Jacobstein. Thank you, Congresswoman.
U.S. law establishes specific statutory criteria for
rescinding a State sponsor of terrorism designation. Any future
review of Cuba's status, should one occur, will be based on the
law and criteria established by Congress.
Ms. Kamlager-Dove. Yes. So why are they still on the list?
Mr. Jacobstein. So we note that the State sponsor of
terrorism designation remains a specific tool to address
governments of countries that repeatedly provide support for
acts of international terrorism. Other tools exist to address
nonterrorism concerns related to Cuba. But at any future----
Ms. Kamlager-Dove. I know you're in a pickle. I know you're
in a pickle. I'm in a pickle here sitting here. Do you think
that Cuba poses a threat similar to Iran, North Korea, or
Syria?
Mr. Jacobstein. I would just note again that any future
review of Cuba's status, should one happen, would be based on
law and criteria established by Congress.
Ms. Kamlager-Dove. So if they were taken off the list would
you say that there are other tools available to hold the Cuban
regime accountable?
Mr. Jacobstein. There absolutely are other tools to hold
the Cuban regime accountable.
Ms. Kamlager-Dove. OK. Yes, and do we try to use those?
Mr. Jacobstein. Yes. I mean, Cuba is one of the most
sanctioned countries in the world. So there's plenty of tools
and also additional sanctions such as the Global Magnitsky
sanctions that my colleague Deputy Assistant Secretary Roig
spoke to following the July 11, 2021, protests.
Ms. Kamlager-Dove. You're lucky my time is up. With that, I
yield back.
Ms. Salazar. Thank you, Congresswoman. Now I recognize Mr.
Stanton from the State of Arizona.
Mr. Stanton. Thank you very much, Madam Chair.
As a matter of professional courtesy to our colleague
Representative Barbara Lee who was not able to waive onto this
committee I wanted to take this opportunity to read the
statement for the record that she would have made if she had
been here to appear and present the information that she wanted
to present to this committee.
So this is a statement for the record by Hon. Barbara Lee
of California.
``I want to thank my friend Ranking Member Joaquin Castro
for inviting me to participate in this hearing. I'm outraged
that Chair Salazar has taken the unprecedented step of
objecting to me participating in this discussion.
I've been working on United States policy toward Cuba for
four decades since I was a staffer for the late great Ron
Dellums and I believe I have something valuable to contribute
to this conversation.
One thing that I hope we can all agree on here is that the
United States should support the efforts of the Cuban people to
build a peaceful and prosperous society, one that can meet the
hopes and needs of the Cuban people.
We see the Cuban people organizing in the political space,
the cultural space, and even the economic space. The Cuban
people want to build a freer society but the United States
policy is based on the idea that if we punish them just a
little more we will make them succeed.
We see the failure of this upside down policy everywhere.
More Cubans are fleeing the island than ever before, adding to
the humanitarian crisis.
Do we really want to exacerbate a situation where life in
Cuba is so unbearable that people will risk their lives to
leave? Do we want the best and brightest, the Cubans most
likely to inspire change in Cuba, to flee?
In Cuba today we see a flowering of entrepreneurship unlike
any we have seen before. Cuban government officials themselves
are nervous about this independent economic activity and so far
the response of too many people in Washington has been to try
to make those entrepreneurs' lives harder. Does that make any
sense?
After six decades of failure it is long past time for the
United States to try something different. The Obama
Administration's effort to engage Cuba offered real hope that
the Cuban people might have the chance to finally determine
their own destiny free from the meddling of either the United
States or Cuban governments.
While politicians in Washington and Havana continue their
petty squabbles it is the Cuban people who are paying the
price. I hope this hearing can be the start of us all working
together to create a smarter, more humane U.S. policy toward
Cuba.''
That's the statement of our colleague and friend
Representative Barbara Lee.
Now on my own behalf I want to say thank you to Madam Chair
and Ranking Member Castro for holding this hearing today. Thank
you to our witnesses for being here, and I want to say
something about my friend, the former senator of Arizona Jeff
Flake.
Arizona's esteemed former senator Jeff Flake was an
outspoken advocate for normalizing relations with Cuba. During
his time in Congress he was among the American officials to
finally bring American Alan Gross home after five long years in
a Cuban prison.
He worked across the aisle and with the Obama
Administration to restore diplomatic relations with Cuba after
half a century and he founded the bipartisan Cuba Working Group
to push for fewer punitive economic restrictions, which are
scapegoated by the Cuban government to cover its own failures.
Senator Flake believed it's long past time we moved on from
the conflicts of the past, that doing so not only furthered our
shared goal of a free and democratic Cuba, it serves American
interests and he emphasized, quote, ``These aren't just
sanctions on Cubans, they are sanctions on Americans,'' and
that's why we are here today.
Record numbers of migrants from all over the world have
been apprehended along the border in my home State of Arizona
including an unprecedented number of Cubans. Not only are Cuban
migrants making the dangerous 90-mile trip to the U.S. by sea,
many are now making an even longer journey through Latin
America to the U.S.-Mexico border driven by fears of
persecution and economic desperation. In fact, since 2022 4
percent of Cuba's population has migrated to the U.S.-Mexico
border.
Deputy Assistant Secretary Jacobstein and the Biden
Administration has expanded lawful pathways for Cubans to
migrate to the United States including through humanitarian
patrol and family unification programs. We have also started
bilateral talks on migration.
How has this engagement resulted in better U.S.-Cuba
cooperation on undocumented migration?
Mr. Jacobstein. Thank you, Congressman.
We have indeed worked to expand access to safe and lawful
immigration pathways. In January 2023, as I noted, we announced
the CHNV program which has expanded opportunities for Cubans,
and it was essential to include Cubans, many of whom are
fleeing the humanitarian crisis, and so those individuals can
lawfully come to the United States.
The U.S. Embassy in Havana also resumed full immigrant visa
processing in January 2023, and the Department of Homeland
Security resumed processing cases under the Cuban Family
Reunification Parole Program in Havana in August 2022 and
implemented a modernized program in August 2023.
So all of this is critical. I led the delegation--the U.S.
delegation--through migration talks in Havana in November,
which is important. This is an island that's 90 miles away from
us.
We need to be in continual contact on issues that are in
our interest and managing migration is in our national security
interests.
Mr. Stanton. Thank you very much for that answer.
I hope that when the Democrats are in the majority, we hope
next year, that a policy about offering the opportunity for
members outside the committee to appear before the committees
will be granted uniformly.
I think it's just a professional courtesy for our
colleagues. I did want to offer you or request unanimous
consent that Representative Barbara Lee's written comments be
submitted for the record.
[The information referred to]
[GRAPHIC] [TIFF OMITTED] T5925.011
Ms. Salazar. Thank you, Mr. Stanton of the State of
Arizona.
We have a few more minutes before votes are called. So to
your chagrin I will ask a few more questions and then I'm going
to give the same amount of time to the ranking member Mr.
Castro.
So, you know, there is, Mr. Jacobstein, the least thing
that the Cuban regime--what the Cuban regime wants is for
Democrats and Republicans to work together to help the average
Cuban person.
So that's why, as I told you from the beginning of this
hearing, that we are on the same page. We do want to help that
average insignificant Cuban that has no ties to the regime to
have something like the board that I just presented.
So I just want to make that really clear. You and I we're
on the same page. So my question to you is this. How can we
help you?
How can we help this Administration to really help those
small business owners in Cuba, I repeat, that have no contact
or connections with the regime in order to open up a good store
if they want to or to have their own privately owned business?
What can we do together?
Mr. Jacobstein. Thank you very much for that question.
I would encourage you the next time that some of these
private entrepreneurs come to Washington, come to Miami, to
meet with some of these individuals, to talk to them, to hear
about their experience and ways that we can support them.
Ms. Salazar. And we will do that. But then what about if I
can feed you 50 names of 50 people who are trying to have a
small business but they either have not been able to bribe the
government official that needs to give them the license or that
they have a lot of impediments and hurdles to get to what the
Guajiritos or the other La Antilla which is the other bread
station that I just mentioned?
Mr. Jacobstein. I would be very----
Ms. Salazar. If I were to give you names of people that
want to be small business owners in Cuba could you commit to
help those and call Havana and have conversations with Havana
that these people should be included on that list? Could we do
that?
Mr. Jacobstein. I'd be very happy--I'd be very happy to
review any information you provide to us.
Ms. Salazar. No, not just reading. I'm talking about
helping those people that we're going to be feeding you because
now I'm going to make sure that through social media I'm going
to call everyone in Cuba that would like to become a business
owner to go and apply.
Mr. Jacobstein. Thank you. Our Embassy continues to support
the Cuban private sector. I'd be happy to review that list,
share that with our Embassy in Havana to review as well.
Ms. Salazar. But it's not only review the list. It's
working with us and my office to make sure that those people
that have no contact with the Cuban government be able to
obtain the licenses because since the Biden Administration is
so interested in making that sector grow, which I am too, so
then why do not we work together to make the sector grow?
But not just certain individuals. But I do need your help.
I need the help from the State Department and the United States
Embassy in Havana. Could I have that?
Mr. Jacobstein. Thank you. I cannot speak to a list I have
not seen, but in theory we'd love to help individuals who want
support in entrepreneurship.
Ms. Salazar. And do you commit to helping those people that
we're going to provide you?
Mr. Jacobstein. Like I said, I cannot support--to commit to
help individuals on lists that I have not seen, but we'd be
happy to review and work with you.
Ms. Salazar. Thank you. I yield back.
Ranking Member, if you would like to ask a few other
questions.
Mr. Castro. Sure. I wanted to ask you how have China's and
Russia's economic, diplomatic, and military presence in Cuba
changed over the last few years?
Mr. Jacobstein. Yes. No, thank you for that question. I
think it's--I think it's important.
You know, as I mentioned, our work with the private sector
is really important as we continue to curb PRC influence. But
we have seen that some of the PRC promises have not followed
through--they've really not followed through on in a big way.
So we continue to be concerned about this and would love to
work with you. The PRC serves as Cuba's second largest trading
partner after Venezuela but PRC investment in Cuba is limited
and, you know, one example I'd give you a longstanding PRC-Cuba
sugar trade agreement was suspended in 2023 when Cuba couldn't
meet its 400,000 ton yearly agreed quota.
So I think there's a lot of talk about cooperation, but we
do not often see delivery from the PRC on these commitments.
Mr. Castro. And also what's the role of the Cuban diaspora
in the United States in supporting private sector businesses in
Cuba and how has the State Department engaged with the Cuban
diaspora and Cuban Americans in determining these policy
shifts?
Mr. Jacobstein. Thank you, Congressman.
We are consistently in touch with the Cuban diaspora and
welcome opportunities to do that even more so. Former
Congressman Joe Garcia, who I know is in the audience today,
has--and a number of other individuals have worked closely with
independent Cuban entrepreneurs. They brought them to Miami, to
other parts of the United States, to engage more deeply. So we
are very much engaged on this and would love to do even more in
this space.
Mr. Castro. Thank you. I yield back.
Ms. Salazar. All right. Thank you, Ranking Member.
And so I thank the witnesses for their valuable testimony
and the members for their questions. The members of the
subcommittee may have some additional questions for the
witnesses and we will ask you to respond to those in writing.
And now pursuant to committee rules all members may have 5
days to submit new statements, questions, and other materials
for the record, subject to the length limitations.
And without objection the committee adjourns--stands
adjourned. Thank you to both of you for your testimony.
[Whereupon, at 3:28 p.m., the committee was adjourned.]
APPENDIX
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