The State Department on Friday downplayed the idea that taking Cuba off the state sponsors of terrorism list means the U.S. is about to start shipping Cuba arms or other sensitive goods, and instead said the move is mostly “reputational.”
Secretary of State John Kerry announced Friday that Cuba was off the list. The decision was made largely because Cuba was insisting that it cannot agree to normalize relations with the United States until it’s removed from the list.
Taking Cuba off the list also has other implications. Countries on the state sponsors of terrorism list face a ban on U.S. exports of arms and civilian goods with military applications, a ban on U.S. economic aid, and automatic U.S. opposition on loans to Cuba from international monetary organizations.
However, State Department spokesman Jeff Rathke said that “most” transactions with Cuba would still be blocked because of the embargo that still exists against Cuba, which is in the form of a law passed by Congress and other restrictions that have been put in place for other reasons.
“The lifting of the state sponsor of terrorism designation does not lift the embargo, just to put that kind of bluntly,” said Rathke during the Friday press briefing. “In addition to the state sponsor of terrorism designation, there is a web of restrictions and sanctions that have been applied over the years, and some of them are unrelated to the state sponsor of terrorism designation.”
As a result, Rathke said the biggest effect of the decision to take him off the list will mostly be “reputational.”
“There are other aspects, including, you know, reputational ones, and so forth,” answered Rathke. “So the listing as a state sponsor of terrorism would have implications of that sort as well.”
As examples, he said the Cuban Assets Control Regulations will continue to prohibit most trade with Cuba, including transactions with the government.
While taking Cuba off the list means the island nation would no longer be disqualified for foreign aid under one section of the Foreign Assistance Act, there are other restrictions in the Act and other statutes that will continue to restrict foreign assistance to Cuba, he said.
Rathke also said the change means State would not have to notify Congress 30 days before export of dual-use goods, but noted that Cuba is still subject to an embargo that generally prevents this trade.
Despite State’s explanation, some Republicans have said it’s a big mistake for the U.S. to take Cuba off the list, especially since Cuba has offered nothing in return. Many Republicans say the U.S. should have used the terror list designation as something to trade in return for enhanced human rights protections in Cuba, or steps toward democracy.
“The Obama administration has handed the Castro regime a significant political win in return for nothing,” said House Speaker John Boehner, R-Ohio.
Rep. Ileana Ros-Lehtinen, R-Fla., said the decision is flawed because Cuba still has links to “repressive regimes around the world such as Iran, Syria and Russia.
