Today, the Department of State is designating eight entities and three individuals to further the Trump Administration's comprehensive push to end the Cuban regime's malign activities, both in Cuba and across our hemisphere. This action includes imposing sanctions on the Cuban regime's nickel exploitation apparatus and military-industrial complex.
All Department of State targets sanctioned today have been designated pursuant to Executive Order (E.O.) 14404, which authorizes sanctions on foreign persons determined to meet specified criteria related to repression in Cuba and other threats to U.S. national security and foreign policy.
Cuban Military Research and Development
Cuba's military enterprises serve as critical pillars of the regime's defense apparatus, sustaining the armed forces' operational capabilities across a range of industrial and technical functions. Today's designations target these entities and their directors general for the direct role they play in building out Cuba's military capabilities.
The following entities are being designated pursuant to Sec. 2(a)(i)(A) of E.O. 14404 for operating in or having operated in the defense and related materiel sector of the Cuban economy:
- CENTRO DE INVESTIGACION Y DESARROLLO DE SIMULADORES (SIMPRO), a Cuba-based military enterprise involved in developing and manufacturing simulators and training for the Cuban Revolutionary Armed Forces (FAR) and other Cuban government entities.
- CENTRO DE INVESTIGACION Y DESARROLLO NAVAL (CIDNAV), a Cuba-based military enterprise involved in research programs for the Cuban Revolutionary Navy (MGR).
- CENTRO DE INVESTIGACION Y DESARROLLO DE ARMAMENTO DE INFANTERIA (CIDAI), a Cuba-based military enterprise involved in research programs for the development, acquisition, modernization and evaluation of infantry armaments.
- CENTRO DE INVESTIGACION, DESARROLLO Y PRODUCCION GRITO DE BAIRE (GELCOM), a Cuba-based military enterprise involved in the production of electronics and communications products.
The following individuals are being designated pursuant to Sec. 2(a)(i)(E) of E.O. 14404 for being or having been a leader, official, senior executive officer, or member of the board of directors of the Government of Cuba or an entity whose property or interests in property areblocked pursuant to E.O. 14404:
- JOAQUIN FRANCISCO CANCIO MONTEAGUDO is a Senior Colonel in the FAR and is Director General of SIMPRO.
- DIOGLIS PEDRERA ARGUELLO is a Captain in the FAR and is Director General of CIDNAV.
- JULIO HURTADO BETANCOURT is a Senior Colonel in the FAR and is Director General of CIDAI.
Cuban Entities Exploiting Cuba's Nickel Sector
Cuba's nickel sector serves as a critical revenue stream for the Cuban government, generating hard currency from the exploitation of its natural resources, which sustains the regime rather than benefiting the Cuban people. The following entities associated with this exploitation are being designated pursuant to Sec. 2(a)(i)(A) of E.O. 14404 for operating in or having operated in the metals and mining sector of the Cuban economy:
- EMPRESA DE SERVICIOS TECNICOS DE COMPUTACION COMUNICACIONES Y ELECTRONICA (SERCONI), a Cuban state-owned enterprise which provides tools and services to the nickel industry in Cuba.
- EMPRESA DE INGENIERIA Y PROYECTOS DEL NIQUEL (CEPRONIQUEL), a Cuba-based engineering company that executes projects within the Cuban nickel industry and coordinates Cuba's state-run mineral extraction operations.
- CENTRO DE INVESTIGACIONES DEL NIQUEL CAPITAN ALBERTO FERNANDEZ MONTES DE OCA (CEDINIQ), a Cuba state-owned research center which conducts industrial R&D and innovation support for Cuba's nickel sector.
- PINARES S.A., a Cuba-state owned mining company which conducts geological surveying of mineral deposits located in Cuba.
Sanctions Implications
As a result of today's sanctions actions, and in accordance with E.O. 14404 of May 1, 2026, "Imposing Sanctions on Those Responsible for Repression in Cuba and for Threats to U.S. National Security and Foreign Policy," all property and interests in property of the designated persons described above that are in the United States or in possession or control of U.S. persons are blocked and must be reported to the Department of the Treasury's Office of Foreign Assets Control (OFAC). Additionally, all entities that are owned individually or in the aggregate, 50 percent or more by one or more blocked persons are also blocked.
All transactions and dealings by U.S. persons or persons within (or transiting) the United States that involve any property or interests in property of designated or otherwise blocked persons are prohibited unless authorized by a general or specific license issued by OFAC or exempt. These prohibitions include the making of any contribution or provision of funds, goods, or services by, to, or for the benefit of any blocked person and the receipt of any contribution or provision of funds, goods, or services from any such person. Foreign persons that engage in transactions with persons designated pursuant to E.O. 14404-or that operate or have operated in the energy, defense and related materiel, metals and mining, financial services, or security sector of the Cuban economy, as identified in E.O. 14404- are themselves at risk of sanctions. Non-U.S. persons, including foreign financial institutions, should proceed with caution in any dealings with a party sanctioned under this authority. Actions to return assets to a sanctioned party or transfer them to another jurisdiction for potential use by the target expose non-U.S. persons to significant sanctions risk. All property and interests in property of persons that are blocked pursuant to the Cuban Assets Control Regulations (CACR) continue to be blocked. The CACR prohibits persons subject to U.S. jurisdiction from dealing in property in which Cuba or a Cuban national has an interest, unless authorized or exempt.
The power and integrity of U.S. government sanctions derive not only from the U.S. government's ability to designate and add persons to the Specially Designated Nationals and Blocked Persons (SDN) List, but also from its willingness to remove persons from the SDN List consistent with the law. The ultimate goal of sanctions is not to punish, but to bring about a positive change in behavior.
Petitions for removal from the SDN List may be routed through OFAC's Reconsiderations Portal. Petitioners may also refer to the Department of State's Delisting Guidance page.
