Pemex to Uphold Cuba Oil Deal Amid US Threats

Mexico's national oil company, Pemex, has affirmed its commitment to continue supplying oil to Cuba, defying growing pressure from the administration of U.S. President Donald Trump to sever ties with the island nation.

Pemex CEO Victor Rodriguez Padilla confirmed that the company has a contract to deliver refined fuel to Cuba running from 2023 and intends to honor it. According to Rodriguez, Pemex will maintain oil shipments as long as there is available crude.

Mexico's Official Stance on Shipments

The announcement follows recent statements from Mexican President Claudia Sheinbaum, who last week acknowledged a temporary suspension of oil exports to Cuba. However, she attributed the pause to general supply fluctuations rather than political pressure from Washington.

"Pemex makes decisions in the contractual relationship it has with Cuba," Sheinbaum stated, emphasizing Mexico's autonomy. "Suspending is a sovereign decision and is taken when necessary."

Escalating Pressure from Washington

The situation has intensified following an executive order signed by President Trump threatening punitive tariffs against any nation, including Mexico, that supplies oil to Cuba.

On Monday, Trump directly addressed the issue, telling reporters, "Mexico is going to cease sending them oil," and referred to Cuba as a "failed nation."

Mexico's Role as a Key Energy Supplier

Following the collapse of Nicolas Maduro's government in Venezuela, Mexico has emerged as a crucial energy lifeline for Cuba, which is grappling with a severe energy crisis.

Throughout 2024 and early 2025, Pemex exported between 17,000 and 20,000 barrels per day (bpd) of crude and refined products to the country. While the Mexican government has often framed these shipments as humanitarian aid, their value exceeded $1 billion by late 2025. A significant portion of these deliveries was managed through the subsidiary Gasolinas Bienestar.

Financial Scrutiny and Debt Concerns

The terms of these oil shipments have drawn scrutiny, particularly due to their subsidized nature and their effect on Pemex's own financial stability. The company has been supplying Cuba on what appear to be credit or service-exchange terms, even as it faces high debt levels with its own suppliers.

While officially logged as accounts receivable, these transactions are widely seen as aid, carrying a substantial risk of becoming unpayable and adding to Pemex's financial strain.