Argentina’s YPF has denied fuel to Cubana Airline, citing the US embargo as the reason, leading to the closure of a critical air route.

Late on Tuesday, Cuba’s foreign ministry announced that Argentina’s oil company YPF has declined to supply fuel to Cubana airline, leading to the closure of a nearly four-decade-old air route between Havana and Buenos Aires. Earlier in April, Cuba disclosed cancellations of several flights to Buenos Aires due to a fuel supply disagreement. Despite efforts to negotiate a resolution involving high-ranking officials and YPF, an agreement remained elusive.

The Argentine government defended its position by referencing the U.S. trade embargo on Cuba, a stance that the Cuban government argues breaches both Argentine and international laws. The embargo, established after Fidel Castro’s revolution in 1959, complicates Cuba’s financial dealings and acquisitions due to a complex network of U.S. legal restrictions, heightening risks for foreign entities doing business with Cuba.

This situation indicates a potential souring of diplomatic ties under Argentina’s current president, Javier Milei, known for his far-right libertarian views and a stance that appears to favor the U.S. Unlike his leftist predecessor Alberto Fernandez, who nurtured a strong relationship with Cuba, Milei has adopted a less friendly approach towards leftist partners in the region and beyond, such as Brazil and China. This shift marks a significant change in direction from the previous administration, under which Cubana’s flights to Buenos Aires had operated without major disruptions despite the sanctions.

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