CMA CGM and Hapag-Lloyd halt Cuba bookings due to new US sanctions, impacting up to 60% of the island's shipping traffic, reports Reuters.
French carrier CMA CGM and German liner operator Hapag-Lloyd have halted bookings to and from Cuba following a new US sanctions order that widened compliance risks for foreign companies, reported Reuters.
The move follows Executive Order 14404 signed by US President Donald Trump on May 1 and guidance from OFAC on May 7.
The measures increase sanctions risk for foreign persons involved in Cuban sectors including energy, defense, metals and mining, financial services, and security.
Hapag-Lloyd stated that it had temporarily suspended the acceptance of new bookings to and from Cuba while assessing whether services can continue and under what conditions.
CMA CGM confirmed it had suspended bookings to or from Cuba until further notice in response to the US executive order.
The suspension by the two carriers could affect as much as 60 percent of Cuba's shipping traffic by volume.
OFAC has set a wind-down period through June 5 for certain dealings involving Grupo de Administracion Empresarial SA, or GAESA, and entities majority-owned by it.
