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Russia Introduces Moskvitch Taxis in Cuba Amid New Investment Deals During Crisis

Tuesday, April 8, 2025 by Ava Castillo

In a bold move to strengthen its ties with Cuba, Russia has unveiled a series of new agreements that include the supply of 100,000 tons of oil, the assembly of Russian vehicles on the island, and the launch of a taxi service in Havana featuring 50 Moskvitch cars. These agreements come at a critical time for Cuba's economy, plagued by a severe energy crisis that leads to power outages lasting over 20 hours. The Cuban populace struggles daily with food preparation and transportation issues due to fuel shortages, among other hardships.

Russian Deputy Prime Minister Dmitry Chernyshenko led the 22nd session of the Russia-Cuba Intergovernmental Commission for Economic-Commercial and Scientific-Technical Collaboration in Havana this Friday, where 17 cooperation agreements were signed. During the meeting, Chernyshenko confirmed that Moscow has extended a state loan to Cuba and that 12 investment projects have already begun in key sectors such as transportation, energy, food, and technology.

First Russian Car Assembled in Cuba and Taxi Service Plan

One of the standout announcements was the introduction of a taxi service using Moskvitch vehicles in Cuba's capital, a plan initially revealed in November 2024. "Soon, we will move to practical implementation of a taxi service in Havana with the arrival of 50 Moskvitch vehicles," Chernyshenko stated. The official also participated in the launch ceremony for the first Russian vehicle assembled in Cuba, a UAZ model produced by the local company EISA in collaboration with Russian firm ECHO-Export SRL.

This project was formalized during the 2024 Cubaindustria Convention. In its initial phase, the project aims to produce Patriot and Pickup models, with plans to later manufacture light cargo vehicles from the Profi line.

Russian Oil: Collaboration Amid Crisis

Power outages have been a major cause of recent protests against the Cuban government. Responding to President Miguel Díaz-Canel's call, Russia has pledged to deliver 100,000 tons of oil as part of the state loan mentioned by Chernyshenko, though details of the agreement remain undisclosed. Additionally, Russia reaffirmed its support in the crucial Jaruco oil extraction zone to combat Cuba's ongoing energy crisis. Official figures indicate that bilateral trade reached $375 million in 2024, positioning Russia among the top ten commercial partners of the island.

High-Level Meetings and Strategic Alliances

Chernyshenko was welcomed at the Palace of the Revolution by Cuban leader Miguel Díaz-Canel, who described the meeting as "very productive" and emphasized that the agreements demonstrate the "intensity of strategic ties" between the two nations. The signed agreements cover sensitive areas such as health, higher education, urban planning, geodesy, cartography, and artificial intelligence. They also include plans for scientific, agricultural cooperation, and educational exchange projects.

Cuban Deputy Prime Minister Ricardo Cabrisas highlighted during the intergovernmental session that having strategic allies like Russia is "essential" for advancing the macroeconomic stabilization and development program through 2030, aiming for tangible results in the short term.

Key Insights into Russia-Cuba Agreements

What is the significance of Russia's investment in Cuba?

Russia's investment signifies a strengthening of strategic ties with Cuba during a time of economic crisis, aiming to support key sectors like transportation and energy.

How will the Moskvitch taxi service impact Havana?

The Moskvitch taxi service is expected to enhance transportation options in Havana, addressing some of the challenges faced by residents due to fuel shortages.

What sectors are targeted by the Russia-Cuba agreements?

The agreements target vital sectors such as transportation, energy, food, technology, health, and education, aiming to bolster Cuba's economic stability.

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