President & CEO Column
Dear Friends and Supporters of the Institute of the Americas,
The first quarter of 2026 has made clear that the Americas are entering a period of profound geopolitical realignment. The United States’ military actions against Iran– and uncertainty surrounding global energy flows through the Strait of Hormuz have triggered the largest supply disruption in the history of the global oil market according to the International Energy Agency, prompting its recent call for immediate actions to reduce fossil fuel demand including working from home, encouraging public transport and reducing air travel among other measures. Recent developments in the Middle East elevate the strategic importance of our hemisphere. Here, energy security, supply chain resilience, and regional cooperation are no longer long-term aspirations; they are immediate imperatives shaping U.S. engagement across the Americas.
At the same time, U.S. policy within the hemisphere is evolving in complex and sometimes contradictory ways. In Venezuela, Washington has moved to ease sanctions and actively encourage foreign investment in the energy sector, including through new licensing frameworks and support for upstream development, in part to stabilize global oil markets. This pragmatic approach reflects Venezuela’s renewed relevance in a constrained global energy environment, reinforced by the country’s new hydrocarbons law designed to attract international capital. At the same time, the country’s prospects for a democratic transition remain in question as the Maduro regime is effectively still in charge, frustrating many members of the Venezuelan diaspora.
Conversely, U.S. policy toward Cuba has intensified under a “maximum pressure” approach aimed at forcing the Cuban government to surrender or fall. This has contributed to a deepening energy and humanitarian crisis marked by fuel shortages, widespread blackouts, economic deterioration and growing public health concerns. While limited steps have been taken to allow certain oil flows to support the Cuban people, broader tensions remain unresolved and continue to shape regional perceptions of U.S. policy. At the same time, Oscar Pérez-Olva Fraga, Cuba’s vice prime minister has recently signaled that their government is willing to allow Cuban nationals living abroad to invest there as well as removing impediments for U.S. companies and foreign investors to invest there, although U.S. law still prevents trade and investment under the existing economic embargo.
Overlaying these dynamics is growing uncertainty around the renewal of the United States–Mexico–Canada Agreement (USMCA). As North America becomes more central to global energy and manufacturing resilience, the trade pact’s review process is increasingly being framed not just as a trade exercise, but as a strategic imperative—albeit one likely to involve more complex and difficult negotiations during the coming months. As of this writing, review discussions have begun but are currently occurring bilaterally. According to US Trade Representative Greer, “…Canada is behind on this with Mexico.” Here, if the conflict with Iran continues, we can expect inflationary pressures to make the U.S. more likely to press Canada and Mexico for tighter regional content rules, stronger enforcement, and broader concessions in the name of economic security.
Against this backdrop, the Institute of the Americas continues to advance practical, solutions-oriented multi-stakeholder engagement. Our recent report, Powering 2026, underscores the urgent need to balance reliability, affordability, and sustainability in energy systemss across the Americas. Also, we convened a timely webinar on Venezuela’s new hydrocarbons law and released a podcast exploring the country’s uncertain future. In the area of the environment, IOA participated in a regional forum on sustainable maritime transport, while our economic competitiveness work included the release of Critical Minerals: The Western Hemisphere’s Opportunityand IOA has begun work tolaunch the CaliBaja North American Leadership Academy later this year.
We are also pleased to welcome Shane Christensen andLuis Guillermo Plata to our Board of Directors, and Doug Liden as an IOA Environmental Non-Resident Fellow.
Looking ahead, we invite you to join us at our 2026 Madrid Energy Conference (April 27–29) and La Jolla Energy Conference (October 13–15), where these issues will be front and center.
In a moment of global uncertainty, IOA remains committed to strengthening hemispheric dialogue and advancing actionable solutions. Here, our work is made possible thanks to your collective support of the Institute’s mission to serve as a catalyst for promoting economic development and integration, emphasizing the role of the private sector, as a means to improve the economic and social well-being of the people of the Americas.
Sincerely,
Richard Kiy
President & CEO
Institute of the Americas