President Trump signed a raft of Executive Orders (E.O.) in the initial days of his new administration, several of which relate to sanctions.  Here is an initial run-down:   

Designating Cartels as Foreign Terrorist Organizations

On January 20, the President signed an executive order that creates a process for cartels and “other transnational organizations such as Tren de Aragua (TdA) and La Mara Salvatrucha (MS-13)” to be designated as Foreign Terrorist Organizations (FTO) or Specially Designated Global Terrorists (SDGT). This E.O. does not make any designations, but rather requires the Secretary of State to make recommendations in 14 days regarding the designation of “international cartels” or “other transnational organizations” as FTOs or SDGTs.

Sanctions Regarding the International Criminal Court

Also on January 20, the President signed an executive order rescinding a long list of executive orders and actions by the prior Administration (the Rescission E.O.). Among other actions, the Rescission E.O. rescinds Executive Order 14022 of April 1, 2021, which terminated the first Trump Administration’s sanctions program targeting the International Criminal Court (ICC).  The new action solely rescinds former President Biden’s termination of the program. Thus far, President Trump has not taken affirmative steps to re-establish the ICC sanctions program.   

Sanctions Regarding Peace, Security, and Stability in the West Bank

The Rescission EO also rescinded Executive Order 14115 of February 1, 2024, which authorized sanctions on persons undermining peace, security, and stability in the West Bank. This action terminates the West Bank sanctions program and will result in the de-listing of persons designated under that authority.

Sanctions Regarding Cuba

In the last week of his presidency, former President Biden took several actions to reduce sanctions pressure on Cuba. The Recission EO reverses these actions. 

First, Biden removed Cuba from the list of State Sponsors of Terrorism. The Recission EO rescinds Biden’s presidential memorandum certifying Cuba’s removal from the SST list. However, designating a state as an SST requires specific determinations and President Trump has not yet announced additional steps to re-designate Cuba as an SST. 

Second, Biden withdrew National Security Presidential Memorandum 5 (NPSM-5), which among other things established the Cuba Restricted List that identified entities controlled by, or acting on behalf of, the Cuban military, intelligence, or security services or personnel, and imposed heightened restrictions on such entities. The Rescission EO rescinds Biden’s withdrawal of NSPM-5. 

Separately, Biden also suspended Title III of the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996 for 6 months starting January 29, 2025. Title III provides a private cause of action for certain owners of claims to property confiscated by the Cuban government against any entity that is “trafficking” in that confiscated property. This provision was routinely waived by successive presidents until President Trump allowed it to come into effect in 2019.  The Recission E.O. does not mention this action and thus appears to leave the 6-month suspension of Title III in place. Absent further action by President Trump, the waiver will expire in 6 months.   

Re-Designation of the Houthis as an FTO

In January 2021, President Trump designated Ansarallah, also known as the Houthis, as a foreign terrorist organization. The Biden Administration reversed that designation in February 2021, citing the impact on the dire humanitarian situation in Yemen, but re-designated the Houthis as a specially designated global terrorist (SDGT) in January 2024 in response to ongoing attacks on ships in the Red Sea. 

On January 22, President Trump released an executive order that requires the Secretary of State to report to the President within 30 days “concerning the designation of Ansar Allah as a foreign terrorist organization.”  The E.O. also provides that “[w]ithin 15 days” after submitting that report, “the Secretary of State shall take all appropriate action, consistent with 8 U.S.C. 1189, with regards to a designation of Ansar Allah as a terrorist organization.” Like the cartel E.O., this E.O. does not make any designations directly, but rather calls for the Secretary of State to make a recommendation on the designation and implement that recommendation.

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Photo of Erik Woodhouse Erik Woodhouse

Erik Woodhouse is a partner in Crowell & Moring’s Washington, D.C. office and a member of the firm’s International Trade and Financial Services groups, where he provides in-depth experience and practical solutions on sensitive economic sanctions and anti-money laundering matters, informed by his

Erik Woodhouse is a partner in Crowell & Moring’s Washington, D.C. office and a member of the firm’s International Trade and Financial Services groups, where he provides in-depth experience and practical solutions on sensitive economic sanctions and anti-money laundering matters, informed by his experience in private practice and in government at the Department of the Treasury and the Department of State.

Erik works with U.S. and foreign clients operating across borders on all aspects of these regimes, including developing and assessing compliance programs, advising on complex statutory and regulatory requirements, and leading companies through internal and government investigations. He has worked with major manufacturing and tech companies with global operations, multinational banks, investment funds and other financial services firms, and digital assets and virtual currency companies, collaborating with Crowell’s cross-disciplinary team that comprises former senior regulators, federal prosecutors, and in-house counsel.

Prior to joining Crowell, Erik served as Deputy Assistant Secretary of State for Counter Threat Finance and Sanctions at the Department of State, where he played a key role in the Department’s policy development and implementation related to all U.S. country-based sanctions programs and a range of global programs. Erik worked with counterparts across the executive branch to establish and implement new sanctions programs, coordinated U.S. sanctions policy with foreign governments, and engaged with private sector stakeholders on a range of U.S. sanctions priorities. Erik’s prior government experience also includes service at the Department of the Treasury’s Office of International Affairs.

Earlier in his career, Erik worked as a project finance attorney and litigator, as a law clerk for the Honorable M. Margaret McKeown of the U.S. Court of Appeals for the Ninth Circuit, and as a research fellow at Stanford University’s Program on Energy & Sustainable Development.

Photo of Edward Goetz Edward Goetz

Edward Goetz is the Director for International Trade Services in Crowell & Moring’s Washington, D.C. office. Edward leads the firm’s international trade analysts providing practice support to the International Trade Group in the areas of customs regulations, trade remedies, trade policy, export control…

Edward Goetz is the Director for International Trade Services in Crowell & Moring’s Washington, D.C. office. Edward leads the firm’s international trade analysts providing practice support to the International Trade Group in the areas of customs regulations, trade remedies, trade policy, export control, economic sanctions, anti-money laundering (AML), anti-corruption/anti-bribery, and antiboycott. He has extensive government experience providing information and interpretive guidance on the International Traffic in Arms Regulations (ITAR) concerning the export of defense articles, defense services, and related technical data. He also assists attorneys with matters involving the Export Administration Regulations (EAR), economic sanctions, AML, anti-corruption/anti-bribery, and trade remedies.