China Eximbank provides preferential buyer's credit for acquisition of YTO brand medium and high power tractors

On February 22, 2016, China Eximbank and the Cuba Ministry of Finance and Prices signed preferential buyer's credit (PBC) agreement for the YTO Tractor Acquisition Project. The face value and terms of the PBC are unknown. The purpose of the project is to facilitate the acquisition of YTO brand medium and high power tractors and thereby increase local rice production. As of 2018, the Government of Cuba had received 92,000 YTO brand tractors.

Additional details

A 2017 annual report from YTO, indicates that there may be more than one Cuban state enterprise involved in buying tractors from the Chinese company, including Cuba TRANSIMPORT, Cuba TECNOIMPORT, AZUIMPORT, QUIMIMPEX, CUBA ENERGOIMPORT, IMECO, CUBA CITRICOS CARIB, UBA EMPRESA IMPORTADORA, and EMIAT. Cuba TECNOIMPORT was the client with the highest ending balance that year. According to a consolidated balance sheet from December, 31, 2019, Cuba TECNOIMPORT had a balance of 24,922,379.40 RMB indicating that the project may still be in the implementation stage. One source says 486 tractors were provided to Cuba (See: ACTUALIZACIÓN TÉCNICA Y REGISTRAL DE TRACTORES, COSECHADORAS AUTOPROPULSADAS, IMPLEMENTOS, MÁQUINAS Y OTROS AGREGADOS. 2016). This project appears to be different from the loan captured in Project ID#72746. According to a Chinese government source, two loans and one PBC agreement were signed that day for the purchase of tractors (see: http://cu.mofcom.gov.cn/article/todayheader/201602/20160201263974.shtml). A Cuban source says the loan captured in Project ID#72746 is the 4th tranche -- and a 5th tranche is in the works -- so we know that there are multiple facilities being used for the same goal (see https://cubainformacion.tv/cuba/20160223/67367/67367-banco-chino-concede-nuevo-credito-a-cuba-para-compra-de-tractores-y-trenes).”

Number of official sources

7

Number of total sources

7