This article looks at the business prospects for Canadian firms resulting from a gradual easing of US economic sanctions against Cuba. In the short term, the status quo on the embargo will mean little change for Canadian commercial interests. In the medium term, the removal of certain embargo provisions like the travel ban should provide a fertile ground for trade and investment. In the long term, once the whole embargo is finally lifted, Canadian companies should have the same competitive advantages in Cuba they already enjoy in Latin America, and especially in the Caribbean region. In general, traders will suffer more than investors from fierce US competition, but there should be growing opportunities in many business areas. Aggressive credit policies, innovative ways to acquire a greater knowledge of the Cuban market, and supply-chain integration are among the key strategies that must be developed to overcome challenges and fully exploit these opportunities. © 2013 Wiley Periodicals, Inc.