What is the difference between using (cool) and (cute) in translation from Arabic to English?

Each word serves a number of contexts in which they apply. If, for example, we mean "لطيف" and "رائع", it would be like this:

"لطيف": Would serve the context of when the person acts innocent, helps and smiles with a bit of shyness(Cute).

"رائع": Would refer to the context of when a person shows skills and impresses his audience(Cool).

Some other context could mean different things like "بارد" could translates to "cool"

I will be glad to help further if you need.

I am not sure in which context you have the two words in mind. It would be helpful if you specify it more as in which context they come in Arabic.

All I can do is to refer you to the following link, which I think it is helpful in understanding the difference between cool and cute and how they are used as adjectives:

Check this link please: http://the-difference-between.com/cool/cute