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An unprecedented wave of abandonments is shaking the Cuban tourism sector just hours before the deadline set by the Trump administration for foreign companies to sever their ties with GAESA, the military conglomerate that controls tourism on the island.
The Executive Order 14404, signed by President Donald Trump on May 1, 2026, established secondary sanctions for foreign companies with business ties to GAESA and set June 5 as the deadline to sever those ties, under the threat of being excluded from the U.S. financial system.
The hotel chains that are leaving Cuba
Meliá Hotels International announced this Wednesday the immediate cessation of its operations in 15 hotels in Cuba, becoming the latest major Spanish chain to leave the island.
The Mallorca-based chain was the largest foreign operator in Cuba, with approximately 33 hotels and about 14,000 rooms, and reported losses of four million euros in its Cuban operations in 2024, with an average occupancy rate of 34.1% in the first quarter of 2026.
In its statement to the National Securities Market Commission, Meliá acknowledged that "the vast majority of hotels are currently closed and inactive due to the energy problems and decline in demand that the Republic of Cuba has been experiencing."
Iberostar confirmed on Tuesday that it has ceased operations and marketing for 12 of its 18 hotels in Cuba since June 1, all linked to Gaviota/GAESA, describing the situation as "critical and complex."
Among the hotels abandoned by Iberostar is the Selection La Habana, the tallest hotel building in Cuba with 42 floors, inaugurated in March 2025 with an investment of 200 million dollars.
The Canadian Blue Diamond Resorts confirmed its departure effective May 30, leaving behind 62 hotels and over 12,900 rooms under brands such as Royalton, Memories, Starfish, Mystique, and Resonance.
The company attributed its decision to "a combination of factors, including reduced or suspended flights to Cuba, operational challenges affecting the destination, and a deterioration in hotel operating conditions."
Archipelago International, the Southeast Asian hotel giant with over 200 establishments worldwide, announced its permanent departure from six hotels in Cuba under its Aston brand, located in Havana, Varadero, Cayo Coco, and Holguín.
Airlines are also reducing flights to Cuba due to the crisis
The collapse of air connectivity precedes and exacerbates the hotel exodus.
Iberia suspended its direct route from Madrid to Havana this Monday, a decision announced on April 13 and attributed to a shortage of Jet A-1 fuel and a decrease in demand, although the possibility of resuming the route in November remains open.
The airline from the IAG group described the measure as a suspension that "affects exclusively Cuba, due to its exceptional situation."
World2Fly, the airline of the Iberostar group, operated its last flight from Madrid to Havana on May 20, while Plus Ultra withdrew its service on the Cuba-Spain route, leading Cubana de Aviación to cancel its sole weekly connection to Madrid.
At least 11 airlines have suspended flights to Cuba in 2026 —Air Canada, WestJet, Sunwing, Air Transat, LATAM Perú, Magnicharters, Air France, Iberia, Rossiya, Nordwind, and Turkish Airlines— with over 1,700 flights canceled in total.
Air Europa is now the only Spanish airline with direct flights to Cuba, operating three flights per week.
Cuban tourism was already in free fall: between January and April 2026, the island received only 328,608 international visitors, a drop of 55.8% compared to the same period in 2025, in a sector that in 2025 recorded only 1.8 million tourists, the lowest since 2002 and less than half of the peak of 4.7 million reached in 2018.
The case of Sherritt in Cuba
The Canadian mining company Sherritt International also announced the dissolution of all its operations in Cuba, due to the new sanctions imposed by President Donald Trump against entities linked to the regime.
However, it later reported on a preliminary agreement with Gillon Capital, a firm run by Texas entrepreneur Ray Washburne, which could grant it control of 55% of the company through a private placement.
The operation involves the issuance of a warrant exercisable for nine months and still requires approval from U.S. authorities and the Toronto Stock Exchange.
The company decided to leave Cuba despite the regime owing it at least 344 million dollars, including about 277 million related to the joint venture Moa Joint Venture, which focuses on the production of nickel and cobalt. Sherritt will also exit its stake in Energas S.A. and other energy projects on the island.
Pressure on GAESA opens the door to new players in tourism in Cuba
The departure of foreign hotel chains could be just the beginning of a deeper transformation in the Cuban tourism sector.
The Trump administration's pressure on GAESA not only aims to economically isolate the military conglomerate, but it could also create conditions for a future opening to American businesses.
Marriott, Hilton, Hyatt, Wyndham, Choice Hotels, and Best Western are among the companies with the capacity and potential interest to operate on the island if the regulatory landscape changes.
American Airlines and Delta Air Lines could join them with an increase in flights to Cuba. Some analysts indicate that the companies Airbnb and Expedia would also make a strong entry into the island.
The movement suggests that Washington not only intends to punish ties to GAESA, but also to redefine who will control one of Cuba's main sources of revenue.
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