CubaPLUS Magazine

Spanish hotel groups Meliá, Iberostar, and Barceló have terminated their operations in Cuba. The withdrawal is a direct result of mounting operational constraints on the island stemming from the latest U.S. sanctions, which now target Cuba's Ministry of Tourism.

A statement released this week by Meliá Hotels International announced that, effective Friday, July 24, the company will cease all operations on the island due to "significant operational, legal, economic, and financial difficulties" arising from the U.S. embargo.

The decision was formally disclosed to Spain’s National Securities Market Commission (CNMV), the country's stock market regulator. The filing details that Meliá’s Portuguese subsidiary, Ilha Bela Gestão Turismo—through which the parent company operates in Cuba under a management contract—has resolved to terminate all hotel management services across its properties on the island.

According to the announcement, the move is a response to "persistent operational, legal, economic, and financial hurdles" affecting Cuba following the embargo enacted by President Donald Trump. Meliá noted that these challenges have made maintaining "even minimum operational stability" unfeasible "both de facto and de jure."

The cessation of operations covers the use of licensed brands, tourist reception services, and the entire local supply chain associated with provisioning the hotels.

Meliá is currently assessing the financial impact of the decision, including a potential write-down of its Cuban assets' book value. The company plans to finalize these figures in its first-half financial results. Meanwhile, its Portuguese subsidiary is working to ensure an orderly transition to minimize the impact on employees, suppliers, and clients.

Similarly, Iberostar Hotels & Resorts has concluded its operations in Cuba, a wind-down process that began on June 1. Despite ending its commercial activities, the company stated it will continue to support its local teams during the transition phase.

Barceló Hotel Group has also exited the Cuban hospitality market, where it previously operated two properties.

The departure of these three major hotel chains represents a serious blow to Cuban tourism and, consequently, to the national economy. However, as they have in the past, Cuban authorities and tourism sector workers are expected to face this challenge head-on, remaining committed to driving the recovery of this vital economic sector.