Spanish hotel chain Melia shutters operations at 15 Cuba hotels

HAVANA

A tricycle passes in front of the Gran Hotel Bristol in Havana on June 3, 2026. (AFP)

Spain's largest hotel chain Melia said on June 3 that it would cease operating 15 hotels in Cuba, joining other foreign firms that have cut ties with the island's military conglomerate GAESA under pressure from Washington.

The company cited geopolitical, social, legal and economic circumstances in Cuba for its decision to withdraw from the 15 hotels in manages in the country with GAESA

Melila, one of the largest foreign hotel operators in Cuba, did not refer to the other 19 hotels it operates in Cuba in partnership with the Tourism Ministry.

"The decision has been taken from a deep sense of corporate responsibility and is the result of a combination of circumstances beyond the company's capacity to manage or influence," the company said in a statement.

Melia follows Spanish hotel chain Iberostar and Canada's Blue Diamond, both of which recently announced plans to halt tourism operations in Cuba as the island's tourism sector struggles under pressure from Washington.

It said the financial impact of its decision would be limited because the "vast majority" of the 15 hotels were currently closed due to power shortages and a drop in tourist numbers.

Melia and Iberostar were among the first Spanish hotel groups to establish a presence in Cuba after the Caribbean nation opened its tourism sector to foreigners in the 1990s, hoping to ease the economic crisis triggered by the collapse of the Soviet Union.

As US President Donald Trump openly muses about seizing control of the island, his administration has targeted GAESA, a major player in the Cuban economy.

An executive order issued on May 1 froze the conglomerate's US assets and penalised foreign companies that work with it.

These companies have until Friday to modify their activities, according to the US Office of Foreign Assets Control (OFAC).

If not, sanctioned companies could have their assets frozen or encounter difficulties in accessing the international financial system.

US Secretary of State Marco Rubio, a Cuban American, recently accused Cuban leaders of corruption and theft through GAESA.

Cuba's economic crisis has escalated since January, when the United States conducted a military raid that removed leftist leader Nicolas Maduro from power in Venezuela.

Without Caracas as a source of oil, Cuba has struggled to keep electricity on and food and medicine in stock.

In response, several countries, including Canada, have issued travel advisories and major airlines including Spain's Iberia have cut service to the country.