Meliá to close all 34 Cuba hotels Friday, ending 36-year run

Meliá Hotels International Melia Hotels International, S.A. announced on Tuesday that it will cease all operations across its 34 Cuban hotels on Friday, July 24, 2026, completing a full withdrawal from the island after 36 years of continuous presence. The decision, communicated to Spain's National Securities Market Commission (CNMV) through its Portuguese subsidiary Ilha Bela Gestão e Turismo, marks the largest single departure by a foreign hotel operator from Cuba.cubaheadlines+2

In its regulatory filing, the company cited "significant operational, legal, economic, and financial challenges" that have "persistently" prevented "any minimal operational stability in its activities" on the island. The exit encompasses the complete halt of brand licensing, inbound tourist operations, and local supply chain management.cubaheadlines

A Two-Stage Withdrawal

The closure completes a process that began on June 3, when Meliá stopped managing 15 of its Cuban hotels linked to GAESA, the military conglomerate that controls much of the island's economy. That initial pullback came in response to Executive Order 14404, signed by President Donald Trump on May 1, 2026, which designated GAESA as a sanctioned entity and set a June 5 deadline for foreign companies to sever ties with the group or face exclusion from the U.S. financial system.reuters+4

The decisive blow came on July 13, when the Trump administration expanded sanctions to include Cuba's Ministry of Tourism (MINTUR) and nine additional state entities, according to Al Jazeera and the Miami Herald. As the Straits Times reported, the move extended U.S. restrictions to "virtually 100 per cent of hotel operations on the island", leaving Meliá no viable path to sustain its remaining 19 properties.straitstimes+2

Meliá CEO Gabriel Escarrer Jaume had signaled the uncertainty in recent weeks: "I don't know, the truth is we don't know what's going to happen. We are following the instructions of the U.S. State Department".cubaheadlines

A Tourism Sector in Free Fall

Meliá's departure caps a wave of foreign hotel operator exits from Cuba. Iberostar ceased managing 12 of its 18 hotels linked to GAESA as of June 1, while Canadian chain Blue Diamond Resorts confirmed a complete withdrawal on May 31, affecting 62 hotels and more than 12,900 rooms. In total, roughly 60 luxury hotels lost foreign management in a matter of days around the June 5 deadline.havanatimes+1

Cuba's tourism numbers tell a stark story. The island welcomed just 1.81 million international visitors in 2025, the lowest figure since 2002 and less than half the record 4.7 million in 2018. Hotel occupancy fell to 18.9% that year. In the first four months of 2026, tourist arrivals dropped by more than 50% year-over-year to just 328,608. By July, only four to five of Meliá's properties remained open.cubaheadlines

Total losses for Spanish companies operating in Cuba are estimated between 80 and 100 million euros. Cuba's government under Miguel Díaz-Canel has threatened legal action for breach of contract, but Meliá has pointed to the European Union's Blocking Statute, which prohibits European companies from complying with U.S. extraterritorial sanctions, as its defense.cubaheadlines

Despite ruling out an immediate return, Escarrer Jaume did not close the door entirely. Asked whether Cuba had a future in tourism, he replied: "I believe it does, without a doubt".cubaheadlines