Tourism to Cuba Now in Downward Spiral as Trump Cuts Fuel Supply

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Craig said she had second thoughts about the trip, concerned that much of her money ends up in the coffers of the authoritarian government. But she cited the people on the island as reason for her return.

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“The workers at the hotel are supporting extended families, and they are so grateful for people who continue to travel there,” she said. “They are barely making ends meet and they definitely would not if tourism continues to drop.”

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Canada remains the biggest source of tourism, followed by Cubans living abroad and Russians, the government said.

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Cuba blames the tourism slump on long-running US economic sanctions that raise costs and make it difficult for the island to import goods.

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In December, Economy and Planning Minister Joaquín Alonso told lawmakers tourism was projected to pull in $917 million in 2025, short of the $1.2 billion target. Still, the industry is one of the main pillars of the service sector, which accounts for about 70% of gross domestic product.

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The Trump administration has made it more difficult for US citizens to travel to the island, and tighter immigration policies mean Cubans with green cards are wary of going home to visit, Spadoni said.

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Washington is punishing foreigners, too. Europeans who travel to Cuba, for example, are excluded from the Electronic System for Travel Authorization, which gives them the right to enter the US without a traditional visa. 

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The tourism dearth makes Cuba a regional outlier. Places like the Dominican Republic and Puerto Rico, as well as beach destinations in the Greater Antilles, recently reported record-breaking tourism numbers. And many of the smaller islands throughout the Caribbean are seeing strong demand. 

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James Hepple, managing director of Tourism Analytics, which studies Caribbean travel trends, said it’s no surprise that Cuba is getting beat by its competition. “Their hotels may be physically attractive and they’re on beautiful beaches, but the business model doesn’t work,” he said. 

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The army controls most of the tourism industry, but has been overbuilding and is squeezed for cash, which means property maintenance and food quality are slipping. “The money isn’t coming in so they can’t invest, so there’s this downward spiral,” he said. 

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Perhaps more worrisome, Hepple said, are signs that petty crime is ramping up on an island long renowned for its security. “I used to visit Cuba and you felt very safe there,” he said. “Now that’s not the case. Street crime is up and harassment of tourists is up, because everyone needs a dollar.”

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Darren Toderan, 63, from Vancouver, has been traveling to Cuba since 1993 and has made friends across the island. While he stays at a resort on the southern coast, he makes a point to visit families in town and take them food, medicine and other supplies. He’s witnessed how they go days without electricity and lack just about everything. Like Craig, he always travels with extra supplies to give away. 

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“Do I want to support the communist regime? No,” he said. “But without tourists the population suffers even worse.”

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