Cuba’s tourism sector grapples with an acute fuel shortage, forcing resorts to shut and guests to relocate amid U.S. sanctions tightening oil supplies. This crisis threatens a key economic lifeline, with arrivals already plummeting.
Travelers face disrupted plans, while the government scrambles to ration resources. Recent reports from Cayo Coco highlight the human toll on workers and visitors alike.
Key Highlights
- Resort Closures: Mojito Cayo Coco and Tryp Cayo Coco shut due to gasoline shortages; 200+ guests moved to Sol Cayo Coco.
- Visitor Drop: Tourism arrivals fell 18% in 2025 vs. 2024, down 62% from 2018 peak of 4.7 million.
- Government Response: Four-day workweek (Mon-Thu), reduced public transport, online classes; solar power push.
- Travel Advisories: Canada urges “high degree of caution” over fuel, power, food shortages.
- Root Cause: U.S. blocks Venezuelan fuel; Trump threatens tariffs on other suppliers.
Latest News and Announcement Details
Employees at Mojito Cayo Coco reported Friday that the resort closes this weekend for lack of fuel to transport staff. About 200 guests transfer to Sol Cayo Coco, 30 miles away, while Tryp Cayo Coco joins the consolidation.
Transat AT confirmed Cuban authorities regroup travelers into fuller hotels to maintain service quality. Resorts prioritize generators, but fuel scarcity hits taxis and internal logistics hard.
Canada elevated its advisory this week, warning of electricity, fuel, and basic goods shortages impacting resorts’ food, water, and activities. Long gas station lines spark altercations, complicating island travel.
Havana announced urgent measures February 7, including shortened work hours to conserve fuel for essentials like food and healthcare. Power output lags peak demand by over half.
Background Information
Cuba relied on Venezuela for up to a third of its fuel until U.S. actions severed supplies in early January 2026. President Trump’s reelection intensified sanctions, targeting oil allies.
Tourism boomed pre-2018 with 4.7 million visitors, fueling hard currency inflows. COVID slashed numbers, but 2025’s 18% drop marked the lowest in two decades outside pandemic years.
Chronic blackouts, food shortages, and inflation plagued the “war economy” since 2025. Havana diversified suppliers like Mexico, but volumes fall short amid geopolitical pressures.
Impact on Tourists and Locals
Canadian sun-seekers, Cuba’s top market, endure hotel switches and service cuts. WestJet and Sunwing monitor closely, following Ottawa’s lead.
Workers lose shifts; one veteran employee at Mojito called it unprecedented outside hurricanes. Resorts like Melia-operated properties strain under consolidations.
Public faces rationed buses and taxis, stranding commuters. Blackouts exceed 20 hours daily in spots, while garbage piles up in Havana streets.
Economic and Industry Importance
Tourism generates vital foreign exchange, fiercely guarded by Havana. Closures erode revenues, worsening deficits amid shortages.
Airlines like Transat reroute guests, but cancellations loom with unpredictable flights. Neighbors like Dominican Republic lure diverted traffic with stable operations.
Cuba’s power grid fails half peak needs, hitting hotels despite generators. Urgent solar plans aim to offset, but fuel crunch prioritizes survival over growth.
Expert Insights and Future Expectations
Tourism officials claimed January resorts hold fuel through summer via private imports, but February closures contradict assurances. “Unpredictable” situation risks more disruptions, per Canada.
Trump’s tariff threats on oil exporters could prolong the crisis. Havana eyes alternatives, but experts foresee deeper tourism slump without supply fixes.
Agents report steady Cuba bookings despite woes, betting on resilience. Long-term, diversification and renewables offer hope, though recovery stalls.
Important Facts and Data
- Affected Sites: Cayo Coco resorts (850 rooms impacted).
- Guest Moves: 200 from Mojito; more from Tryp.
- Fuel Impact: Taxis scarce; long station queues.
Final Analysis
Cuba’s fuel shortage cripples tourism, shuttering resorts and rattling visitors as sanctions bite. Officials prioritize continuity, but plummeting arrivals signal broader peril.
Travelers weigh risks against allure, while Havana’s fixes test resilience. Watch official advisories—stability hinges on fuel flows.