Cuba Travel Update: Classic Journeys Tours Remain Fully Compliant and Uniquely Authentic
Cuba Travel Update – June 2026
June 2026 Update: New U.S. Sanctions, Hotel Chains Pulling Out – What It Means for Your Trip
Cuba is back in the headlines—this time because several major foreign hotel companies and a key payments provider are pulling out of the island in response to newly expanded U.S. sanctions.
Understandably, many travelers are asking whether this changes their ability to travel to Cuba with Classic Journeys. The short answer is: our legally compliant, small‑group cultural walking tours under the “Support for the Cuban People” category remain fully authorized and operational. The latest changes are aimed squarely at large state- and military-controlled parts of the Cuban economy, not at the type of people‑to‑people travel we host.
What just changed on the sanctions front?
On May 1, 2026, President Trump signed Executive Order 14404, which significantly expanded the U.S. sanctions framework on Cuba. The order:
• Targets individuals and entities connected to repression, corruption, or key sectors of the Cuban economy, including energy, defense, metals and mining, financial services, and security.
• Introduces a modern secondary‑sanctions regime, meaning non‑U.S. companies and foreign banks can face U.S. penalties if they continue doing significant business with designated Cuban entities—especially the military‑run conglomerate GAESA, which dominates a large slice of the tourism industry.
• Authorizes sanctions on foreign financial institutions that process significant transactions for newly sanctioned Cuban parties, including the possibility of cutting them off from U.S. correspondent banking.
Foreign firms were given a short wind‑down window and a clear choice: reduce exposure to GAESA‑linked operations or risk being drawn into the U.S. sanctions net.
Why are hotel chains and a payments processor leaving?
Faced with those deadlines and with the risk of losing access to U.S. markets and banking, several big players in Cuba’s tourism and payments sectors have decided it is safer to exit than to stay.
News reports indicate that:
• Major international hotel brands are shutting, re‑branding, or transferring properties tied to GAESA and other targeted entities.
• A financial institution that handles Visa and Mastercard transactions in Cuba has withdrawn from the market, which is expected to make card processing more complicated at some hotels and businesses.
U.S. officials describe these moves as a sign that the new sanctions are “working” in the sense that they are squeezing the Cuban government’s access to cash and investment.
Economists, however, warn that workers at these hotels and ordinary Cubans who depend on tourism will feel the pressure most acutely, at least in the short term.
Does this affect Classic Journeys’ trips?
Our itineraries are intentionally designed around independent entrepreneurs and their private businesses, not large, military‑controlled hotel chains. That has been true from the beginning and is exactly what the Support for the Cuban People category was created to encourage.
In practical terms, that means:
• We do not rely on GAESA‑owned resorts or other government‑controlled hotel brands that are directly in the crosshairs of the new sanctions.
• We stay in privately operated accommodations, dine in family‑run paladares, and spend our days with local guides, artists, historians, musicians, and neighborhood leaders who are part of Cuba’s independent private sector.
• Our trips remain structured to meet the “full‑time schedule of meaningful activities” standard under the Support for the Cuban People general license, with robust documentation to match.
The recent sanctions and hotel exits may make some big, state‑linked resort complexes less available or attractive, but they do not change the core legal framework that allows properly structured people‑to‑people travel by U.S. citizens. If anything, they underscore the importance of choosing travel experiences that genuinely support Cuba’s independent private economy.
What you can expect on the ground now:
Combined with earlier fuel shortages and broader economic challenges, these sanctions add another layer of strain to Cuba’s already fragile infrastructure. As a traveler, you should be prepared for:
• Continued emphasis on locally owned lodging, restaurants, and experiences rather than large international hotel brands.
• Credit card transactions—in practice, this has no impact on Classic Journeys guests because we do not rely on credit‑card payments on the ground in Cuba. We will continue to advise guests to carry an appropriate amount of cash in widely accepted currencies, alongside what is permitted in U.S. dollars, simply as a best practice.
• The same warm welcome from our local partners, who are navigating these changes with resilience and creativity.
How Classic Journeys is responding:
As this latest chapter unfolds, we are:
• Monitoring U.S. sanctions developments and guidance from the Treasury Department (OFAC) and State Department, as well as daily updates from our colleagues on the ground in Cuba about how foreign hotel and financial firms are adjusting.
• Continually reviewing our Cuba lodging and service providers to confirm that they remain independent and non‑restricted.
• Updating guests and travel advisors with clear, practical information so that no one is surprised by headlines about sanctions, hotel exits, or payment changes once they’ve booked.
Our goal remains the same: to offer legally compliant, deeply human cultural walking tours that bring you into direct contact with the Cuban people—supporting the very individuals and families who are most affected by shifts in policy and the broader economy.
