A Spanish hotel chain has announced its decision to halt all operations in Cuba by the end of the week, citing significant challenges in conducting business on the island amid increasing pressure from the United States.

In a statement released to the Spanish stock market regulator on Tuesday, the Meliá group indicated that the recent US sanctions have rendered it “impossible, both in practice and legally, to maintain even minimal operational stability.”

The company expressed its commitment to facilitating a seamless transition in order to minimize the impact on employees, suppliers, and customers.

Last month, Meliá revealed plans to close 15 of its 34 hotels in Cuba, aligning itself with other foreign entities that have severed connections with the island’s military-run conglomerate, GAESA, in response to US pressures.

As one of the largest foreign hotel operators in Cuba, Meliá manages 14,000 rooms, although its recent statement did not address the status of the remaining 19 hotels it operates in collaboration with the Cuban tourism ministry.

In May, US President Donald Trump imposed new sanctions on Cuba, targeting a wide range of individuals and threatening foreign banks and businesses that engage with them.

Meliá was the pioneering Spanish hotel group to enter the Cuban market after the nation opened its tourism sector to international investors in the 1990s, as part of efforts to alleviate the economic crisis following the Soviet Union’s collapse.

In addition to the economic embargo that has been in effect since 1962, the US has prohibited all oil shipments to Cuba since January, allowing only a single vessel from Russia to deliver supplies to the island.