Cuba expects major economic damage from Trump measures

AP  |  Havana 

Drivers of classic cars, restaurateurs, tour guides and owners of bed-and-breakfasts are all saying the Trump administration's new restrictions on U.S travel to will be a severe blow to their businesses.

The restrictions announced Tuesday eliminate U.S. to They also wipe out the most popular category of to the island, the group educational trips known as

An expert on Cuban tourism says the Cuban state stands to lose USD 130 million per peak cruising season, which runs from November to June. No figures were available on the expected losses to private businesses, which serve many people-to-people groups. But Cuban entrepreneurs say they expected major damage.

"We're about to enter a terrible period," said Enrique Nuez, owner of La Guarida, one of the Havana's best-known private restaurants.

Just before 5 p.m. Wednesday, Royal Caribbean's of the Seas pulled out of harbour, blowing its horn in farewell as it became what could be the last U.S. cruise ship to visit during the

"I wasn't aware this would be the last cruise," passenger said before boarding.

In in the Bahamas, hundreds of angry passengers disembarked from Norwegian Cruise Line's Norwegian Sun after it was rerouted from its path to

Cruise ships were offering discounts and refunds to passengers diverted from Cuba, but many weren't placated.

"I have been to the several times and I'm not very happy," said Gigi Starks, a and realtor from "I really wanted to go to Cuba."

Outside Havana's cruise dock, drivers of classic cars said they were bracing for the worst.

"The repercussions will be very big because nobody will be working," said Yosbell Figueroa, who has been supporting two children and his parents with income earned from driving cruise passengers around in his '51 Chevrolet.

"It won't just be classic convertibles but hotels and people in general. It's going to affect everyone."

Cuba has about 500,000 private who operate about 24,000 rooms in bed-and-breakfasts and hundreds of private restaurants.

With a drop in aid from Venezuela, Cuba has been counting on tourism to lift its stagnant economic fortunes. It imposed

Tourism expert said Trump's latest measures would keep Cuba from reaching its objective of 5 million tourists in 2019, 200,000 more than in 2018.

In just the first four months of 2019, 142,000 Americans came to Cuba by cruise ship, more than half of all American visitors. That figure is now set to plummet.

"Tough times are coming for my business," said David Pajn, who rents an apartment in Old He said he had a message from the

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, June 06 2019. 04:50 IST