Travel Market Report 6/4/2019
The U.S. Department of Treasury’s Office of Foreign Assets Control (OFAC) today unveiled new amendments that will all but cripple American travel to Cuba.
In a release sent out on Tuesday, OFAC said it would restrict almost all non-family travel to Cuba, including ending people-to-people travel to Cuba that had been in place before travel to the country began to loosen in 2014 and had flourished since.
OFAC is including a grandfathering provision in the rules, which will allow certain people-to-people travel groups to continue as long as the traveler had completed one travel-related transaction—purchasing a flight or reserving accommodation—before June 5.
The new rules also include the ending of private and corporate aircraft and boats travel to Cuba.
OFAC said it is eliminating the provisions for political purposes, including keeping “U.S. dollars out of the hands of Cuban military, intelligence, and security services,” according to a statement released from Treasury Secretary Steven Mnuchin.
The news follows a vague April announcement made by National Security Advisor John Bolton that said the U.S. would look to restrict both cruise and air travel to the country, and limit the amount of money to $1,000 that Americans can send to friends or family still living in Cuba.
Family visits to Cuba reportedly remain unchanged.
American Airlines extends the cancellation of flights scheduled to be flown by the grounded Boeing 737 MAX through Labor Day, a move expected to impact hundreds of passengers each day.
On the agenda is an expansion of Star Alliance Gold Track. This perk offers Business Class passengers, First Class passengers and Star Alliance Gold travelers an expedited path for the process of getting through the airport.
Dynamic pricing is a growing trend in the airline world. Delta and United are two carriers that have already embraced dynamic pricing. Lufthansa will be the first major European carrier to use dynamic pricing in its loyalty program.