Stable growth for China hotels

hotel pipeline
China's Hotel Pipeline Holds Steady | Chengdu, China © Zain Lee / Unsplash
China’s hotel construction pipeline held steady in Q2 2025, with upscale chain projects achieving record growth

China’s hotel construction pipeline remains on solid ground, with a total of 3,733 projects accounting for 672,224 rooms at the end of Q2 2025, according to Lodging Econometrics’ latest Hotel Construction Pipeline Trend Report. The figures reflect continued momentum in China’s hospitality sector, with a strong pipeline of projects across key regions and chain scales.

Under construction and under renovation

Currently, 2,712 hotel projects (482,138 rooms) are actively under construction—nearly three-quarters of the total pipeline. Another 352 projects with 62,292 rooms are set to begin within the next 12 months, and 669 more are in early planning stages, representing 127,794 future rooms. That’s a lot of pillow mints being prepped!

Recent activity also points to strong momentum:

  • 192 projects began construction in Q2 alone, adding 30,570 rooms.
  • Renovation and brand conversion projects hit record highs, with 213 projects and 38,661 rooms—a 3% increase year-over-year.

Upscale and upper midscale: leading the charge

China’s hotel development remains focused on the upscale and upper midscale segments, which together make up 61% of all projects and rooms.

  • Upper Midscale: 1,194 projects | 182,541 rooms
  • Upscale: 1,072 projects | 225,407 rooms (a 9% increase in projects and 3% increase in rooms year-over-year)
  • Luxury: 257 projects | 56,882 rooms

These figures suggest that developers are targeting guests who want quality stays without necessarily dipping into their luxury savings.

Regional hotspots and future openings

Chengdu leads the nation with 143 hotel projects, followed by Shanghai (124), Guangzhou (114), Hangzhou (100), and Xi’an (86). These cities are anchoring the country’s hospitality expansion.

In terms of openings:

  • H1 2025: 322 new hotels (48,794 rooms)
  • Expected H3 and H4 2025: 834 more hotels expected (122,068 rooms)
  • Full-year forecast: 1,156 hotels (170,862 rooms)
  • 2026 projection: 769 hotels (135,138 rooms)
  • 2027 sneak peek: 656 hotels (125,686 rooms)

With steady construction, growing upscale growth, and strong regional development, China’s hotel market appears to be reserving its place at the top of global hospitality growth trends.

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