Hotels reopen as travel in China rebounds

Eloise Hanson Eloise Hanson Uploaded 23 March 2020


China: Marriott and IHG are among the first to report an increase in the number of hotels reopening in Greater China as travel demand bounces back.

In a recent COVID-19 update from IHG, the hotel company reports that nearly 120 properties have reopened in Greater China. 

Out of 178 closures, only 60 IHG hotels remain shut.

Similarly, Marriott reports that more than 60 hotels have reopened in Greater China. 

Over a month ago, the number of closed Marriott hotels stood at over 90. Today, this figure is less than 30.

Announcements of hotel closures began in February, following company statements on quarterly earnings. 

In its report dated 11 February, Hilton president Christopher J. Nassetta said roughly 150 hotels in China were closed.

Having since withdrawn this report due to the ever-changing nature of coronavirus, Hilton is expected to provide a business update at its next quarter earnings call.

News of hotel recoveries in China coincide with an increase in hotel bookings in the first week of March, which according to online travel company Tongcheng-Elong Holdings Ltd surged 40 per cent.

Peak daily bookings for domestic flights soared 230 per cent from the lowest level recorded in February, and future domestic flights booked for June jumped 250 per cent at the end of February.

Tongcheng-Elong said: “The overall hotel operating rate in major cities across the country is projected to reach 90 per cent by the end of March.”

COVID-19, a coronavirus disease that affects the respiratory system, began in Wuhan, China, in December 2019. 

The impact of COVID-19 on hotels such as Marriott was first seen in mid-January when a decline in occupancy started to spread from Wuhan to other markets in the Asia Pacific region.


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