JW Marriott opened its first all-inclusive resort at Costa Elena, Mexico, in October 2026, targeting luxury travelers seeking all-inclusive packages. This launch marks JW Marriott’s entry into the luxury all-inclusive resort segment.
Xi’an Tourism Performance During National Day Holiday
During the 7-day National Day holiday, Xi’an recorded a 92% hotel occupancy rate and received 18.988 million tourist visits, an 8.08% increase year over year, according to eu.36kr.com. Total tourist spending reached 18.605 billion RMB, up 6.53% year over year, demonstrating strong tourism demand despite pricing pressures.
Hotel Supply Growth and Pricing Trends in Xi’an
By 2024, Xi’an had 9,495 hotels with 354,157 rooms, including 1,107 chain hotels. Around 1,400 new hotels opened from 2024 to
2025, pushing total hotel supply above 10,000 by 2025. This rapid expansion intensified competition, causing average room rates to drop about 30%, from 343.18 RMB in 2023 to 239.31 RMB in 2025. A hotel near Xi’an Bell Tower offered rooms for as low as 1 RMB immediately after National Day, indicative of severe price wars.
Postponed Luxury Hotel Openings and Market Implications
Luxury hotels scheduled to open in Xi’an in 2026—including Four Seasons, The St. Regis, and Waldorf Astoria—have been postponed. These delays stem mainly from property owner decisions rather than market performance. Existing luxury brands in Xi’an include The Ritz-Carlton, Sofitel Legend, InterContinental, Grand Hyatt, JW
Marriott, and W Hotel. The postponements signal concerns about oversupply in the luxury segment amid increasing hotel density.
Traveler Impact and Market Context
Xi’an’s hotel market faces intense competition from growing supply and homestays, which surged by 300% since 2020 to exceed 100,000 rooms. Price wars and property transfers affect about 90% of homestay providers. Despite these pressures, business, government, and transit travelers provide stable demand. The comprehensive prosperity index of Xi’an’s hotel industry fell to -31 in Q2 2026 and -36 in Q3 2026. In 2025, Xi’an Tourism Group reported a net loss of 291 million RMB, mainly due to declines in hotels and
homestays. Meanwhile, JW Marriott’s new all-inclusive resort in Costa Elena adds options for luxury travelers from late 2026, contrasting Xi’an’s challenging market characterized by high occupancy but falling revenues.
