The China National Tourism Administration has published the results of its star-rated hotels review in 2008 on its website.

In 2008, star-hotel assessment commissions throughout China reviewed 30 five-star hotels in 17 provinces. Of these three are penalized for substandard facilities or services.

Of one to four-star hotels, altogether 928 are penalized, an increase of 22% over 2007. Of those penalized 554 hotels have lost their stars, 241 were ordered to make corrections within a limited period, and 101 have the review postponed for various reasons.

According to CNTA, the financial crisis has had a negative impact on star-rated hotels, especially hotels at high star levels, in eastern China and large cities such as Beijing and Guangzhou. In addition, low star-rated hotels are seeing a decline in market with the development of economy hotels and short-term-rental apartments.

(China Hospitality News April 29, 2009)