U.S. hotel stocks have seen sharp declines in recent weeks as investors respond to escalating U.S. tariffs, particularly those affecting imports from China. By April 8, Hilton, Marriott, and Hyatt each lost around 30% of their market value, driven by concerns over rising renovation and development costs. New tariffs, including a 104% rate on Chinese furniture — America’s largest source of hotel furnishings — are expected to significantly increase expenses across the hospitality sector. According to Bernstein Research, these tariffs could reduce U.S. GDP by up to 1.5%, potentially slashing hotel revenue growth and dampening both leisure and corporate travel demand.