What does it mean to cancel the order and deduct the full room rate?

If you cancel the order, the hotel will deduct all the room fees paid.

The room rate is actually a guarantee fee. According to the Contract Law of People's Republic of China (PRC), it is legal to cancel the hotel reservation and deduct the full amount.

When one party cancels the reservation, the other party has the right to demand payment of liquidated damages. The amount of liquidated damages can be determined by both parties through consultation, or it can be proposed by one party and accepted by the other.