Unpredictable drought–heatwave events occur frequently worldwide, causing low water availability (drought) and high temperatures (hot), with consequences for forest decline and mortality. Our knowledge of the potential instantaneous reactions and subsequent recovery of water-related physiological processes and vegetation indices in hot drought events remains unclear. Here, we investigated how the 2022 summer drought–heatwave event in the subtropical regions of China affected hydraulic traits and NDVI values in the forests of four common subtropical tree species. During the hot drought, the NDVI values of all four forests decreased (−31%~−23%), accompanied by leaf scorch and tree crown dieback. Among the four species, a hot drought event caused an instantaneous descent in hydraulic conductivity (Ks, −72%~−31%), stomatal conductance (gs, −94%~−50%), and midday water potential (−40%~−169%), with severe drought-induced stem xylem embolism. A trade-off was found between resistance and resilience in hot-drought-induced hydraulic dysfunction, as species with lower declines in Ks and gs during the hot drought had a shorter recovery in the post-stress phase. This study highlights that the 2022 hot drought event had severe negative instantaneous impacts on the forests of four subtropical tree species, which were reflected both in water-related physiological processes in the field and in remote sensing data from satellites.