diff --git a/arch/x86/xen/setup.c b/arch/x86/xen/setup.c
index d5f303c0e656..548d1e0a5ba1 100644
--- a/arch/x86/xen/setup.c
+++ b/arch/x86/xen/setup.c
@@ -12,6 +12,7 @@
 #include <linux/memblock.h>
 #include <linux/cpuidle.h>
 #include <linux/cpufreq.h>
+#include <linux/memory_hotplug.h>
 
 #include <asm/elf.h>
 #include <asm/vdso.h>
@@ -589,6 +590,14 @@ static void __init xen_align_and_add_e820_region(phys_addr_t start,
 	if (type == E820_TYPE_RAM) {
 		start = PAGE_ALIGN(start);
 		end &= ~((phys_addr_t)PAGE_SIZE - 1);
+#ifdef CONFIG_MEMORY_HOTPLUG
+		/*
+		 * Don't allow adding memory not in E820 map while booting the
+		 * system. Once the balloon driver is up it will remove that
+		 * restriction again.
+		 */
+		max_mem_size = end;
+#endif
 	}
 
 	e820__range_add(start, end - start, type);
@@ -748,6 +757,10 @@ char * __init xen_memory_setup(void)
 	memmap.nr_entries = ARRAY_SIZE(xen_e820_table.entries);
 	set_xen_guest_handle(memmap.buffer, xen_e820_table.entries);
 
+#if defined(CONFIG_MEMORY_HOTPLUG) && defined(CONFIG_XEN_BALLOON)
+	xen_saved_max_mem_size = max_mem_size;
+#endif
+
 	op = xen_initial_domain() ?
 		XENMEM_machine_memory_map :
 		XENMEM_memory_map;
diff --git a/drivers/xen/xen-balloon.c b/drivers/xen/xen-balloon.c
index 2acbfe104e46..a67236b02452 100644
--- a/drivers/xen/xen-balloon.c
+++ b/drivers/xen/xen-balloon.c
@@ -37,6 +37,7 @@
 #include <linux/mm_types.h>
 #include <linux/init.h>
 #include <linux/capability.h>
+#include <linux/memory_hotplug.h>
 
 #include <xen/xen.h>
 #include <xen/interface/xen.h>
@@ -50,6 +51,10 @@
 
 #define BALLOON_CLASS_NAME "xen_memory"
 
+#ifdef CONFIG_MEMORY_HOTPLUG
+u64 xen_saved_max_mem_size = 0;
+#endif
+
 static struct device balloon_dev;
 
 static int register_balloon(struct device *dev);
@@ -63,6 +68,12 @@ static void watch_target(struct xenbus_watch *watch,
 	static bool watch_fired;
 	static long target_diff;
 
+#ifdef CONFIG_MEMORY_HOTPLUG
+	/* The balloon driver will take care of adding memory now. */
+	if (xen_saved_max_mem_size)
+		max_mem_size = xen_saved_max_mem_size;
+#endif
+
 	err = xenbus_scanf(XBT_NIL, "memory", "target", "%llu", &new_target);
 	if (err != 1) {
 		/* This is ok (for domain0 at least) - so just return */
diff --git a/include/xen/xen.h b/include/xen/xen.h
index 0e2156786ad2..19d032373de5 100644
--- a/include/xen/xen.h
+++ b/include/xen/xen.h
@@ -46,4 +46,8 @@ struct bio_vec;
 bool xen_biovec_phys_mergeable(const struct bio_vec *vec1,
 		const struct bio_vec *vec2);
 
+#if defined(CONFIG_MEMORY_HOTPLUG) && defined(CONFIG_XEN_BALLOON)
+extern u64 xen_saved_max_mem_size;
+#endif
+
 #endif	/* _XEN_XEN_H */