Popular Shanghai Eatery Element Fresh Files For Bankruptcy As Covid Hurts Business

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Shanghai-headquartered restaurant chain Element Fresh has filed for bankruptcy

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“While the company was profitable prior to Covid 19, the financial burdens of the past 2 years have been hurting the business,” the popular expat and health-food eatery said on its website. China, the world’s most populous nation, has followed “zero Covid” policies that have curbed the impact of the global pandemic in the country. However, reduced numbers of international tourist arrivals and expats have hurt Western-style health-food chains like Element Fresh.

Shares in Trip.com, China’s top online travel agency, have lost 24% of their value in Hong Kong in the past month as Covid-19 cases have spiked globally this month.

 

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