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China-owned Club Med reports travel demand surpassing 2019 as Singaporeans, Malaysians book snowy, premium destinations

  • Resort company owned by Shanghai-based Fosun Tourism reports ‘strong rebound’ despite inflation and interest-rate pressures
  • Travel operators believe the reopening of mainland China, coupled with pent-up demand everywhere, bodes well for the sector

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Club Med’s Pragelato Sestriere resort in Italy is among the destinations showing strong growth among Southeast Asian tourists. Photo: Handout

With travel across the globe recovering, Club Med is eager to introduce more of its destinations to the Asian market, especially since China has scrapped all its Covid-19 restrictions, allowing the world’s largest population to become international tourists again after three years.

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“We have a positive outlook globally as we have seen a strong rebound in different regions of the world, surpassing 2019 results, which is a positive indicator of the resumption of travel,” said Olivier Monceau, the recently appointed general manager of Singapore and Malaysia for the French resort chain, which is owned by Shanghai-based Fosun Tourism.

“In the Singapore and Malaysia markets, we see opportunities to develop new destinations like the French and Italian Alps, where we already doubled our revenue [compared] to pre-pandemic.”

Club Med’s confidence for global tourism reflects a common sentiment among travel operators: that the reopening of mainland China, coupled with pent-up demand everywhere, bodes well for the sector as countries dismantle anti-pandemic measures.

Olivier Monceau, Club Med general manager of Singapore and Malaysia. Photo: Handout
Olivier Monceau, Club Med general manager of Singapore and Malaysia. Photo: Handout

Fosun reported a 2.6 billion yuan (US$383 million) loss for financial year 2020, compared with a profit of 608.7 million yuan in 2019. The chain, known for its all-inclusive packages and daily activities for guests, closed all of its resorts for several months during the early stages of the Covid-19 pandemic, according to the company’s 2020 annual report.

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