McDonald's and partners launch industrial park in China; investment is US$ 206 million

McDonald's launched an industrial park in Xiaogan City, Hubei Province, China, in July. The move is a joint venture between the fast-food chain and four investors: Bimbo QSR, XH Supply Chain, Tyson Foods Inc and Zidan. The investment is around US$206 million. In addition, the supply base occupies an area of ​​300,000 square meters.

Considered a “smart park”the site is capable of producing very large quantities of food – sweets, bread and meat products – and packaging. CEO of McDonald's in China, Phyllis Cheung, pointed out the importance of the business (via “Exame”):

“McDonald's has been deeply rooted in China for more than 30 years, and the park is a reflection of our long-term development in China… Without a long-term strategy, we have no structural advantage in China.”

McDonald's in China

The Asian country is the chain's second largest market, with more than 6,000 stores. The investment made in the park is the result of an expansion policy. Last year, McDonald's China announced that it wants to control 10,000 restaurants by 2028. Between 2018 and 2023, US$1,652,505,600 has already been invested by the chain and its suppliers, aiming to improve production and sustainability.

The first McDonald's in China opened in 1990. Its main competitor there is KFC, the country's most famous fast-food chain. There are local variations on the McDonald's menu, seeking to reflect the local culture. Fried buns and soy milk for breakfast are some of the products provided.

_{Restaurants have different menus to reflect the tastes of people in the country (Photo: reproduction/andreas160578/Pixabay)}

Franchise History

Founded in 1940, McDonald's is one of the most famous fast-food chains in the world. It is present in around 100 countries. In the 2023 Forbes ranking, it was second only to Starbucks in brand value among restaurants. In Brazil, it is the fast-food chain with the largest number of stores. It went public on the stock exchange in 1965 and, in the last five years, has seen an increase of approximately 73%. It is also the second largest private employer in the world.

Featured Photo: One of the most popular franchises in the world, McDonald's launches industrial park in Hubei (reproduction/andreas160578/Pixabay)