McDonald’s stores in China will change the cooking oil they use starting next year, despite an increased cost, and introduce new menu items including fruits and vegetables, the Beijing Times reported on Friday [15 July 2016]. Phyllis Cheung, the CEO of McDonald’s China, said the fast-food giant is testing new cooking oil and plans to replace the current palm oil with a mixture of sunflower seed and canola oil…Full Article: ECNS.cn July 2016

Key Points

  • McDonald’s China in Beijing, Shanghai, Guangzhou, Shenzhen and Tianjin have begun selling apple slices as healthy test products.
  • From 2010 to 2015, McDonald’s China reportedly cut its salt usage by 450 MTs (annually?), including using 20% less salt on its French fries.

ChinaAg Comments

  • In June 2016, McDonald’s Corporation was exploring selling its mainland Chinese and Hong Kong stores. Potential bidders include Bain Capital, TPG Capital, Carlyle Group, Beijing Capital Agribusiness Group, and GreenTree Hospitality.
  • In April 2015, McDonald’s announced it would close dozens of its restaurants in mainland China. As of mid-2015, McDonald’s China had more than 2,000 restaurants.
  • In November 2014, McDonald’s China’s supply chain came under increased scrutiny after the US Department of Agriculture approved a genetically modified (GM) potato developed by J.R. Simplot, a McDonald’s supplier.
  • In August 2014, McDonald’s in Hong Kong stopped selling fresh corn cups, green salad and fresh lemon tea as these items were primarily sourced from OSI processors in Hebei and Gaungzhou.
  • In July 2014, Shanghai Husi, a division of US-based OSI Group LLC, was found to have sold expired meat to McDonald’s, Pizza Hut, Papa John’s, Seven-Eleven and FamilyMart (Japan-based convenience store).

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