America is losing its worldwide hegemony in the fast-food world, with China taking over the top spot and eight other slots in a list of the top 25 global outlets.

A brand new king of fast food has taken the throne away from McDonald’s. Called Mixue (pronounced mee-schway) Bingcheng, it’s an ice cream and bubble tea fast-food chain based in China that has spread across Asia and Australia. 

Mixue now has more than 45,000 stores, more than double the number of locations it had three years ago. That surpasses McDonald’s, which has 41,822 stores, and Starbucks, which has 40,199. Subway and KFC round out the top five.

China has eight more outlets on the top 25 list, including Luckin Coffee, Wallace and Tastien, two burger joints, Cotti Coffee, Good Me Tea, ChaPanda, and Chagee, both tea places.

China’s fast-food industry is undergoing a widespread transformation, fueled by changing consumer preferences and innovative business strategies. While Western fast-food giants like KFC and McDonald’s have huge footprints in Asia, Chinese brands are gaining momentum by catering to local tastes with fusion cuisine and regional flavors.  

Western chains have achieved success by incorporating Chinese-inspired dishes into their menus while leveraging their understanding of regional preferences to create unique offerings that resonate with consumers.

For instance, Tastien — whose slogan is “Chinese stomachs love Chinese burgers” — replaces the traditional burger bun with bread pockets and offers Chinese dishes like Yuxiang shredded pork and Mapo tofu. Its prices are often 40 percent to 50 percent less than those at American outlets.

McDonald’s has had a tough few years, suffering a ho hum 2024, with profits rising just 1 percent. In its first-quarter earnings report for 2025, sales decreased by 3.6 percent year-over-year. Over the past three years, the company has suffered a 3 percent decline in operating income, which is profit after covering operating expenses.

In America, complaints have grown that the once affordable fast-food spot raised its prices too much too quickly, with some people choosing to stay away altogether. McDonald’s has raised prices by about 40 percent on its menu items since 2019. The average Big Mac meal and the 10-piece McNuggets meal both increased by $2.

The biggest sector abandoning McDonald’s were low- and middle-income Americans. Their visits dropped by 10 percent, CEO Chris Kempczinski said last week.

“People are just being more judicious about cutting back on visits,” he said during a call with analysts. “We’re not immune to the volatility in the industry or the pressures that our consumers are facing.”

Mixue, on the other hand, is raking in cash. The hotspot, known for its cheap drinks — some sell for as little as 1 yuan, or 15 cents, and drinks average between 30 cents and $1.20 — hauled in $444 million in an initial public offering by selling 17 million shares last March.

Like McDonald’s, the bubble tea and ice cream shop went from rags to riches. Mixue opened its first store in Zhengzhou in the Henan province in 1997 and in just 27 years surpassed the burger king. Also like McDonald’s, nearly all of its stores — some 99 percent — are owned and run by franchisees, not directly by the company.

Mixue’s not resting on its laurels — the chain may soon expand to Europe and possibly even the United States, CNBC reported. Founder Zhang Hongchao seems ready to go: “Let people around the world eat well and drink well for just two American dollars,” he told Chinese state media.