KUALA LUMPUR: KFC has reduced its operations in Malaysia, shuttering more than hundred restaurants temporarily after months of a persistent pro-Palestine boycott of US-linked businesses triggered by the ongoing war in Gaza.
QSR Brands, the entity overseeing the KFC franchise in Malaysia, has decided to suspend operations at 108 outlets nationwide, as reported by the Nanyang Siang Pau, citing data from Google Maps. According to an undisclosed source within QSR, the company views the boycott as an opportunity to address the financial strain caused by certain KFC stores.
Several KFC outlets in Kuala Lumpur, including those on Jalan Ipoh, Jalan Sultan, and Taman Melawati, have been observed with signs indicating temporary closure, with stacked boxes visible inside. Neighboring store employees mentioned that these closures occurred about a week ago due to dwindling customer numbers.
Professor Mohd Nazari Ismail, chairman of the pro-Palestinian group Boycott, Divestment, Sanctions Malaysia, noted that while KFC is not officially listed as a target of the boycott, many Malaysians associate American fast-food chains with Israel, including KFC.
Since the boycott’s initiation in October 2023, KFC has adjusted its branding tactics, prominently displaying ownership by Johor Corporation, a state-owned enterprise, on menu boards and promotional materials, in an attempt to mitigate the effects of the boycott.
Despite these challenges, KFC maintains a significant presence in Malaysia, boasting over 600 restaurants, as listed on the QSR website. Alongside KFC, other US-based brands like Starbucks and McDonald’s have also encountered boycotts due to perceived ties to Israel since the Gaza conflict began.
The impact of the closures is particularly severe in the northeastern Kelantan state, where nearly 80% of outlets, or up to 21, have ceased operations, followed by 15 outlets in Johor.
