Subway announces its largest master franchise agreement in brand history to expand its network across Mainland China.

Subway, one of the world’s largest restaurant brands, has reached a groundbreaking master franchise agreement with Shanghai Fu-Rui-Shi Corporate Development Co. Ltd. (FRS). This historic agreement, backed by a consortium of private investors including Asia Investment Capital (AIC), marks Subway’s largest master franchise agreement and stands out as one of the most significant deals in the quick-service restaurant (QSR) industry.

Substantial Expansion Plans

Under this new partnership, FRS will open nearly 4,000 Subway restaurants across Mainland China within the next 20 years, multiplying Subway’s current market presence by more than seven times. Additionally, FRS will gain exclusive rights to manage and develop all Subway locations in Mainland China.

John Chidsey, Subway Global Chief Executive Officer said: 

This agreement is a significant milestone in Subway’s international growth strategy as we continue to focus on strategically expanding our footprint and maintaining our position as one of the world’s largest restaurant brands. China is a key market with significant long-term growth opportunity, and we look forward to bringing the Subway experience to even more guests in the region. – John Chidsey.

Capitalizing on Positive Momentum

Subway restaurants in Mainland China have experienced a surge in sales since emerging from the COVID-19 pandemic. This growth has been fueled by Subway’s robust digital strategy, including partnerships with renowned digital platforms and the integration of third-party delivery services.

The introduction of new menu items has also played a role in the brand’s success. The new master franchise agreement will further accelerate Subway’s efforts to enhance the guest experience, elevate its market presence, and create additional value for customers in Mainland China.

A Testament to Subway’s Expansion

This agreement serves as a testament to Subway’s commitment to expanding its international presence. It represents Subway’s 13th master franchise and development agreement in the past two years, with over 9,000 future restaurant commitments worldwide.

As part of its ongoing transformation journey, Subway aims to double its current network of restaurants in the Asia Pacific region, from approximately 3,500 to over 6,000, within the next five years.

About Subway Restaurants

Subway is a leading global quick-service restaurant brand, serving freshly made-to-order sandwiches, wraps, salads, and bowls to millions of guests in nearly 37,000 restaurants across over 100 countries and territories. Subway restaurants are owned and operated by franchisees—a dedicated network of entrepreneurs and small business owners who prioritize delivering exceptional guest experiences within their local communities.