Subway has closed 729 restaurants across the United States over the past year, marking its 10th straight year of shrinking locations, while rival McDonald's continues to gain ground in the competitive fast-food market.
Despite the closures, Subway still holds the top spot in the US by total store count, with 18,773 locations nationwide.
According to the NY Post, McDonald's follows with nearly 14,000 restaurants. However, the gap is slowly narrowing as Subway reduces its footprint year after year.
The sandwich chain's decline is significant when compared to its peak in 2015, when it operated more than 27,000 stores across the country.
Since then, the company has shut down over 8,000 locations, showing a clear shift in its US strategy.
A spokesperson for Subway explained that the closures are part of a long-term plan.
The company said it is "focused on ensuring restaurants are in the right locations, with the real estate, visibility and operations that set franchisees up to succeed long-term." All Subway locations in the US are run by franchise owners.
McDonald's biggest US rival shutters over 700 restaurants https://t.co/TcfxlFmUxZ pic.twitter.com/9JVKNSFAq5
— New York Post (@nypost) May 5, 2026
McDonald's Boosts Budget Offers
While Subway trims down, McDonald's is strengthening its position by focusing on value deals to attract customers dealing with higher prices.
The company recently introduced a budget-friendly "Under $3" menu, offering items like a Sausage McMuffin and small portions of popular meals.
Its existing Meal Deal bundles also remain a strong draw for cost-conscious diners.
Subway is responding with its own push for affordability. In April, it launched its first-ever value menu, featuring 15 items priced under $5, including $4.99 six-inch subs.
The move is meant to bring back customers who remember the brand's earlier low-cost offers.
Behind the scenes, Subway is also going through major changes. The company was acquired by Roark Capital in 2024 for about $9.6 billion, DailyMail reported.
It later appointed Jonathan Fitzpatrick as CEO, bringing in leadership experience from the fast-food industry.
Even as its US presence shrinks, Subway is expanding globally. The brand opened more than 1,000 new locations worldwide last year and now operates over 35,000 restaurants across regions including Europe, the Middle East, and Asia.
Plans are in place to add 12,000 more locations in the coming years.
Join the Conversation