McDonald’s isn’t being generous. Cheap burgers come with consequences, especially for Canadian processors and farmers already under strain

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McDonald’s Canada has launched a full-scale price war—and the shockwaves will not stop at the drive-thru. By freezing prices for an entire year on its $5 Value Meals and $1 menu items, the country’s largest fast-food player is locking in entry-level affordability at a moment when consumers have made it unmistakably clear they have had enough of fast-food inflation. This is not a marketing flourish. It is a defensive economic move.

The reaction from competitors was immediate. Burger King and Wendy’s are already leaning harder into value bundles and limited-time discounts. When McDonald’s moves, the entire fast-food sector adjusts. There is no larger price setter in Canadian foodservice, and history shows that when McDonald’s chooses to compete on price, everyone else must follow, whether they can afford to or not.

When the country’s biggest fast-food chain freezes prices, it’s a sign demand is fragile and confidence is thin.
Image by Elisabeth Jurenka

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What makes this moment especially notable is that it has been a long time since Canada has seen a true fast-food price war. The last nationwide episode dates back to roughly 2013-15, when McDonald’s aggressively expanded dollar-menu pricing and value breakfasts to protect........

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