Officials confiscated suspicious meat products in fast food chains, including McDonald's and KFC, after one of their suppliers was accused of selling stale meat, state-run Xinhua news agency reported.
Reports from Tokyo quoted McDonald's as saying that it had sourced about a fifth of its Chicken McNuggets from Shanghai Husi and had halted sales of the product.
It sourced alternative supplies of chicken from Thailand and China.
The TV report prompted Shanghai authorities to suspend production at Shanghai Husi, a unit of US-based OSI Group, on Sunday, while cities and provinces across China yesterday moved to seal Husi supplies at local fast food chains.
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The food and drug administration of Chengdu, capital of Sichuan Province, sealed 9.6 tonnes of Husi products at warehouses and outlets of McDonald's, KFC and Dicos, a Chinese chain owned by Taiwan's Ting Hsin International Group.
An investigation into a meat scandal expanded nationwide as China's top food quality watchdog launched a "thorough" probe, Xinhua reported.
China Food and Drug Administration asked local authorities to investigate all the food factories invested by US food supplier OSI Group in provinces of Hebei, Shandong, Henan, Guangdong and Yunnan.