The company made the admission in a tongue-in-cheek advert promoting a new meat-heavy burger.
The advert features an image of the burger, with a slogan saying: "Try one before you turn vegan."
"Let's be frank - we've timed this burger badly. It's coming out during a time when unprecedented numbers of people are eschewing meat, and embracing aubergine," says the advert.
"There's every chance that you yourself, if not already vegan, are seriously considering it...It might be the worst possible point in history to launch this burger. But bad timing never tasted so good."
KFC vegan burger
Despite its vegan-baiting advert, KFC is 'working on' developing a vegan chicken burger in the UK, according to TV presenter, and CEO of the Indian restaurant chain Mowgli Nisha Katona, who announced on Twitter that she was one of the first to test the plant-based product.
"Oh my heaven! On a dream job today- filming for the BBC One Show with exclusive access to the actual KFC headquarters development kitchen. Also, I was the first member of the public to taste the new vegan chicken burger. This to me is actually living the dream," she wrote.
Responding to comments, Katona described the burger as a 'brilliant product', adding: '[KFC] are still working on it but truly great start."