Is my friend racist?

Recently, my friend and I went to a japanese restaurant. there was another family there with their dog and when they left, she jokingly said to me „oh wow the dog is so lucky he‘s still alive, they didn’t cook him“. this was not the first time she has made jokes about other people, especially immigrants. it made me very uncomfortable and I‘m not even an immigrant. how should I deal with situations like that, what should I say to her? or am I overreacting?

thank you for your help 💕

Is my friend racist?
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