• Advertise
  • Contact Us
  • Supplier Directory
  • SCB YouTube
  • About Us
  • Login
  • Subscribe
  • Logout
  • My Profile
  • LOGISTICS
    • Air Cargo
    • All Logistics
    • Facility Location Planning
    • Freight Forwarding/Customs Brokerage
    • Global Gateways
    • Global Logistics
    • Last Mile Delivery
    • Logistics Outsourcing
    • LTL/Truckload Services
    • Ocean Transportation
    • Parcel & Express
    • Rail & Intermodal
    • Reverse Logistics
    • Service Parts Management
    • Transportation & Distribution
  • TECHNOLOGY
    • All Technology
    • Artificial Intelligence
    • Cloud & On-Demand Systems
    • Data Management (Big Data/IoT/Blockchain)
    • ERP & Enterprise Systems
    • Forecasting & Demand Planning
    • Global Trade Management
    • Inventory Planning/ Optimization
    • Product Lifecycle Management
    • Robotics
    • Sales & Operations Planning
    • SC Finance & Revenue Management
    • SC Planning & Optimization
    • Supply Chain Visibility
    • Transportation Management
  • GENERAL SCM
    • Business Strategy Alignment
    • Customer Relationship Management
    • Education & Professional Development
    • Global Supply Chain Management
    • Global Trade & Economics
    • Green Energy
    • HR & Labor Management
    • Quality & Metrics
    • Regulation & Compliance
    • Sourcing/Procurement/SRM
    • SC Security & Risk Mgmt
    • Supply Chains in Crisis
    • Sustainability & Corporate Social Responsibility
  • WAREHOUSING
    • All Warehouse Services
    • Conveyors & Sortation
    • Lift Trucks & AGVs
    • Order Management & Fulfillment
    • Packaging
    • RFID, Barcode, Mobility & Voice
    • Warehouse Automation
    • Warehouse Management Systems
  • INDUSTRIES
    • Aerospace & Defense
    • Apparel
    • Automotive
    • Chemicals & Energy
    • Consumer Packaged Goods
    • E-Commerce/Omni-Channel
    • Food & Beverage
    • Healthcare
    • High-Tech/Electronics
    • Industrial Manufacturing
    • Pharmaceutical/Biotech
    • Retail
  • THINK TANK
  • WEBINARS
    • On-Demand Webinars
    • Upcoming Webinars
    • Webinar Library
  • PODCASTS
  • WHITEPAPERS
  • VIDEOS
Home » Winner Winner, Pork Dinner? Applebee’s Triumphs in Trump's Trade War

Winner Winner, Pork Dinner? Applebee’s Triumphs in Trump's Trade War

Winner Winner, Pork Dinner? Applebee’s Triumphs in Trump's Trade War
December 14, 2018
Bloomberg

President Donald Trump’s tough stance on trade has led U.S. farmers to lose a lot of overseas business but at home it may turn into a win for diners ordering Applebee’s baby-back ribs.

The casual-dining chain owned by Dine Brands Global Inc. is benefiting from the unintended consequences of Trump’s trade spats. He put tariffs on imported steel and aluminum. Trading partners retaliated with levies on U.S. agriculture products, which has lowered demand in some cases, but, moreover, has helped reduce pork prices.

“Food costs are probably going down next year,” Dine Brands Chief Executive Officer Steve Joyce said this month. “We’re a big user of protein. As long as those tariffs stay in place and the inventories continue to build, it helps with cost.”

China and Mexico implemented tariffs on pork at a time when U.S. production was climbing to a record. The Asian country also has shunned purchases of U.S. soybeans, a key feed ingredient for hogs and chickens, for several months.

Meat supplies have been rising in the U.S. partly due to abundant, cheap feed and have led prices for pork and chicken to decline over the past few years. Add on the export disruptions caused by trade tensions and that could mean lower prices for chicken tenders, ribs and steak for Applebee’s and other buyers.

In 2019, beef and chicken production in the U.S. may increase 3 percent while pork may rise 5 percent, according to Don Close, senior vice president for animal protein in St. Louis for agricultural lender Rabobank. Cheap feed encourages more meat production and the increased supply of meat and poultry “will put a cap on prices,” he said.

The tariffs on pork by Mexico, the largest importer of U.S. supplies, also have helped curb prices rather than the volumes sold domestically or internationally. U.S. red meat and poultry exports are expected to continue rising next year, but so will production and inventories, the Department of Agriculture said in a report Tuesday.

Meanwhile, millions of bushels of unsold soybeans, which have become a poster child for the U.S.-China trade war, are piling up. The potential easing of tension between the two countries has lifted soybean prices recently but no actual sales have been reported yet

“Restaurants are clearly feeling the competition,” Close said in an interview. Given lower costs, “they are using this opportunity to be as competitive as possible.”

Consumers also may see “some incredible values” at the meat counters and coolers in grocery stores, he said.

Olive Garden has recently advertised $8.99 early dinner specials and has said that its food and drink costs will be up only as much as 1 percent in this fiscal year. The dinner deals include chicken parmigiana and spaghetti with meat sauce. Fast-food chains also are touting steep meat discounts, such as a new $6 meal at McDonald’s that include a burger, fish sandwich or chicken McNuggets with a drink, fries and pie.

At Applebee’s, the lower protein costs may mean higher margin on promotions such as two-for-$20 entrees. The company also is planning another all-you-can-eat riblet deal in 2019, following a successful run this year. The chain has a new two-meat dinner combo for $12.99, as well.

Jeff Bernstein, a restaurant analyst at Barclays Capital, says that while he was forecasting food-cost inflation for next year, that’s no longer the case.

“That has not panned out,” Bernstein said. “There’s a chance going into 2019 that our restaurants will still see benign or favorable commodity costs again,” he said, citing Dine Brands and Tyson Food Inc.’s recent comments on an oversupplied U.S. meat market.

    RELATED CONTENT

    RELATED VIDEOS

    Inventory Planning/ Optimization Supply Chain Finance & Revenue Management Global Trade & Economics Food & Beverage
    KEYWORDS Food and Beverage Global Trade & Economics Inventory Planning/ Optimization North America SC Finance & Revenue Management
    • Related Articles

      Cargo Volumes Are Booming in Trump Trade-War Paradox

      Lime's Chinese-Made Scooters Get Caught Up in Trump's Trade War

      In Soybean Country, Trump's Trade War With China Tests Patience and Nerves

    Bloomberg

    Trump Begins Rebuilding His Tariff Wall Citing Forced Labor

    More from this author

    Subscribe to our Daily Newsletter!

    Timely, incisive articles delivered directly to your inbox.

    Featured Product

    Popular Stories

    • A man in a business suit with a shoulder bag walking inside a depiction of the inside of a computer

      Why AI Agents Fail to Deliver Supply Chain Results

      Artificial Intelligence
    • A TRUCK WITH ITS CONTAINER DOOR OPEN SITS UNDER A SIGN THAT READS INTERNATIONAL BORDER COMMERCIAL TRUCKS

      Importers Into Mexico Can No Longer Delay Complying With New Customs Declaration Law

      Data Management (Big Data/IoT/Blockchain)
    • A red semi-truck towing a red container in front of a stack of multi-colored shipping containers

      Supreme Court Ruling Reshapes Risk for Freight Brokers

      Logistics
    • An overhead view of a shipping port stacked with containers, with stylized lines forming a grid connecting ships and berths

      How Supply Chains Can Survive the Next Unexpected Demand Surge

      Data Management (Big Data/IoT/Blockchain)
    • 018_how_3pls_can_get_started_with_ai_v1-(540p).png

      Watch: How 3PLs Can Get Started With Automation

      Logistics Outsourcing

    Digital Edition

    2026 esg cover main scb q2 2026 cover

    SupplyChainBrain 2026 ESG Guide: ESG — The Supply Chain’s Biggest Secret

    VIEW THE LATEST ISSUE

    Case Studies

    • Recycled Tagging Fasteners: Small Changes Make a Big Impact

    • A GRAPHIC SHOWING MULTIPLE FORMS OF SHIPPING, WITH A HUMAN STANDING AT THE CENTER, TOUCHING A SYMBOLIC MAP OF THE WORLD

      Enhancing High-Value Electronics Shipment Security with Tive's Real-Time Tracking

    • A GRAPHIC OF INTERLACING HONEYCOMBED ELEMENTS REPRESENTING GLOBAL BUSINESS TRANSACTIONS

      Moving Robots Site-to-Site

    • JLL Finds Perfect Warehouse Location, Leading to $15M Grant for Startup

    • Robots Speed Fulfillment to Help Apparel Company Scale for Growth

    Visit Our Sponsors

    4flow Arkieva Blue Yonder
    Carton Cloud CoEnterprise Dassault
    Duravant E2Open General Logistics Systems
    Hy-Tek iGPS Korber
    Lyngsoe Procurability Quinyx
    SAP Sikick Systech
    S&P Global Mobility TADA TransImpact
    US Bank Werner Enterprises WSI
    • More From SCB
      • Featured Content
      • Video Library
      • Think Tank Blog
      • SupplyChainBrain Podcast
      • Whitepapers
      • On-Demand Webinars
      • Upcoming Webinars
    • Digital Offerings
      • Digital Issue
      • Subscribe
      • Manage Email Preferences
      • Newsletters
    • Resources
      • Events Calendar
      • 2026 Event Coverage
      • SCB's Great Supply Chain Partners
      • Supplier Directory
      • Case Study Showcase
      • Supply Chain Innovation Awards
      • 100 Great Partners Form
    • SCB Corporate
      • Advertise on SCB.COM
      • About Us
      • Privacy Policy
      • Contact Us
      • Data Sharing Opt-Out

    All content copyright ©2026 Keller International Publishing Corp All rights reserved. No reproduction, transmission or display is permitted without the written permissions of Keller International Publishing Corp

    Design, CMS, Hosting & Web Development :: ePublishing