Apple of Tariffs, Egg-spensive Eats, & Crude Adjustments
Good morning! Today's Workday Dash is bringing you more heat than a skillet at Denny’s! ?? While Apple is serving up a massive $500 billion investment in U.S. facilities (and we’re all ears for those supply chain shifts), Denny’s is cracking under the egg shortage pressure with temporary surcharges on your favorite breakfast combos. Who knew eggs would become the VIP of the supply chain world?
Meanwhile, Chevron is trimming 15-20% of its workforce and restructuring its business, proving that even oil giants need a tune-up now and then. If your logistics strategy isn’t flexible, you might end up scrambling—kind of like your eggs.
Buckle up for today’s supply chain headlines!
“Do as much homework as you can. Learn everybody’s job and don’t just settle.” —Michael B. Jordan
Apple's $500 Billion U.S. Investment: A Strategic Move Amid Tariff Tensions
Apple just dropped a cool $500 billion investment announcement to expand its U.S. facilities over the next four years. We're talking 20,000 new jobs and a potential strategy to dodge those new 10% tariffs on Chinese imports. While Trump may be taking a victory lap, this move aligns with Apple’s longer-term plan to reduce its dependence on China—something they’ve been working on since the pandemic.
What’s on the horizon? A shiny new AI-focused server facility in Houston, data center expansions across the U.S., and an AI and smart manufacturing academy in Detroit. It's a big play that could not only boost American innovation but also shake up the supply chain and logistics game.
?? Why It Matters: More domestic production could mean more freight moving within the U.S., less reliance on international imports, and fresh opportunities for trucking, rail, and warehousing.
?? Hot Take: As Apple leans into U.S. manufacturing, logistics pros should keep an eye on shifting freight patterns. And if Apple scores a tariff exemption, it could spark a trend of big names looking to serve up a slice of that “Apple pie” in domestic logistics!
Denny’s Adds Temporary Egg Surcharges Amid Shortage
Denny’s just announced temporary surcharges on meals with eggs due to the nationwide egg shortage. With bird flu causing millions of hens to be culled, egg prices have soared, and supply is tighter than ever. Depending on regional impacts, the surcharge will vary across Denny’s 1,500 locations. And they’re not alone—Waffle House is charging extra per egg, while grocery stores like Trader Joe’s and Walmart are limiting egg purchases.
?? Why It Matters: This isn’t just about pricier breakfasts. The egg shortage is a real supply chain story. When a staple like eggs faces disruptions, it sends shockwaves through the logistics world—from tighter inventory management to the need for faster, more reliable delivery routes. For transportation pros, this could mean shifting strategies, adjusting cold storage needs, and jumping on new opportunities to keep the food supply chain moving.
?? Hot Take: With eggs cracking under pressure, logistics pros who can help stabilize fragile food supply chains might just find themselves sitting on a golden (egg) opportunity!
Chevron Announces Layoffs and Restructuring Amid Growth Plans
Chevron (NYSE:CVX) is shaking things up, announcing a 15-20% reduction in its global workforce and a major restructuring of its business segments. The Oil, Products & Gas unit will merge into the Upstream and Downstream, Midstream & Chemicals segment, led by Mark Nelson. CEO Mike Wirth says the goal is simple: boost efficiency and fuel long-term growth.
This restructuring is all about tightening up operations and hitting ambitious targets—like adding $8 billion in free cash flow by 2026. Chevron’s expansion strategy includes ramping up oil production in Kazakhstan, U.S. shale, and the Gulf of Mexico, with a bold goal of hitting 300,000 barrels per day by 2026.
On top of that, Chevron’s $53 billion acquisition of Hess Corp. (NYSE:HES) is nearly wrapped up, with the FTC giving the green light.
?? Why It Matters: When Chevron makes a move, it’s not just an oil industry story—it’s a supply chain story. More oil production means more demand for logistics, from shipping and storage to distribution. And with a leaner business model, Chevron might be looking for new logistics partnerships or reevaluating existing ones.
?? Hot Take: As Chevron gears up to boost production in the Gulf of Mexico, logistics pros should prepare for increased action in bulk liquid transport. When oil giants pivot, it’s a sign to get your supply chain strategy in gear!