Operations
Chobani plans to invest $1.2 billion to acquire and expand a plant in Allentown, Pennsylvania, formerly owned by Keurig Dr Pepper, with a transaction amount of $125 million. The new plant will produce high-protein, low-sugar milk and support the company's new product development. This move is part of Chobani's over $4 billion investment in U.S. manufacturing network, with the company achieving an annual growth rate of 20% over the past three years.
PDD Holdings, parent of Temu, is adapting its supply chain to mitigate the effects of the EU's new €3 customs duty on items worth €150 or less, effective July 1. Co-CEO Lei Chen outlined measures including onboarding local merchants and developing local warehousing. The company faces reduced fulfillment efficiency and higher costs, but aims to offset these by strengthening local operations, a strategy also used after U.S. de minimis changes.
Starbucks confirmed that Andrew Konah will assume the role of Senior Vice President of Supply Chain Operations on August 24. Konah previously worked at Nike for over nine years, holding positions including Vice President of Global Supply Chain and Planning Operations. Starbucks is enhancing supply chain efficiency through technology and process optimization, including testing a 24-hour replenishment model, and has experimented with AI inventory tools that did not meet expectations.
On August 25, Suntory Global Spirits announced that Manuel Cabañas, currently Vice President of Global Manufacturing, will be promoted to Senior Vice President and Chief Supply Chain Officer, effective September 4. He will lead the global supply chain organization for brands including Jim Beam and Maker's Mark, reporting to President and CEO Greg Hughes. His predecessor, Alex Alvarez, will move to Constellation Brands' beer division.
Constellation Brands announced on August 25 that Alex Alvarez will assume the role of Senior Vice President and Chief Supply Chain Officer of the beer division starting September 14, succeeding John Kester, who plans to retire in November. Alvarez brings over 30 years of experience in operations and supply chain management, having previously held a similar position at Suntory Global Spirits.
During its second-quarter earnings call, Target stated that inventory availability for its most frequently purchased products has reached its strongest level in recent years, thanks to collaborative improvements across supply chain, merchandising, and store teams, as well as the support of digital tools such as Proxima.
The U.S. has postponed the 50% tariffs on a range of Canadian imports, originally set for Wednesday, for three days. President Trump signed a proclamation delaying the duties to August 22, following Canada's expressed commitment to resolve trade issues. Negotiations continue, with both sides indicating progress.
Ford Motor Co. announced it will stop importing China-built Lincoln models into the U.S., including the Nautilus SUV, as part of a strategy to reduce tariff exposure and comply with the Connected Vehicles Rule. The company plans to increase U.S. production of Lincoln vehicles from 2030, potentially creating thousands of jobs.