Why Trump's war on Oreos faded to the background

Dive Brief:

  • Donald Trump spoke out against Mondelez International Inc., owner of the iconic Oreo cookie brand, for sending jobs overseas during his campaign, but has been mum on the company since winning the election, according to Bloomberg

  • Companies such as Ford, Carrier and Boeing have been called out by President-elect Trump since his win, causing stock fluctuations and investment problems. Some wonder if Mondelez will face similar scrutiny soon.
  • Mondelez makes more than 70% of its revenue outside North America and has invested approximately $450 million in U.S. manufacturing facilities over the last five years. 

Dive Insight:

Back in November of 2015, Donald Trump proclaimed he was “never eating another Oreo again” because of Mondelez's decision to downsize a Chicago-based plant and move some of the production to Mexico.

Trump was wrong about some of his assertions at the time. He said the Chicago plant was closing when it wasn’t and overstated the job losses by about 600.

Oreos are still being made in three U.S.-based factories — Fair Lawn, NJ; Richmond, VA; and Portland, OR. Mondelez has invested more than $130 million to modernize these manufacturing sites in recent years, so it’s not as if the food manufacturer was cutting ties with the U.S. It was only moving one part of its business operations out of the country, and that could be a reason why Trump hasn’t revisited this battle since his presidential win.

Unlike auto companies and some of the other businesses the President-elect has spoken out (or tweeted) against, Trump's stances on food manufacturers might may not garner as much attention. Getting consumers — regardless of their politics — to boycott a favorite food is also no easy task.

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Filed Under: Manufacturing Corporate Policy
Top image credit: Flickr user DarylLouie