economy

Financing

Restaurant menu price inflation eased last month

Food away from home prices grew at less than half the rate as grocery prices. Egg prices took off in January.

Operations

Trump plans more tariffs on foreign steel and aluminum

The president says he will enact levies on two metals that are key for both construction and equipment manufacturers. Will this raise the cost of restaurant expansion?

The industry shed 15,700 jobs in January and readjustments mean restaurants and bars employ about 100,000 fewer people than initially thought.

The National Restaurant Association is bullish on industry sales and expects foodservice sales to grow 4.1% in 2025, thanks in part to “pent-up demand.”

Franchise growth is expected to outpace the broader economy on multiple measures in 2025, according to the International Franchise Association. Restaurants are expected to lead that growth.

The Bottom Line: An aging population could be putting some pressure on industry sales, as older people tend to eat out less often.

The Trump Administration imposed 25% tariffs on Canada and Mexico and 10% tariffs on China. The result could drive up the costs of commodities like avocados and baked goods, while slowing economic growth.

Threatened tariffs on Mexico, Canada and China could have a widespread impact on the industry, as could immigration restrictions, just as the environment normalizes.

The price of eggs has more than doubled over the past year as avian influenza hits poultry farms across the country.

It was a fitting end to a year marked by closures, bankruptcies and weak traffic. The industry appeared to lose sales to grocery and liquor stores.

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