YES

TRS:

  app(app(apply(),f),x) -> app(f,x)

max/plus interpretations on N:

  app_A(x1,x2) = max{0, x1, x2}
  app#_A(x1,x2) = max{0, x1, x2}
  apply_A = 0
  apply#_A = 0

precedence:

  app = apply