ACCC targets Banana Boat, Hawaiian Tropic over greenwashing claims
The parent companies of popular sunscreen brands Hawaiian Tropic and Banana Boat have been targeted by the Australian Competition and Consumer Commission (ACCC) for allegedly making false or misleading claims that more than 90 sunscreen products were 'reef friendly'.
The watchdog submitted that Edgewell Personal Care Australia breached consumer law by making the claims on websites, in social media, catalogues and other publications and including a 'reef friendly' logo.
The claims were allegedly based on guidance, advice and direction from the US-based parent company Edgewell Personal Care Company (PCC).
The parent companies of popular sunscreen brands Hawaiian Tropic and Banana Boat claimed more than 90 sunscreen products were 'reef friendly'. Picture: ACCC
Some of the products contained this marketing. Picture: ACCC
Edgewell bolstered its 'reef friendly' assertions by claiming the sunscreens didn't contain the chemicals oxybenzone or octinoxate – banned in some jurisdictions, including Hawaii – that could cause damage to reefs.
However, the ACCC argued the products included other ingredients that could harm, or risked causing harm, to reefs, including to coral and marine life.
These included octocrylene, homosalate, 4-methylbenzylidene camphor, and butyl methoxydibenzoylmethane.
Further, the ACCC claimed Edgewell PCC and/or Edgewell Australia knew of studies, reports and literature that indicated some of the ingredients could affect reefs or that there was a risk of harm, but the companies didn't commission any testing to determine the impact.
ACCC deputy chair Catriona Lowe said the alleged conduct constituted greenwashing, which deprived consumers of the chance to make informed decisions.
'We allege that Edgewell engaged in greenwashing by making claims about the environmental benefits of Hawaiian Tropic and Banana Boat sunscreens that it had no reasonable or scientific basis to make,' Ms Lowe said.
Banana Boat sunscreen products are involved in the ACCC's case. Picture: Supplied.
'Many consumers consider environmental factors when purchasing products. By engaging in this alleged greenwashing, we say Edgewell deprived consumers of the ability to make an informed decision and may have prevented them from purchasing a different brand of sunscreen that did not contain chemicals which risked causing harm to reefs.'
Ms Lowe said businesses needed to be able to substantiate claims of environmental credentials, including by reliable scientific reports or reputable third-party certification.
The 'reef friendly' branding was removed from Edgewell's US sunscreen products in about 2000; however, the watchdog alleged the claim continued to be made in Australia until about the end of 2024.
Federal Court action was launched against the companies on June 30, with the ACCC arguing Edgewell didn't have any reasonable basis to make the 'reef friendly' claims and that there wasn't any appropriate scientific evidence or testing at the time the representations were made.
The 'reef friendly' claim was made on the Hawaiian Tropic product packaging, the Hawaiian Tropic and Banana Boat websites, social media and advertisements in third-party publications, the statement of claim alleged.
The conduct 'took advantage of consumers' concerns' about environmental impact and deprived them of the chance to make informed purchasing decisions, lawyers on behalf of the ACCC claimed.
Clareese Packer
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Clareese is a Court Reporter at NewsWire. She previously covered breaking news for the outlet after completing the 2023 NewsCorp cadet program, where she worked at The Australian, news.com.au, The Daily Telegraph, the National News Network and NewsWire.
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