Latest news with #HFCS
France 24
3 hours ago
- Business
- France 24
Coca-Cola plans US cane sugar alternative after Trump push
"We're going to be bringing a Coke sweetened with US cane sugar into the market this fall, and I think that will be an enduring option for consumers," said CEO James Quincey on a call with analysts. The company currently uses high-fructose corn syrup (HFCS) for many of its US products -- a sweetener that has long drawn criticism from Health Secretary Robert F. Kennedy Jr. and his "Make America Healthy Again" agenda. Trump last week said that the company had agreed to use cane sugar in the United States version of Coke. "This will be a very good move by them -- You'll see. It's just better!" Trump wrote on Truth Social. Coca-Cola at the time did not confirm the move even if it said it appreciated Trump's "enthusiasm" for its brand. In announcing the new option, Quincey insisted that the main Coke product would still be made with corn syrup, with the cane sugar version offered as an alternative. Mexican Coke -- which is made with cane sugar -- is often sold at a premium in US stores and prized for its more "natural" flavor. The US president did not explain what motivated his push for the change, which would not impact his well-known favorite beverage, Diet Coke. Since his return to the White House, Trump has reinstalled a special button in the Oval Office that summons a helping of the sugar-free carbonated drink. HFCS became popular in the 1970s, with its use skyrocketing thanks to government subsidies for corn growers and high import tariffs on cane sugar. Any shift away from corn is likely to draw backlash in the Corn Belt, a Midwestern region that has been a stronghold of support for Trump. Both HFCS and sucrose (cane sugar) are composed of fructose and glucose, but differ at the structural level. Those differences don't appear to significantly affect health outcomes, according to research. Trump's preferred Diet Coke is sweetened with aspartame -- a compound classified as a "possible carcinogen" by the International Agency for Research on Cancer (IARC).
Newsweek
4 days ago
- Health
- Newsweek
Is Mexican Coke Healthier Than US Coca-Cola? What to Know
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. President Donald Trump has announced that Coca-Cola will swap high-fructose corn syrup (HFCS) with cane sugar in a win for Health Secretary Robert F. Kennedy Jr.'s Make America Healthy Again (MAHA) initiative. Mexico is one of several countries where Coca-Cola already does this, but does it mean their Coke is healthier? The "short answer," according to Dr. Robert Lustig, who has spent more than a decade treating childhood obesity, is that "there is absolutely no difference between sucrose (Mexican Coke) and high-fructose corn syrup (U.S. Coke)." "They are both equally bad for you," Lustig told Newsweek. "They both cause mitochondrial dysfunction and chronic metabolic disease." Mexican Coke vs U.S. Coca-Cola Mexican Coke vs U.S. Coca-Cola Getty/Newsweek "The only difference is price," he added. "High-fructose corn syrup is half the cost, so manufacturers can afford to put more in, and make more profits. Otherwise, they're exactly the same." Coca-Cola has weighed in on this conversation itself, emphasizing that HFCS is safe. "The name sounds complex, but high fructose corn syrup (HFCS) – which we use to sweeten some of our beverages – is actually just a sweetener made from corn," the company said in a post on X discussing Trump's announcement. "It's safe; it has about the same number of calories per serving as table sugar and is metabolized in a similar way by your body." "The American Medical Association has confirmed that HFCS is no more likely to contribute to obesity than table sugar or other full-calorie sweeteners," the post continued. "Please be assured that Coca-Cola brand soft drinks do not contain any harmful substances." Why Is Coke Swapping Corn Syrup for Cane Sugar? On Wednesday, Trump announced on Truth Social that Coca-Cola would use cane sugar because it's "just better." "I have been speaking to Coca-Cola about using REAL Cane Sugar in Coke in the United States, and they have agreed to do so," he said on his social media platform. "I'd like to thank all of those in authority at Coca-Cola. This will be a very good move by them — You'll see. It's just better!" Coca-Cola has not yet confirmed the move itself, telling Newsweek: "We appreciate President Trump's enthusiasm for our iconic Coca‑Cola brand. More details on new innovative offerings within our Coca‑Cola product range will be shared soon." Health Secretary Kennedy, who does not deny that cane sugar is also unhealthy, has long spoken out about HFCS as part of his campaign against ultra-processed foods. Discussing the sweetener on an episode of Dr. Phil earlier this year, he said: "If you want to drink Coke, drink a Mexican Coke because they don't allow it down there." Kennedy, and other campaigners, say that HFCS has slightly different metabolic consequences. For example, cane sugar is 50 percent glucose and 50 percent fructose, while corn syrup is often 55 percent fructose and 45 percent glucose, according to the Corn Refiners Association. This slightly higher level of fructose could put extra pressure on your liver, which has to convert fructose into glucose so you can use it for energy, according to Healthline. Newsweek has contacted the United States Department of Health and Human Services, via email, for comment. What Would Coke's Shift to Cane Sugar Cost? Replace HFCS with cane sugar in some of Coca-Cola's U.S. products could carry a steep price tag and reshape agricultural demand across the country. The move would require substantial investment in new infrastructure and supply chains, according to industry analysts cited by Reuters. Ron Sterk, a senior editor at SOSland Publishing, an information provider for the ingredients industry in the U.S., told the outlet: "Food and beverage industries started to use corn syrup in the U.S. in the past because of costs. It is cheaper than sugar." Similarly, the Corn Refiners Association told Reuters: "The resulting economic shock wave would lead to rural job losses and significant economic consequences to communities across the country." One analyst, Heather Jones of Heather Jones Research, estimated that Coca-Cola's switching to cane sugar completely would cost more than $1 billion "given the current price gap between (HFCS) and cane sugar and the probability of very large price increases for the latter." What Happens Next Coca-Cola has not issued formal confirmation of a planned switch to cane sugar in its U.S. products, nor has it released a timetable for any such change. The company indicated new product announcements are forthcoming but did not specifically mention reformulating its flagship Coca-Cola beverage. It is also unclear if any regulatory or industrywide changes will follow as a result of the MAHA initiative or the White House's advocacy for reformulated foods.
Time of India
4 days ago
- Business
- Time of India
Trump's sugar economics for Coke amid the company's multi-billion tax case
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Trump, Coke and populist optics HFCS vs. sugar Tired of too many ads? Remove Ads Where Coca-Cola stands Coke's billion-dollar tax mess Impact on sugar producers and costs Nutritional nuance Ninety-four percent of the world's population recognises the red-and-white Coca-Cola logo, according to a ResearchGate study citing multiple reports. That's not a brand — it's a global reflex. And now, Donald Trump wants President Donald Trump is gettinghimself involded into the recipe of the planet's most iconic soft drink. Coca-Cola, Trump claimed this week, has agreed to replace high-fructose corn syrup (HFCS) with real cane sugar in its US-made sodas, a move he framed as a win for his "Make America Healthy Again" announcement came via Trump's Truth Social platform, where he posted a mock-up of a Coke bottle reading 'Share a Coke with Trump' and declared, 'I have been speaking to Coca-Cola about using REAL Cane Sugar in Coke in the United States, and they have agreed to do so… This will be a very good move by them — You'll see. It's just better!'Coca-Cola hasn't confirmed the a vague statement hinted at something brewing: 'More details on new innovative offerings within our Coca-Cola product range will be shared soon,' the company said, while thanking the President for his 'enthusiasm.'Coca-Cola is deeply embedded in American culture. By nudging its formula, Trump taps into nostalgia, anti-corporate sentiment, and populism. Cane sugar recalls a time when things supposedly tasted 'better,' like the Mexican Coke many Americans swear message is simple: real over artificial, sugar over syrup, 'America First', even in your also a nod to Trump's Health Secretary Robert F. Kennedy Jr., who's crusading against ultra-processed foods. Kennedy has blamed HFCS for fuelling obesity and diabetes, calling it 'just a formula for making you obese and diabetic.'HFCS, derived from corn starch, dominates US soda recipes because it's cheaper, partly due to corn subsidies and tariffs on imported became Coke's sweetener of choice in the 1980s. But many consumers prefer the cane sugar version sold abroad, which they say tastes cleaner. Trump's move channels that feeling, but swapping out HFCS isn't just accounts for about 3% of total US corn usage, 410 million bushels a year, according to the US Department of Agriculture. Removing that would ripple through corn prices and farm Corn Refiners Association (CRA) estimates such a shift could cut farm receipts by $2.2 to $5.1 billion, with worst-case losses reaching $7.5 billion. Iowa, Illinois and Nebraska alone could lose nearly $2.35 billion in the short term.'Replacing high-fructose corn syrup with cane sugar would cost thousands of American food manufacturing jobs, depress farm income, and boost imports of foreign sugar — all with no nutritional benefit,' warned CRA President and CEO John Bode, as per remains a of July 17, 2025, it had a market cap of $298.16 billion. It reported $47.06 billion in revenue for 2024, with Q1 2025 revenues at $11.13 billion (down 2% YoY due to currency swings and bottling changes), while organic revenue rose 6%.Net income in 2024 hit $10.63 billion; Q1 2025 net income rose 4.8% to $3.33 sells 500+ brands in over 200 countries, reaching 1.9 billion people daily. It led the global non-alcoholic beverage market with over 40% share in 2024, according to $478.14 billion carbonated beverage market is projected to hit $707.76 billion by 2034, as per Precedence Research. The cola segment alone could more than double, from $144.6 billion to $317.5 billion, by then, as per Prophecy Market the US, Coke held a 44.9% share of the 2024 carbonated soft drink market, which was valued at $303.11 billion and is forecast to grow to $467.18 billion by 2030, according to Grand View brands like Coke (19.2%), Sprite (8.1%), and Diet Coke (7.8%) remain also worth noting is that nearly 40% of Coca-Cola's global revenue comes from the US market alone. In 2024, North America contributed 39% to total revenue, followed by Europe, the Middle East and Africa at 23%, Latin America and Bottling Investments at 13% each, and Asia Pacific at 12%, as per the Trump touts Coca-Cola's supposed health kick, the company is fighting a far more consequential battle, with the IRS. And the outcome could reset global norms on how multinationals are goes back to 1996, when Coke and the IRS agreed on a royalty formula for profits from foreign subsidiaries: the so-called 10-50-50 rule. Under it, subsidiaries kept 10% of sales and half the residual profit; the US parent got the return, the IRS said it wouldn't impose accuracy-related penalties, so long as Coke stuck to the truce held, until 2011. As reported the Forbes, without warning, the IRS scrapped the agreement for tax years 2007 to 2009 and imposed a new method: the Comparable Profits Method (CPM), which bases income allocations on profits earned by similar independent switch inflated Coca-Cola's taxable income by $9 billion and hit it with $3.4 billion in tax deficiencies for those three years challenged the IRS in court, but in 2020, the US Tax Court largely sided with the government. While the court allowed Coke some credit for dividends paid, it upheld the IRS's overall company now owes $2.7 billion in back taxes, $6 billion with September 2024, Coca-Cola wired the full $6 billion to the IRS, labelling it a 'tax litigation deposit.' The company is still appealing, but the money's already argues that the IRS pulled a bait and switch. After encouraging use of the 10-50-50 formula for years, the agency retroactively changed the rules and punished the company for following its its own words, the IRS 'handed Coca-Cola a $3 billion jaywalking ticket' after leading it into the the IRS accuses Coca-Cola of shifting billions in profits to low-tax countries like Ireland, Brazil, and Eswatini. In court, Judge Albert Lauber called the company's global tax structure 'astronomical.'The fallout is already in May 2024 raised $4 billion in debt, partly to deal with the Express reported that the case could curb acquisitions and buybacks. Al Jazeera pegged the company's total exposure at up to '$16 billion, almost two years' worth of profits.A shift to cane sugar would likely boost demand for domestic producers, particularly in Florida and Louisiana, where most of the US cane sugar industry is based. In 2024, the US sugar market stood at 48.1 million tons, as per IMARC, and the cane segment accounted for roughly 40–45% of total supply, USDA ERS, shift would be welcomed by powerful industry groups like the American Sugar Alliance, which have long advocated for reduced reliance on being shielded by the US Sugar Program, which keeps domestic prices high through tariffs and quotas, cane sugar producers have struggled. They face rising input costs, margin pressures, and stiff competition from cheaper HFCS, widely adopted since the sector has also seen significant consolidation, with sugarcane farms declining by 31% between 1997 and 2022, as reported Southern Ag Today. For many growers, a move back to real sugar in sodas would be a rare opportunity to reclaim lost the cost implications are sugar costs between $0.40 and $0.50 per pound in the US, compared to $0.20–$0.30 for HFCS. That could mean $800–$900 million in added annual costs for Coca-Cola alone, Hindustan Times reported, based on its estimated use of 2.7 billion pounds of could see price hikes of 10–15% on sweetened drinks, as per would also force 'massive supply chain overhauls,' from storage to equipment labour impact is mixed. Corn processors and HFCS refiners may face job cuts, thousands, according to the CRA. Meanwhile, sugar refining jobs could grow slightly, but direct employment in that sector is modest — 14,000 to 15,000 people, as per IBISWorld, switching to cane sugar may not mean much. The FDA has stated there's no evidence of a meaningful safety difference between HFCS and cane sugar. Harvard nutritionist Frank Hu summed it up: 'Sugar in general' is the problem, not which the war on ultra-processed food is as much cultural as medical, and Trump is using that is more than a formula change, it's a potential $6 billion shake-up in the domestic sugar economy, which accounts for 30% of US sugar announcement may be political theatre, but for Coca-Cola, it could be smart brand positioning. With tax agents closing in and consumers rethinking processed foods, appearing to respond to health concerns could be a reputational buffer.'Real sugar Coke' fits 2025's consumer trends: nostalgia, authenticity and clean-label marketing. But overhauling sugar sourcing, supply chains and formulas won't be easy.
Economic Times
4 days ago
- Business
- Economic Times
Trump's sugar economics for Coke amid the company's multi-billion tax case
Synopsis Trump claims Coca-Cola will switch to real cane sugar in US-made sodas, a move framed as a health win, though Coca-Cola's confirmation is vague. This shift taps into nostalgia and anti-corporate sentiment, potentially impacting corn farmers and sugar producers. Meanwhile, Coca-Cola faces a massive IRS dispute over profit-shifting, adding financial pressure. Ninety-four percent of the world's population recognises the red-and-white Coca-Cola logo, according to a ResearchGate study citing multiple reports. That's not a brand — it's a global reflex. And now, Donald Trump wants President Donald Trump is gettinghimself involded into the recipe of the planet's most iconic soft drink. Coca-Cola, Trump claimed this week, has agreed to replace high-fructose corn syrup (HFCS) with real cane sugar in its US-made sodas, a move he framed as a win for his "Make America Healthy Again" announcement came via Trump's Truth Social platform, where he posted a mock-up of a Coke bottle reading 'Share a Coke with Trump' and declared, 'I have been speaking to Coca-Cola about using REAL Cane Sugar in Coke in the United States, and they have agreed to do so… This will be a very good move by them — You'll see. It's just better!'Coca-Cola hasn't confirmed the a vague statement hinted at something brewing: 'More details on new innovative offerings within our Coca-Cola product range will be shared soon,' the company said, while thanking the President for his 'enthusiasm.' Coca-Cola is deeply embedded in American culture. By nudging its formula, Trump taps into nostalgia, anti-corporate sentiment, and populism. Cane sugar recalls a time when things supposedly tasted 'better,' like the Mexican Coke many Americans swear message is simple: real over artificial, sugar over syrup, 'America First', even in your also a nod to Trump's Health Secretary Robert F. Kennedy Jr., who's crusading against ultra-processed foods. Kennedy has blamed HFCS for fuelling obesity and diabetes, calling it 'just a formula for making you obese and diabetic.'HFCS, derived from corn starch, dominates US soda recipes because it's cheaper, partly due to corn subsidies and tariffs on imported became Coke's sweetener of choice in the 1980s. But many consumers prefer the cane sugar version sold abroad, which they say tastes cleaner. Trump's move channels that feeling, but swapping out HFCS isn't just accounts for about 3% of total US corn usage, 410 million bushels a year, according to the US Department of Agriculture. Removing that would ripple through corn prices and farm Corn Refiners Association (CRA) estimates such a shift could cut farm receipts by $2.2 to $5.1 billion, with worst-case losses reaching $7.5 billion. Iowa, Illinois and Nebraska alone could lose nearly $2.35 billion in the short term.'Replacing high-fructose corn syrup with cane sugar would cost thousands of American food manufacturing jobs, depress farm income, and boost imports of foreign sugar — all with no nutritional benefit,' warned CRA President and CEO John Bode, as per remains a of July 17, 2025, it had a market cap of $298.16 billion. It reported $47.06 billion in revenue for 2024, with Q1 2025 revenues at $11.13 billion (down 2% YoY due to currency swings and bottling changes), while organic revenue rose 6%.Net income in 2024 hit $10.63 billion; Q1 2025 net income rose 4.8% to $3.33 sells 500+ brands in over 200 countries, reaching 1.9 billion people daily. It led the global non-alcoholic beverage market with over 40% share in 2024, according to $478.14 billion carbonated beverage market is projected to hit $707.76 billion by 2034, as per Precedence Research. The cola segment alone could more than double, from $144.6 billion to $317.5 billion, by then, as per Prophecy Market the US, Coke held a 44.9% share of the 2024 carbonated soft drink market, which was valued at $303.11 billion and is forecast to grow to $467.18 billion by 2030, according to Grand View brands like Coke (19.2%), Sprite (8.1%), and Diet Coke (7.8%) remain also worth noting is that nearly 40% of Coca-Cola's global revenue comes from the US market alone. In 2024, North America contributed 39% to total revenue, followed by Europe, the Middle East and Africa at 23%, Latin America and Bottling Investments at 13% each, and Asia Pacific at 12%, as per the Trump touts Coca-Cola's supposed health kick, the company is fighting a far more consequential battle, with the IRS. And the outcome could reset global norms on how multinationals are goes back to 1996, when Coke and the IRS agreed on a royalty formula for profits from foreign subsidiaries: the so-called 10-50-50 rule. Under it, subsidiaries kept 10% of sales and half the residual profit; the US parent got the rest. In return, the IRS said it wouldn't impose accuracy-related penalties, so long as Coke stuck to the truce held, until 2011. As reported the Forbes, without warning, the IRS scrapped the agreement for tax years 2007 to 2009 and imposed a new method: the Comparable Profits Method (CPM), which bases income allocations on profits earned by similar independent switch inflated Coca-Cola's taxable income by $9 billion and hit it with $3.4 billion in tax deficiencies for those three years challenged the IRS in court, but in 2020, the US Tax Court largely sided with the government. While the court allowed Coke some credit for dividends paid, it upheld the IRS's overall company now owes $2.7 billion in back taxes, $6 billion with September 2024, Coca-Cola wired the full $6 billion to the IRS, labelling it a 'tax litigation deposit.' The company is still appealing, but the money's already argues that the IRS pulled a bait and switch. After encouraging use of the 10-50-50 formula for years, the agency retroactively changed the rules and punished the company for following its guidance. In its own words, the IRS 'handed Coca-Cola a $3 billion jaywalking ticket' after leading it into the the IRS accuses Coca-Cola of shifting billions in profits to low-tax countries like Ireland, Brazil, and Eswatini. In court, Judge Albert Lauber called the company's global tax structure 'astronomical.'The fallout is already visible. Coca-Cola in May 2024 raised $4 billion in debt, partly to deal with the load. Financial Express reported that the case could curb acquisitions and buybacks. Al Jazeera pegged the company's total exposure at up to '$16 billion, almost two years' worth of profits.A shift to cane sugar would likely boost demand for domestic producers, particularly in Florida and Louisiana, where most of the US cane sugar industry is based. In 2024, the US sugar market stood at 48.1 million tons, as per IMARC, and the cane segment accounted for roughly 40–45% of total supply, USDA ERS, shift would be welcomed by powerful industry groups like the American Sugar Alliance, which have long advocated for reduced reliance on being shielded by the US Sugar Program, which keeps domestic prices high through tariffs and quotas, cane sugar producers have struggled. They face rising input costs, margin pressures, and stiff competition from cheaper HFCS, widely adopted since the sector has also seen significant consolidation, with sugarcane farms declining by 31% between 1997 and 2022, as reported Southern Ag Today. For many growers, a move back to real sugar in sodas would be a rare opportunity to reclaim lost the cost implications are sugar costs between $0.40 and $0.50 per pound in the US, compared to $0.20–$0.30 for HFCS. That could mean $800–$900 million in added annual costs for Coca-Cola alone, Hindustan Times reported, based on its estimated use of 2.7 billion pounds of could see price hikes of 10–15% on sweetened drinks, as per would also force 'massive supply chain overhauls,' from storage to equipment labour impact is mixed. Corn processors and HFCS refiners may face job cuts, thousands, according to the CRA. Meanwhile, sugar refining jobs could grow slightly, but direct employment in that sector is modest — 14,000 to 15,000 people, as per IBISWorld, switching to cane sugar may not mean much. The FDA has stated there's no evidence of a meaningful safety difference between HFCS and cane sugar. Harvard nutritionist Frank Hu summed it up: 'Sugar in general' is the problem, not which the war on ultra-processed food is as much cultural as medical, and Trump is using that is more than a formula change, it's a potential $6 billion shake-up in the domestic sugar economy, which accounts for 30% of US sugar announcement may be political theatre, but for Coca-Cola, it could be smart brand positioning. With tax agents closing in and consumers rethinking processed foods, appearing to respond to health concerns could be a reputational buffer.'Real sugar Coke' fits 2025's consumer trends: nostalgia, authenticity and clean-label marketing. But overhauling sugar sourcing, supply chains and formulas won't be easy.
Indian Express
5 days ago
- Business
- Indian Express
Coca-Cola refutes Trump's sugar claim, backs corn syrup as ‘safe'
The Coca-Cola Company has defended its continued use of high-fructose corn syrup (HFCS) in its US beverages, responding to Donald Trump's claim that he had persuaded the brand to switch to using real cane sugar instead. 'I have been speaking to Coca-Cola about using REAL Cane Sugar in Coke in the United States, and they have agreed to do so,' Trump said in a Truth Social post late Tuesday. 'I'd like to thank all of those in authority at Coca-Cola. This will be a very good move by them — You'll see. It's just better!' Coca-Cola initially issued a polite statement thanking 'President Trump's enthusiasm' for the brand, saying it looked forward to 'new innovative offerings within our Coca-Cola product range.' But by Thursday, the beverage giant issued a more detailed defence of HFCS, a sweetener that has long been controversial and blamed by some for contributing to rising obesity rates in the US. 'The name sounds complex, but high fructose corn syrup (HFCS) – which we use to sweeten some of our beverages – is actually just a sweetener made from corn,' the company said in a statement, The Guardian reported. 'It's safe; it has about the same number of calories per serving as table sugar and is metabolized in a similar way by your body.' The company cited the American Medical Association (AMA), saying it 'has confirmed that HFCS is no more likely to contribute to obesity than table sugar or other full-calorie sweeteners,' and added, 'Please be assured that Coca-Cola brand soft drinks do not contain any harmful substances.' In 2023, the AMA had stated that 'insufficient evidence exists to specifically restrict use of high fructose corn syrup (HFCS) or other fructose-containing sweeteners in the food supply or to require the use of warning labels on products containing HFCS.' As per report by The Guardian, Trump's fondness for Diet Coke is well known — including the installation of a red button in the Oval Office that summoned a butler with a can of the beverage. Diet Coke, however, does not use corn syrup or cane sugar; it's sweetened with aspartame, a low-calorie artificial sweetener.
