Coca-Cola has revealed plans to launch a new variant of its iconic soft drink sweetened with cane sugar in the US, following a recent push from President Donald Trump, who has advocated for a shift away from high-fructose corn syrup (HFCS) in favour of cane sugar, framing it as a healthier alternative.
Coca-Cola's confirmation comes after Trump's comments on his social media platform, where he commented: “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”. The statement aligns with Trump’s broader 'Make America Healthy Again' initiative, which aims to promote what he describes as “purer, better products”.
The new cane sugar variant will serve as a complement to Coca-Cola's product portfolio (rather than a replacement) as stated in the company's quarterly update to investors on July 22, 2025. CEO James Quincey explained that the company had to offer consumers a range of sweetening alternatives to accommodate different consumer preferences.
The cane sugar variant introduces considerably more than a new product. It could have larger implications for the food and beverage industry in general. The US beverage industry has been committed to using high fructose corn syrup since the 1970s - largely for economic reasons (less costly due to government subsidies and technical innovations in corn refining). As a result, the US remains the largest corn exporter globally, with the corn refining industry supporting approximately 9,700 jobs.
Still, the production of cane sugar is confined to tropical sites, with Brazil, India, and Thailand being the major producers in the world. The production of cane sugar exists in federal tariffs and quotas that prevent US cane sugar producers from reacting to an alteration in ingredient sourcing.
Health concerns of HFCS have refocused the public's attention because of the alarming remarks by Health Secretary Robert F. Kennedy Jr., who deemed HFCS as ''a formula for making you (sic) obese and diabetic." Even though a few health professionals may say HFCS and cane sugar produce similar health effects, the perspective that cane sugar is more natural than HFCS can affect an individual's purchasing decisions.
The natural sweeteners industry will grow at a rate of 3.82% CAGR from 2025-2032, as per Coherent Market Insights. USD 3.84 Bn in 2025 will increase to approximately USD 4.99 Bn in 2032. Growing awareness about healthy lifestyle among consumers is influencing the market size.
Coca-Cola has already seen a shift in consumer preferences, with its Coca-Cola Zero Sugar experiencing a 14% increase in global volumes last year, contrasting with only a 2% growth for traditional full-sugar sodas. This trend highlights a growing demand for products perceived as healthier.
The political backdrop of this announcement cannot be overlooked. Trump's advocacy for cane sugar has caused fluctuations in the stock prices of major corn processors, demonstrating how political rhetoric can impact commodity markets. The Corn Refiners Association has expressed concerns that a widespread shift to cane sugar could threaten thousands of manufacturing jobs and harm farm incomes.
John Bode, chair of the Corn Refiners Association, commented, “For economic and practical reasons, Coca-Cola is more likely to introduce a cane sugar option for the US market rather than abandon HFCS altogether.” He warned that such a move could increase reliance on imported sugar, raising production costs without providing nutritional benefits.
Source:
Ecommerce PLatform: FOODBEV MEDIA Ltd.
Company: Coca-Cola
