United StatesRules on potentially harmful food additives are tightening across the US, reflecting public concerns about artificial ingredients in one of the world’s largest food markets.
As consumer preferences and tighter regulation – at both the state and federal level – reshape the US food industry, we believe there are significant opportunities for companies specialising in the reformulation of food products.
Additives are a common concern
Three-fifths of food products purchased by Americans contain food additives, including colouring or flavouring agents, preservatives and sweeteners, up from half in 2001.1
In a 2024 survey, almost half (45%) of Americans cited the ubiquity of artificial ingredients in products as one of their top five food-related issues.2
Common concerns relate to their connection with high childhood obesity and diabetes, which both afflict more than one in five US children, and rising rates of childhood cancer and neurodevelopmental disorders.3
Source: Verisk, May 2024
Subhead: Number of additives permitted in the food supply, EU vs US
Overview: This graphic compares the number of food additives that are permitted in the food supply in the EU and the US, respectively. It highlights the vast disparity between the two markets, with more than ten times as many food additives permitted in the US.
The tightening ratchet of regulation
The US has historically lagged other developed markets in regulating the composition of food products and investigating the health impacts of certain ingredients (see graphic above).4 Additives are therefore much more prevalent in US products. On average, US food and beverage products contain 4.5 additives.5 In contrast, only one-in-six food products in France contain four additives or more.6
Some of the most harmful additives are now being phased out by federal and state regulators.
The first additive to receive a federal ban, in January 2025, was Red Number 3. Also known as erythrosine, this synthetic food dye – which gives foods and drinks a bright, cherry colour – has been linked to cancer and hyperactivity in children.7 It has been banned from inclusion in food products in California since 2023.
As the Food and Drug Administration (FDA) mulls further nationwide bans on additives, state-level legislation is already coming into effect. California and West Virginia, for example, have respectively announced bans on six and seven harmful food dyes, including Blue Numbers 1 and 2 and Yellow Numbers 5 and 6, from school meals.8
Ultra-processed food packaging is also in focus. In June, Texas gave food manufacturers until the end of 2026 to place warning labels on products that contain any one of 40-plus synthetic food additives.9
Reformulation as a solution
The regulatory direction of travel presents significant challenges for manufacturers, for whom replacing just one ingredient can dramatically impact the taste, colour and texture of food products – and so their desirability.
While natural alternatives, such as colourants derived from fruits and vegetables, can often be used to replace synthetic ingredients, tweaking product formulations can, if unsuccessful, threaten consumer demand for high-value product lines. For example, a high-profile consumer backlash followed the removal of artificial colours from Trix cereal in 2016 that resulted in “depressing” colours and changes to flavour.10
To overcome the technical challenge of creating healthier products while maintaining the qualities that consumers demand, many food manufacturers partner with specialist ingredient companies.
As well as developing reformulations that substitute banned or harmful ingredients, the likes of Kerry offer off-the-shelf solutions that can reduce sugar, fat and salt. The Irish-listed company’s ‘Tastesense’ platform provides flavour and taste modulators that maintain products’ flavour intensity and sensory experience while improving their health profile.11
DSM-Firmenich, a Dutch-listed peer, also offers a range of reformulation solutions. Among its fermentation-based products is a gellan gum that can substitute for carrageenan and gelatin as a gelling agent in applications including confectionery.12
Source: Consumer Federation of America, 2024: Ultra-processed foods: why they matter and what to do about it
Subhead: Selected additives in US and European versions of popular branded food products
Overview: This graphic compares the additives in US versions of selected popular branded food products with substitutes used in European equivalents of the same branded products. It serves to highlight how food additives have been replaced with more natural alternatives for the European market.
We believe the regulatory shift against harmful artificial additives in the US should support demand for healthier alternatives, as comparable policies have elsewhere. For instance, front-of-package warnings in Chile led to 27% and 37% reductions in purchases of food labelled as ‘high’ in sugar and salt, respectively.13
We expect that the recommendations of the ‘Make America Healthy Again’ (MAHA) Commission will reinforce the US food industry’s appetite for reformulation of ultra-processed products. Major US food product manufacturers Kellanova and KraftHeinz have already committed to replacing artificial dyes from their US portfolios by 2027. PepsiCo also plans to move its entire portfolio (which includes Cheetos snacks and Gatorade drinks) to natural colours.14
By leveraging their science-led expertise, we believe that specialist ingredients companies can enable the shift towards safer and more nutritious products, without compromising on taste or texture.
1 Dunford, E.K., Miles, D.R., & Popkin, B., June 2023: Food Additives in Ultra-Processed Packaged Foods: An Examination of US Household Grocery Store Purchases. Journal of the Academy of Nutrition and Dietetics
2 Research America, April 2024: 2024 Food and Nutrition Survey
3 White House, February 2025: The MAHA Report
4 Maffini, M.V., Neltner, T.G. & Vogel, S., 2017: We are what we eat: Regulatory gaps in the United States that put our health at risk. PLOS Biology
5 Dunford, E.K., Miles, D.R., & Popkin, B., June 2023: Food Additives in Ultra-Processed Packaged Foods: An Examination of US Household Grocery Store Purchases. Journal of the Academy of Nutrition and Dietetics
6 Chazelas, E., et al., 2020: Food additives: distribution and co-occurrence in 126,000 food products of the French market. Scientific Reports
7 Youself, N., 15 January 2025. US bans red dye 3 from some frosting, candy and medicine. BBC
8 EWG, September 2024: California leads the nation with first ban on six harmful food dyes in school food; and CBS, 25 March 2025: West Virginia bans 7 artificial food dyes, citing potentially harmful health effects
9 The Senate of Texas, 26 June 2025: Bill to make Texas healthy again signed into law
10 Gasparro, A., 21 September 2017: Silly Rabbit! Original Trix With Artificial Colors Is Back After Customers Revolt. Wall Street Journal
11 Kerry Group, 2025
12 DSM-Firmenich, 2025
13 Taillie, L.S. et al, 2021: Changes in food purchases after Chile’s polices on food labeling, marketing, and sales in schools: a before and after study. Lancet Planet Health
14 DiNapoli, J. & Tabassum, J., 17 July 2025: PepsiCo to rebrand Lay’s, Tostitos without artificial dyes, flavors. Reuters
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