Coca-Cola to launch new cane sugar Coke drink following pressure from Trump

For decades, Coca-Cola has used high fructose corn syrup to sweeten its signature product in the U.S. However, a pricier version of the soft drink that’s sweetened with cane sugar and imported into the U.S. from Mexico has gained a cult following. Photo by Nam Y. Huh /The Associated Press

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Coca-Cola Co. said it plans to launch a new Coke product for American consumers made with U.S. cane sugar this fall.

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Tuesday’s announcement came less than a week after U.S. President Donald Trump said in a Truth Social post that the company agreed to use cane sugar in Coke beverages sold in the United States. On a call with analysts, chief executive James Quincey thanked the president for his “enthusiasm for our Coca-Cola brand.”

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The company also posted second-quarter sales growth and profit that beat Wall Street expectations as consumers continued to pay higher prices for the company’s soft drinks. It now expects full-year comparable earnings per share growth of about three per cent, up from a range of two per cent to three per cent.

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The shares slipped 1.4 per cent at 9:35 a.m. Tuesday in New York trading. The stock advanced 13 per cent so far this year through Monday’s close, outpacing the S&P 500 index.

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For decades, Coca-Cola has used high fructose corn syrup, which is cheaper than cane sugar, to sweeten its signature product in the U.S. However, a pricier version of the soft drink that’s sweetened with cane sugar and imported into the U.S. from Mexico has gained a cult following.

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Prior to the earnings release, CFRA analyst Arun Sundaram wrote that it’s “highly unlikely” that Coca-Cola would fully eliminate corn syrup from its lineup, adding that “a more plausible outcome is the introduction of a new product line made with cane sugar, which would likely carry a higher cost and retail price.”

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U.S. cane sugar production in the 2025-26 season is expected to account for roughly 30 per cent of the nation’s sugar supply, according to the Department of Agriculture. The remainder comes from sugar beets, as well as imports from Mexico and other countries.

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Health and Human Services Secretary Robert F. Kennedy Jr. has railed against the prevalence of ultra-processed foods, which are generally more likely to use high-fructose corn syrup, which he has said “is everywhere” and contributes to making Americans unhealthy.

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The new Coke product shows how the Trump administration is wresting change from companies through pressure, rather than new laws or regulations.

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Last week, WK Kellogg Co. said it will remove synthetic dyes from its products, including its colorful cereals. Froot Loops in particular has been called out by Kennedy and his “Make America Healthy Again” movement for its use of artificial colours.

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In the second quarter, Coca-Cola reported a one per cent decline in total volumes sold globally, but the company has maintained sales growth by offering smaller-sized packaging.