Core Viewpoint - Kraft Heinz will eliminate FD&C artificial dyes from its products by the end of 2027 and will not introduce new products in the U.S. containing these ingredients, responding to consumer health trends and regulatory pressures [1][3]. Group 1: Company Actions - Approximately 10% of Kraft Heinz's U.S. products currently use FD&C colors, which are synthetic additives that enhance visual appeal [1]. - The company has previously removed artificial colors, preservatives, and flavors from its Kraft macaroni and cheese in 2016, and Heinz ketchup has never contained artificial dyes [2]. - Over the past five years, Kraft Heinz has made more than 1,000 recipe changes to improve product nutrition, with a focus on using natural or no colors in the majority of its products [7]. Group 2: Regulatory Environment - The decision to remove artificial dyes follows pressure from the U.S. Food and Drug Administration (FDA) and the Department of Health and Human Services, as part of a broader initiative to promote healthier food options [3][5]. - The FDA announced plans to phase out petroleum-based synthetic dyes by the end of next year, replacing them with natural alternatives, including the elimination of several specific dyes [4]. - The FDA had previously banned the use of Red No. 3 dye due to its cancer-causing properties in laboratory animals, with California already implementing a ban in 2023 [6].

Group 1 - The impact of tariffs imposed by the Trump administration is affecting major coffee brands like Kraft Heinz, which has requested suppliers to notify price increases 60 days in advance [1] - Kraft Heinz's coffee business generated net sales of $835 million, accounting for approximately 3% of its total net sales of $25.8 billion in the last fiscal year [2] - The company has raised its cost increase expectations for the year from 3% to 5%, with coffee costs expected to rise significantly due to adverse weather and crop failures, causing raw bean prices to nearly double over the past year [2] Group 2 - The Green Coffee Association's contracts stipulate that tariff costs should be borne by the buyer, indicating a clear understanding of the trade rules among coffee traders [1] - Kraft Heinz is facing challenges in maintaining its market position against private labels and startups, as sales and volumes have significantly declined in the latest quarter [2] - The company is seeking collaboration with suppliers to mitigate the impact of tariffs, highlighting the difficulties U.S. companies face in navigating the unpredictable trade policies [1]