Coca-Cola Faces Scrutiny Over Ties to Texas Fracking Operation Supplying Plastics
Coca-Cola and several global consumer brands are facing criticism following reports linking them to natural gas fracking operations in Texas, which are supplying the raw materials used in their plastic packaging.
A Permian Basin site operated by oil and gas firm Targa Resources is currently being used to extract natural gas liquids, which are processed into ethane and then converted into ethylene — a key ingredient in polyethylene plastic. This plastic is widely used in single-use packaging, including beverage bottles and food containers.
Recent reporting has revealed that customers of the ethylene produced at this site include petrochemical companies that supply major CPG players like Coca-Cola, Unilever, and Nestlé. While these brands do not directly operate the fracking or processing plants, they are part of a supply chain that critics argue perpetuates environmental harm from both fossil fuel extraction and plastic waste production.
This supply chain exposure comes at a time when environmental advocates are intensifying pressure on FMCG companies to reduce their reliance on virgin plastics derived from fossil fuels. According to the Ellen MacArthur Foundation, virgin plastic use by global brands must fall by 55% by 2040 to meet circularity and climate goals. Yet, data shows many large CPG firms are increasing plastic use, not decreasing it.
Despite Coca-Cola’s public commitments to sustainability — including pledges to make 100% of its packaging recyclable by 2025 and use 50% recycled content in bottles by 2030 — the core dependency on petrochemical feedstocks continues to raise concerns. Greenpeace and other advocacy groups argue that such targets fall short unless companies genuinely transition away from virgin fossil-based plastics.
The report spotlights the complexities facing multinational FMCG brands as they navigate consumer demand for sustainability, regulatory pressures, and entrenched supply chains tied to fossil fuel-based inputs. As calls grow for systemic change, industry stakeholders may increasingly need to address raw material sourcing transparency and invest in alternative materials to meet both environmental commitments and evolving consumer expectations.