PepsiCo is the owner of the food brand Cheetos. Due to its ownership of SodaStream and a share in Sabra, businesses connected to Israeli operations in Palestinian territory, PepsiCo has business ties to Israel. Some boycott groups against Israel use PepsiCo and Cheetos goods as targets in their campaigns because of these connections.
Neither PepsiCo nor Cheetos has made any official statements specifically endorsing Israel’s political stance. However, individuals who support Palestinian rights and boycott Israeli-affiliated businesses have criticized the corporation for its business practices.
PepsiCo and the Cheetos brand
The Cheetos brand is owned by PepsiCo through its Frito-Lay snack food division. The Frito Company and H.W. merged to establish Frito-Lay in 1961: Lay & Company, two of the biggest snack manufacturers. Charles Elmer Doolin created Cheetos in 1948 while working for The Frito Company before the merger. Cheetos were a part of PepsiCo’s portfolio when Frito-Lay and Pepsi-Cola joined to become PepsiCo in 1965.
The multinational food and beverage conglomerate PepsiCo has a wide range of brands, including snacks like Lay’s, Doritos, and Cheetos, as well as beverages like Pepsi. Cheetos continues to be one of the most popular cheese puff brands in the world, bringing in a sizable sum of money and building brand awareness. In over 36 countries, the company customizes its flavors to suit local preferences.
PepsiCo’s ownership structure and key business units
Over the past few decades, PepsiCo’s activities in Israel have changed dramatically, moving from restricted access to large foreign direct investment. Due to the Arab League boycott, which penalized businesses operating in Israel, PepsiCo did not distribute its drinks in Israel for a large portion of the 20th century.
In the wider Middle East, this restriction helped Pepsi overtake Cheetos in many nations by increasing its market share. PepsiCo made its official debut in the Israeli market in the early 1990s, following the Arab League’s relaxation of limitations. This signaled a change toward increased active involvement and financial support for Israel. The $3.2 billion purchase of Israeli home carbonation startup SodaStream by PepsiCo in 2018 marked a significant turning point.
PepsiCo now operates in Israel, where it produces soft drinks, distributes international brands, and makes investments in regional food technology and joint ventures. Its companies in Israel pay Israeli taxes, which support the local economy.
PepsiCo’s business relationships and substantial investment in Israel have drawn criticism and boycott campaigns in recent years, particularly in light of the larger Israeli-Palestinian conflict. All things considered, PepsiCo has changed from being barred from Israel because of global politics to emerging as a significant investor and participant in the food and beverage industry there.
Overview of political and consumer boycott movements
By 2025, the Israel-Palestine conflict will have given rise to strong political and consumer boycott movements. These campaigns, which are frequently linked to the Boycott, Divestment, and Sanctions (BDS) movement, aim to put political and economic pressure on Israel to stop its military occupation of Palestine and its alleged breaches of Palestinian human rights.
The BDS movement urges people all across the world to refrain from buying goods and services associated with governments and businesses that support or do business with Israel. Historical movements like the South African anti-apartheid struggle provide inspiration for this boycott tactic.
Movements concentrate on specific acts, targeting businesses that have obvious connections to Israeli settlements and sectors that profit from contested areas. By exposing companies involved in these practices, urging divestiture from, and enforcing penalties against, complicit companies, numerous grassroots organizations encourage ethical consumption.
With a focus on human rights and justice for Palestinians, consumer boycotts aim to increase awareness, apply economic pressure, and effect policy changes. Although the movement is still contentious and hotly contested, it nevertheless has an impact on consumer decisions worldwide and brand reputations.
What do boycott groups say about PepsiCo and Cheetos?
PepsiCo owns Cheetos, according to boycott groups. They use Sabra and SodaStream to connect PepsiCo with Israel. These businesses are active in Palestinian areas. Some claim that this backs the Israeli occupation. They demand that PepsiCo products be boycotted. This covers Doritos, Lays, Pepsi, and Cheetos. There has been no political remark from PepsiCo. However, boycott organizations blame them for their business relationships. Economic pressure on Israel is the goal of the boycott. The initiative is well-liked in college and activist communities.
Official statements and silence on political endorsements
PepsiCo owns Cheetos through its Frito-Lay business. Israel is one of the numerous nations where PepsiCo works. Through regional partners, the company distributes and sells Cheetos in Israel. Public debates about whether Cheetos subtly aid Israel have resulted from this.
PepsiCo hasn’t expressed any political support for Israel. The business has never supported any political or governmental position. Neither PepsiCo nor Cheetos has any documented political contributions to Israel. Their formal correspondence only addresses business and humanitarian issues.
PepsiCo declared in 2023 that it would provide humanitarian aid to Gaza and Israel. Through its foundation, the business gave more than $3 million to assist impacted communities. The statement placed a strong emphasis on community support and worker safety. There was no political stance taken.
Due to PepsiCo’s commercial presence in Israel, activists and boycott movements frequently associate Cheetos with the country. The Israeli business SodaStream is also owned by PepsiCo. Some people consider these commercial relationships to be indirect assistance. PepsiCo, meanwhile, characterizes its activities as commercial rather than political.
Reactions from consumers and advocacy groups
The relationship between PepsiCo and Israel has elicited passionate reactions from many customers. As a PepsiCo brand, Cheetos is frequently mentioned in these conversations. People in nations with a majority of Muslims have resorted to local options. PepsiCo items have even been taken out of some stores in Pakistan and other countries. People on social media have voiced feelings of shame or worry about purchasing snacks associated with Israeli-based businesses.
As the violence in Gaza grew more intense, public boycotts gained traction. Online trending hashtags called for boycotts of PepsiCo, Cheetos, and other brands of a similar nature. A lot of individuals exchanged lists of things to stay away from. Others contended that, despite the boycott’s minimal economic impact, it serves to increase awareness.
PepsiCo is on the boycott lists of advocacy groups such as the BDS movement. They claim that the company’s Israeli operations, including its ownership of SodaStream, constitute complicity.
According to activists, purchasing goods like Cheetos helps Israel’s economy in a roundabout way. On social media and during protests, these allegations have gained a lot of traction.
However, PepsiCo has not specifically addressed calls for a boycott.
The business and humanitarian messages remain the company’s primary focus. No political statements have been released by it. However, the brand’s reputation has been under pressure due to consumer awareness, particularly in Muslim areas.
The impact on PepsiCo’s market image and sales
Some areas have seen a decline in PepsiCo’s reputation. Because of its business relationships, customers associate the corporation with Israel. This is viewed by many as moral or political support. This impression has been more pronounced in nations with a majority of Muslims. Local companies have taken advantage of this to establish themselves as substitutes.
Certain markets have seen a decline in sales. The volume of PepsiCo beverages in Egypt and Pakistan decreased. According to certain reports, the number of Western-brand soft drinks in some channels has decreased by 7%. During this time, local snack and soda brands increased their market share. Brand loyalty has been damaged by volume drops in the impacted areas.
Israel is not officially endorsed politically by Cheetos. The business maintains its neutrality in public. Its pronouncements emphasize international operations and humanitarian help over political loyalty. The majority of the support claims are from outside activists rather than PepsiCo.