Is there a shortage of Diet Coke? What you need to know about India's 'candemic'
Another global phenomenon is causing another run on what many may consider a household necessity, although in this case, some may prefer a toilet paper shortage.
For those who love Diet Coke – and there are many – it's much more than a shiny brown drink. It's a lifestyle, an obsession and a cultural symbol, with followers often described as a die-hard cult and Gen Z influencers referring to the drink as “refrigerator cigarettes.”
There's even a Diet Coke exhibit at the National Museum of American History, in the collection of “national treasures.”
So, the mere mention of a possible Diet Coke shortage has caused panic on the Internet, with people posting videos of themselves cramming the drinks during the “candemic,” and in real life, with Diet Coke parties in parts of India.
“I'm pretty sure right now I'm 90% dieter coke and if there's a shortage in the US, I don't know how I'd deal with it,” someone wrote on the Diet Coke subreddit last week.
“We cry, we cry, we even get hit over this lack of diet coke. But at least we are in this together,” the Lifestyle Asia news agency wrote on Instagram in April.
“Candemic alert,” a Mumbai-based content creator posted on Instagram over the weekend. “Diet Coke is lowkey disappearing in big cities in India and I don't take it well.”
But is there a real shortage of Diet Coke? If so, what caused it? And could it affect the stock of refrigerated cigarettes near you?
Let's break it down.
Is there a shortage of Diet Coke?
Technically, not for the drink itself. But there is a shortage of aluminum cans related to the war in Iran, and this has caused shortages of Diet Coke in some markets, such as India, where the drink is sold only in cans, according to Reuters.
CBC News contacted Coca-Cola directly but did not receive a response. On its American website, the company notes that, “increased demand for household products and shortages of aluminum and certain ingredients have impacted our supply chain in other areas.”
“We work closely with our customers and suppliers to ensure product availability. We also maintain plans to address any supply chain challenges that arise,” Coca-Cola wrote.
Why just Diet Coke?
As the Times of India points out, while the shortage of cans affects other drinks, Diet Coke, which is bottled only in India, makes it more vulnerable to supply disruptions caused by shipments through the Strait of Hormuz.
There is growing demand for Diet Coke in India, where Reuters reports that the popular alcoholic beverage, often paired with rum, is also popular among health-conscious consumers there and is considered a status symbol, according to Fortune.
Canned Diet Coke can still be found online there, but only in limited quantities.
“We have been running out of stock of Diet Coke since the weekend; iThe goods are coming in, they are being snapped up by consumers,” a Delhi-based grocer told the Times of India in April.
India's shortages have led to a flood of memes on social media showing people folding tin cans. To deal with the shortage, some businesses have turned to art, workshops and events where people can decorate cans of this drink with rhinestones, or make writings on t-shirts.
Pubs in India and social media influencers also saw an opportunity to benefit, Reuters notes, organizing groups that offer access to Diet Coke as well as music and booze and activities.
There is a shortage of Diet Coke in India, where it is sold only in cans, due to a squeeze on aluminum cans related to the Iran war. As funny memes depicting people hoarding cans flood social media, some businesses in India are tapping into the trend by offering workshops and events where people can decorate cans or have T-shirts printed.
What happened to aluminum cans?
The war in Iran is causing a crisis in the global aluminum market.
Missile strikes in the Middle East have damaged the world's largest aluminum smelters, with some production down due to power shortages and severe restrictions on shipping in the Strait of Hormuz, Reuters reported.
“Diet Coke is a really weird kind of splash zone injury in this,” William Huggins, assistant professor of finance and business economics at McMaster University, told CBC News.
He says it is related to the overloading of infrastructure in the community during times of chaos. “It's like most people don't know where the hydro dam is until something goes wrong with the hydro dam.”
You may have heard about the Strait of Hormuz in the news. CBC Kids News Contributor Manny Brennan exposes the rift in politics and how it affects people around the world.
The countries of the Gulf Cooperation Council produce about eight percent of the world's aluminum production, according to S&P Global.
And most of the Middle East's smelters are concentrated near the Strait of Hormuz, consulting group Wood Mackenzie noted in an April news release. This disruption threatens global supply.
“With so much manufacturing and export infrastructure linked to a single trade route, even a short-term disruption can have major global consequences,” said Uday Patel, principal analyst at Wood Mackenzie.
As we have told you, the global market is looking at a supply shortfall of up to 3.5 million metric tons of aluminum this timear, according to Wood Mackenzie.
How does this affect Diet Coke?
Coca-Cola works with local bottlers and distributors to sell its soda concentrate, but is still directly exposed to the high costs of plastic and aluminum packaging for some finished products.
Refining and smelting aluminum is energy-intensive, and the Persian Gulf has a surplus of natural gas, so it makes sense to do it there and create cheap aluminum for local markets, Huggins told CBC News.
“And that's where the price and shortage of Diet Coke cans in India comes from, because India is in that area where water is stored to do that work of refining and smelting aluminum,” he said.
“Coca-Cola, buying from them, obviously, is facing physical shortage problems.”
Two Coca-Cola distributors in India told Reuters in April that the company had informed them that it was stockpiling or not fulfilling certain orders because of the can shortage caused by the war.
“We are working hard with our bottling partners to address the consequences of the situation … in the Middle East,” CFO John Murphy said in an interview with Reuters at the end of April.
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What about other countries besides India?
The only concrete reports of Diet Coke can shortages so far are in India. But as for the aluminum shortage in general, there are reports that some countries that rely on aluminum from the Persian Gulf could be affected.
The Atlantic reports that there may be negative consequences in the US due to one of the biggest fans of Diet Coke out there: US President Donald Trump, who put a button on his desk to have Diet Coke delivered to the Oval Office. He also raised aluminum import prices last year.
“As a result, more aluminum from the United Arab Emirates and Bahrain began to flow into the U.S. The U.S. now faces higher aluminum prices than anywhere else, and is more vulnerable to price shocks from the Gulf,” The Atlantic noted.
Does this mean less Diet Coke in Canada?
Probably not! The good news is that Canada is least likely to be affected, Huggins said, because we have reliable aluminum production and refining right here.
Canada is the fourth largest producer of aluminum in the world, according to Natural Resources Canada, with 10 main aluminum smelters, mainly in Quebec. Canada also has an operating alumina refinery in Jonquière, Que.
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Alumina, a chemical compound used in the smelting process, is a substance it's big and heavy, and expensive to move around, Huggins said. “It's the kind of thing you find in your neighborhood.”
Global Trade Magazine reports that Coca-Cola gets some of its aluminum from Canada, but the company also began switching its packaging in North America mostly to plastic bottles by 2025, due to aluminum costs.
Also in February, Coca-Cola Canada Bottling Ltd. announced that it will invest $ 141 million to renovate expanding its manufacturing, distribution and sales center in Brampton, Ont.
Among its products? Diet Coke.
