| US

Peet’s becomes the latest US coffee chain to scrap non-dairy surcharge

The California-based operator will drop its $0.80 charge for oat, almond and pea dairy alternatives in June 2025 amid growing consumer and campaign group pressure

A Peet’s barista | Photo credit: Peet’s Coffee


 

Peet’s Coffee has announced it will remove a $0.80 non-dairy surcharge across its 280 US coffee shops in June 2025. 
 

The California-based specialty coffee group, which currently offers almond, oat and pea dairy alternatives from Califia Farms, Chobani and Ripple, has previously reported that more than a fifth of all beverages sold across its US stores are customised with non-dairy.  


“We were proud to introduce the first fully plant-based menu item at scale for coffee shops in 2021, and, building on that commitment, we launched a seasonal menu dedicated to plant-based ingredients. Now, we’re excited to take the next step by offering non-dairy options at the same price as all milk-based drinks, beginning this summer,” said Gordon Bitter, Senior Vice President, Retail, Peet’s Coffee. 


US coffee chains are facing greater scrutiny over additional charges for dairy alternatives, with campaign groups arguing they unfairly impact customers with allergies and those who are lactose intolerant or hold ethical or sustainable dietary preferences. 


In March 2025, animal rights non-profit PETA launched a campaign, backed by Beatles star Sir Paul McCartney, urging Peet’s to drop its surcharge. 


Peet’s follows US branded coffee shop market leaders Starbucks, Dunkin’, Dutch Bros and Scooter’s Coffee, which have all removed additional plant-based charges within the last six months. Tim Hortons, Gregorys Coffee, Wake Up Call Coffee and Alfred have also made the move in 2025.  


Founded in Berkeley, California, in 1966, Peet’s has long championed sustainable business initiatives. The specialty coffee group opened the first LEED Gold Certified coffee roastery in the US in 2007 and announced that 100% of its purchases were responsibly sourced per Enveritas standards in June 2022. Peet’s launched an Everything Plant-Based Sandwich in March 2021, which it claimed was the first permanent fully plant-based breakfast item to be included on a major coffee chain’s menu. 


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